Multi Fibonacci Supertrend with Signals【FIbonacciFlux】

10월 24일

Multi Fibonacci Supertrend with Signals (MFSS)

Overview
The Multi Fibonacci Supertrend with Signals (MFSS) is an advanced technical analysis tool that combines multiple Supertrend indicators using Fibonacci ratios to identify trend directions and potential trading opportunities.

Key Features

1. Fibonacci-Based Supertrend Levels

• 
  * Factor 1 (Weak): 0.618 - The golden ratio
  * Factor 2 (Medium): 1.618 - The Fibonacci ratio
  * Factor 3 (Strong): 2.618 - The extension ratio

2. Visual Components

1. 
   * Multi-layered Trend Lines
   • 
     * Different line weights for easy identification
     * Progressive transparency from Factor 1 to Factor 3
     * Color-coded trend directions (Green for bullish, Red for bearish)
     
   
   
   * Dynamic Fill Areas
   • 
     * Gradient fills between price and trend lines
     * Visual representation of trend strength
     * Automatic color adjustment based on trend direction
     
   
   
   * Signal Indicators
   • 
     * Clear BUY/SELL labels on chart
     * Position-adaptive signal placement
     * High-visibility color scheme
     

3. Signal Generation Logic
The system generates signals based on two key conditions:

1. 
   * Primary Condition:
   
   • 
     * BUY: Price crossunder Supertrend2 (Factor 1.618)
     * SELL: Price crossover Supertrend2 (Factor 1.618)
     
   
   
   * Confirmation Filter:
   
   • 
     * Signals only trigger when Supertrend3 confirms the trend direction
     * Reduces false signals in volatile markets
     

Technical Details

Input Parameters

1. 
   * ATR Period: 10 (default)
   
   • 
     * Customizable for different market conditions
     * Affects sensitivity of all Supertrend levels
     
   
   
   * Factor Settings:
   
   • 
     * All factors are customizable
     * Default values based on Fibonacci sequence
     * Minimum value: 0.01
     * Step size: 0.01
     

Alert System

• 
  * Built-in alert conditions
  * Customizable alert messages
  * Real-time notification support

Use Cases

1. 
   * Trend Trading
   • 
     * Identify strong trend directions
     * Filter out weak signals
     * Confirm trend continuations
     
   
   
   * Risk Management
   • 
     * Multiple trend levels for stop-loss placement
     * Clear entry and exit signals
     * Trend strength visualization
     
   
   
   * Market Analysis
   • 
     * Multi-timeframe analysis capability
     * Trend strength assessment
     * Market structure identification
     

Benefits

1. 
   * Reliability
   • 
     * Based on proven Supertrend algorithm
     * Enhanced with Fibonacci mathematics
     * Multiple confirmation levels
     
   
   
   * Clarity
   • 
     * Clear visual signals
     * Easy-to-interpret interface
     * Reduced noise in signal generation
     
   
   
   * Flexibility
   • 
     * Customizable parameters
     * Adaptable to different markets
     * Suitable for various trading styles
     

Performance Considerations

• 
  * Optimized code structure
  * Efficient calculation methods
  * Minimal resource usage

Installation and Usage

Setup

1. 
   * Add indicator to chart
   * Adjust parameters if needed
   * Enable alerts as required
   

Best Practices

• 
  * Use with other confirmation tools
  * Adjust factors based on market volatility
  * Consider timeframe appropriateness
  

Backtesting Results and Strategy Performance

This indicator is specifically designed for pullback trading with optimized risk-reward ratios in trend-following strategies. Below are the detailed backtesting results from our proprietary strategy implementation:

BTCUSDT Performance (Binance)

• 
  * Test Period: Approximately 7 years
  * Risk-Reward Ratio: 2:1
  * Take Profit: 8%
  * Stop Loss: 4%

Key Metrics (BTCUSDT):

• 
  * Net Profit:[color=green]+2,579%[/color]
  * Total Trades: 551
  * Win Rate: 44.8%
  * Profit Factor: 1.278
  * Maximum Drawdown: 42.86%
  

ETHUSD Performance (Binance)

• 
  * Risk-Reward Ratio: 4.33:1
  * Take Profit: 13%
  * Stop Loss: 3%

Key Metrics (ETHUSD):

• 
  * Net Profit:[color=green]+8,563%[/color]
  * Total Trades: 581
  * Win Rate: 32%
  * Profit Factor: 1.32
  * Maximum Drawdown: 55%
  

Strategy Highlights:

• 
  * Optimized for pullback trading in strong trends
  * Focus on high risk-reward ratios
  * Proven effectiveness in major cryptocurrency pairs
  * Consistent performance across different market conditions
  * Robust profit factor despite moderate win rates
  

Note: These results are from our proprietary strategy implementation and should be used as reference only. Individual results may vary based on market conditions and implementation.

Important Considerations:

• 
  * The strategy demonstrates strong profitability despite lower win rates, emphasizing the importance of proper risk-reward ratios
  * Higher drawdowns are compensated by significant overall returns
  * The system shows adaptability across different cryptocurrencies with consistent profit factors
  * Results suggest optimal performance in volatile crypto markets
  

Real Trading Examples

BTCUSDT 4-Hour Chart Analysis
tradingview.com/x/YL6dfG8T/
Example of pullback strategy implementation on Bitcoin, showing clear trend definition and entry points

ETHUSDT 4-Hour Chart Analysis
tradingview.com/x/XtYLYG73/
Ethereum chart demonstrating effective signal generation during strong trends

BTCUSDT Detailed Signal Example (15-Minute Scalping)
tradingview.com/x/yqUQVZul/

Close-up view of signal generation and trend confirmation process on 15-minute timeframe, demonstrating the indicator's effectiveness for scalping operations

Chart Analysis Notes:
* Green and red zones clearly indicate trend direction
* Multiple timeframe confirmation visible through different Supertrend levels
* Clear entry signals during pullbacks in established trends
* Precise stop-loss placement opportunities below support levels

Implementation Guidelines:
* Wait for main trend confirmation from Factor 3 (2.618)
* Enter trades on pullbacks to Factor 2 (1.618)
* Use Factor 1 (0.618) for fine-tuning entry points
* Place stops below the relevant Supertrend level

Footnotes:
* Charts provided are from Binance exchange, using both 4-hour and 15-minute timeframes
* Trading view screenshots captured during actual market conditions
* Indicators shown: Multi Fibonacci Supertrend with all three factors
* Time period: Recent market activity showing various market conditions

Important Notice:
These charts are for educational purposes only. Past performance does not guarantee future results. Always conduct your own analysis and risk management.

Disclaimer
This indicator is for informational purposes only. Past performance is not indicative of future results. Always conduct proper risk management and due diligence.

License
Open source under MIT License

Author's Note
Contributions and suggestions for improvement are welcome. Please feel free to fork and enhance.