Al Brooks Price Action Pro

Introduction

Al Brooks Price Action Pro v4.0 is an institutional-grade Pine Script indicator designed to faithfully implement the price action trading methodology of Al Brooks. This tool translates complex, discretionary concepts from the "Trading Price Action" books (Trends, Ranges, Reversals) into precise algorithmic signals.

The indicator is designed to be a "Head-Up Display" for the serious price action trader. It automates the detection of setups so you can focus on Context and Execution.
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Signal Reference Guide (Comprehensive Glossary)

The indicator displays signal labels directly on the chart using short abbreviations. Below is the complete key to understanding every signal.
1. Trend Pullback Signals (The "With-Trend" Entries)
These are the most common signals, designed for entering in the direction of an established trend.
H1 / L1 - High 1 / Low 1 The first pullback in a trend.

• H1 (Bull): First time a bar's high goes above the prior bar's high in a bull pullback.
  
• Trigger: Aggressive entry. High failure rate in weak trends.
  

H2 / L2 - High 2 / Low 2 The Gold Standard. A second attempt to resume the trend after the H1/L1 fails.

• Logic: Counter-trend traders (bears in a bull trend) try once (L1) and fail, then try twice (L2) and fail. When they cover their losses, the trend resumes.
  

H3 / L3 - High 3 / Low 3 Often a wedge bull flag. A third push down in a pullback.

• Setup: Acts like a wedge pattern within a trend.
  

H4 / L4 - High 4 / Low 4 Rare. If a pullback extends this long, the trend might be transitioning to a trading range.
M2B / M2S - MA Two-Legged Pullback M2B (Buy): A two-legged pullback that touches the 20 EMA for the first time.

• Logic: "Buy the dip" or "Sell the rally" at the average price. Great for beginners.
  

20GAB - 20 Gap Bar High Probability. Price has stayed above the EMA for 20+ bars (strong trend), and finally touches it.

• Setup: Bears are exhausted trying to reverse the trend for 20 bars. The first touch of moving average usually finds buyers.
  

BKP - Breakout Pullback Occurs shortly after a strong breakout.

• Setup: Price breaks out, pulls back slightly (doesn't retrace deep), and then resumes.
  

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2. Reversal Signals (Counter-Trend)
Patterns that suggest the current trend is ending or reversing.

MTR - Major Trend Reversal Highest Probability Reversal. Requires 4 distinct steps:

• Strong Trend
  
• Trend Line Break (momentum loss)
  
• Test of the Extreme (higher high or lower low)
  
• Reversal Signal (the entry)
  

Logic: The trend structure is broken, and the "Second Leg" trap executes.
WDG - Wedge Three distinct pushes in a trend channel.

• Logic: A sustainable trend usually corrects after 3 pushes. A "Rising Wedge" is a bear signal; "Falling Wedge" is a bull signal.
  

3P - Three Pushes Similar to a wedge, but focuses purely on the "3 drives" pattern in a channel.
V-TOP / V-BOT - V-Top / V-Bottom Violent Reversal. Occurs when a trend accelerates vertically (parabolic) and then violently reverses.

• Logic: The "Climax" exhausts all buyers/sellers instantly.
  

HS - Head & Shoulders Classic reversal pattern.

• Logic: Left Shoulder, Head (new extreme), Right Shoulder (lower high/higher low failure).
  

ET - Expanding Triangle A chaotic pattern of higher highs and lower lows.

• Logic: Markets typically reverse after 5 swings in an expanding formation.
  

TCL - Trend Channel Line Overshoot Price breaks through the trend channel line (overshoots) and reverses.

• Logic: An overshoot is a climax. The reversal back into the channel is the trade.
  

PW - Parabolic Wedge A focused wedge that forms quickly (3-4 bars) often at the end of a climatic move.
FBE - Fade Exhaustion Fade Bear/Bull Exhaustion.

• Logic: A massive "Late Acceleration" bar appears after a long trend. The signal is to fade (go against) this move.
  

FFF - Final Flag Failure A small flag forms late in a trend. The breakout from this flag usually fails and reverses trend.

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3. Trading Range & Limit Order Signals
Signals specific to "Buy Low, Sell High" market conditions.
TRF - Trading Range Fade Buy Low / Sell High.

• Logic: Detects if market is in a Trading Range. Signal fires only in the top 20% (Sell) or bottom 20% (Buy).
  

TRF2 - TR Fade 2nd Entry A second attempt to fade the trading range extreme. Higher probability than the first attempt.
LMT - Limit Order Setup Institutional Entry.

• Setup: Buying at the low of the prior bar (in a bull trend). Requires conviction that the trend is strong enough to not stop you out.
  

