This script "Monte Carlo (Polyline Traceback) [Kioseff Trading]" performs a Monte Carlo simulation using polylines!
By using polylines, and tracing back the initial simulation to its origin point, we can better replicate the ideal output of a Monte Carlo simulation!
Such as:
The image above shows the output of a simulation (image sourced outside TV).
With this script, and polyline capabilities, we can come quite close on TradingView.
The image above shows the indicator in action! Not bad considering the ideal output.
Of course, the script is quite heavy and tries its best to circumvent limitations :D
You might run into load time errors, in which case you might try applying the built-in setting "Force Script Load". This setting will cut-off the visuals for some simulations, but has a higher chance of passing load-time limitations!
As shown in the image above, you can select to only show worst-case and best-case simulations. Using this option will reduce chart lag and improve load times.
Features
Monte Carlo Simulation: Performs Monte Carlo simulation to generate multiple future paths.
Asset Price: Can simulate future asset prices based on historical log returns.
Statistical Methods: Offers two simulation methods—Gaussian (Normal) distribution and Bootstrapping.
Adjustable Parameters: Offers numerous user-adjustable settings like number of simulations, forecast length, and more.
Historical Data Points: Option to specify the amount of historical data to be used in the simulation (price).
Best/Worst Case: Allows you to show only the best case / worst case outcome (range) for all simulations!
진정한 TradingView 정신에 따라, 이 스크립트의 저자는 트레이더들이 이해하고 검증할 수 있도록 오픈 소스로 공개했습니다. 저자에게 박수를 보냅니다! 이 코드는 무료로 사용할 수 있지만, 출판물에서 이 코드를 재사용하는 것은 하우스 룰에 의해 관리됩니다. 님은 즐겨찾기로 이 스크립트를 차트에서 쓸 수 있습니다.