Drip's 11am rule breakout/breakdown (OG)

This indicator is based on Drippy2hard's 11:30 am (EST) rule.

In simple terms the rule states that:

If a trending stock makes a new high after 11:15-11:30am EST, there is a 75% chance of closing within 1% of High of day (HOD). Same applies for downtrend.
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Please note:

Not all stocks will abide by this, this is backtested on stocks with avg daily volume > 2M and mostly mega cap stocks which have liquid option chains. The backtesting results show very promising results on $SPY/SPX so it is advised to trade $SPY/SPX using this indicator over any other stocks.

Although the name suggests 11 AM rule, the backtesting shows higher win rate for 11:30 AM so please select that option in the settings.

As always, no indicator is perfect and please follow your risk management and understand that indicators are tools to aid your trading and by no means they are supposed to work as intended in all scenarios

How the script works
1. A HOD/LOD zone is identified based on regular session (9:30am-11:30am) EST. Users can select cut off time to 11AM in the settings. These will be indicated on chart after 11/11:30pm depending on what user selected
2. If the stock breaks above the HOD and the ADX is showing strong momentum to upside then the candlesticks will start showing neon color, if the trend based on moving averages and candle closing is also bullish then the indicator will show trend arrows under the candle indicating to stay in the trade. Same applies for break below LOD, only the colors will change to represent downtrend.
3. An optional cloud is also shown if the trend is developed. The cloud can be used as trail stop or re entry point as long as it is displayed on chart

How to use the indicator in trading
In general, there are three scenarios which are trade worthy

1. If the stocks breaks out above the HOD zone and up trend develops or the stocks breaks below the LOD zone and downtrend develops. See images below

2. You can also use the LOD/HOD zone as demand/ supply if the Price action is range bound like this example below

Thanks for reading, please give thumbs up if you like using it! Please post comments on how to use it.