LMC - Limit Micro Channel Entering on a limit order when a Micro Channel breaks (betting the breakout will fail).
FLG - Final Leg The "Final Leg" of a channel structure within a trading range. Betting on the reversal back to the middle.

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4. Bar Patterns & Micro Structures

Short-term 1-3 bar patterns found on valid signal bars.

• 2BR - Two Bar Reversal A strong trend bar followed immediately by a strong bar in the opposite direction.
  
• ioi - Inside-Outside-Inside A 3-bar "Breakout Mode" pattern. Price is compressing. Explosive move imminent.
  
• ii / iii - Double Inside Bar Two (or three) consecutive inside bars. Extreme compression. "Coiled spring."
  
• OB - Outside Bar A bar that completely engulfs the previous bar. Often a trap or a reversal.
  
• MDB / MDT - Micro Double Bottom/Top Two consecutive bars with identical (or near identical) lows/highs. A "double bottom" on a 1-bar scale.
  
• DBP / DTP - Double Bottom/Top Pullback A pullback that occurs specifically after a Double Bottom or Top pattern.
  
• SHVD - Shaved Bar A bar with no tail (shaved head/bottom). Indicates extreme urgency/momentum.
  
• FW - Failed Wedge A wedge pattern that broke out but immediately failed and reversed.
  
• MW - Micro Wedge A tiny wedge pattern formed by 3 consecutive bars.
  
• DBF / DTF - Double Bottom/Top Flag A continuation pattern. A flag that looks like a double bottom/top but functions as a trend resumption setup.
  
• BKT - Breakout Test Price breaks a specific level (like a swing high) and comes back to test it perfectly before resuming.
  
• DL - Dueling Lines Confluence. Signal occurs at a zone where multiple support levels (EMA, Trend Line, Prior Low) intersect.
  

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Dashboard Guide
The glassmorphism dashboard (top-right) gives you a health check of the market. Here is how to read it:

1. Always-In:
2. LONG / SHORT: The dominant direction. Stick to signals that match this color.
   Neutral: Market is confused/choppy. Stand aside.
   
3. Trend:
4. BULL / BEAR: Clear trending behavior.
   RANGE: Market is going sideways. Use TRF signals; ignore H1/H2 trend signals.
   
5. Micro Channel:
6. Bull/Bear: Price is in a "Micro Channel" (4+ bars without a pullback). DO NOT FADE. Wait for the micro channel to break before taking counter-trend trades.
   
7. Barbwire:
8. • AVOID: Major warning. The market is in a tight "Barbwire" trading range (dojis, overlapping bars). Most signals here will fail. Stop trading until it clears.
     

Signal Quality:

• 0-100% Score: The algorithm's confidence in the last signal.
  
• > 80%: High conviction (Strong trend context, good signal bar, rejection tails).
  
• < 50%: Weak signal (likely into resistance, bad signal bar, counter-trend).
  

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Visual Elements Legend

Colors:

• Green/Cyan: Bullish elements.
  
• Red/Pink: Bearish elements.
  
• Amber/Orange: Warnings (Traps, Climaxes).
  
• Gray: Neutral contexts.
  

Markers:

• ⊘ (H1/L1/H2/L2): TRAP WARNING. This is NOT a signal to enter. It warns you that a standard setup is forming in the wrong context (e.g., selling a Low 1 in a strong Bull Trend).
  
• ⚡BC / ⚡SC: Buy/Sell Climax. The market has moved too far, too fast. Expect a pullback or pause.
  
• ◈: Trading Range Zone or important Price Action marker.
  

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Strategy "Cheatsheet"

1. Scenario A: Strong Bull Trend (Green Background / Always-In Long)
2. Look for: H1, H2, 20GAB, M2B.
   Ignore: All Sell signals (MTR, WDG) unless they have "Two Reasons" (double confirmation).
   Stop Loss: Below the signal bar low.
   
3. Scenario B: Trading Range (Gray Background / Dashboard "RANGE")Look for: TRF (Trading Range Fade), TRF2.
   Strategy: Sell high (red zone), Buy low (green zone).
   Quick Profits: Scalp out quickly; do not hold for home runs.
   
4. Scenario C: Trend Reversal (Looking for Tops/Bottoms)
   • Look for: MTR, WDG, V-TOP.
     
   • Confirmation: Wait for a strong Signal Bar (good body, closing near extreme).
     
   • Trap: Don't short a strong bull trend just because it's "high." Wait for the Double Top or MTR.
     

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Disclaimer:
This tool assumes you have a basic understanding of Al Brooks' glossary. It aids in real-time identification but does not replace trader discretion. Past performance is not indicative of future results.