Day Trade Scalping - Optimal Trade Entrance Indicator

2022년 1월 10일

This script can be used to day trade SPY ( S&P ), Forex Currencies, Stocks, Bitcoin and pretty much anything out there. It was extensively tested trading live on 15minute timeframe with great results, it can be used with other timeframes as well.

Indicators:
- Regular Signals (red/green) – trade signal arrows, includes alerts
- Risky Signals (orange/olive) – trade signal arrows, includes alerts
- Optimal Trade Entrance Area - target at where to enter the trade with minimal risk and maximum profit

As the signals explained, there are regular and risky signals, which are calculated per different algorithms. Based on the test run, risky signals will appear less and be more risky, but usually spot longer bigger runs!

The original idea of the script is to provide the trader with an Optimal Trade Entrance Area to reduce the risk and maximize the profit. After you receive a signal/alert, wait for the price to re-trace to the Optimal Trade Entrance Area line, which will be shown on the chart. If the price does not reverse - it's best to not open a position. (Remember that the best trade is – no trade!).


If you don’t know how to divide up your position - here is an example on how I take profits between the price targets:
- Open position with buying a multiple of x3 contracts
- Sell 1/3 of the position at first price target and move my SL to entry
- Sell 1/3 of the remaining position at a second price target
- Sell the rest of the position at the third price target or scale out slowly if the trend is still strong

Also, keep an eye on the breakouts, especially if they go along the script signals as with breakouts, there is a good potential for a bigger move.

2022년 10월 23일

릴리즈 노트

* Added take-profit area, which is calculated based off the signal candle body. I would suggest to use the most recent support & resistance areas, but for scalping you can go off by the take profit marks.
Please note: it will show potential take profit for each candle, even if it is not a signal candle

2022년 10월 24일

릴리즈 노트

* Minor fix, working on additional fixes

2023년 1월 27일

릴리즈 노트

* Cleaned up the script and now the TP line per signal candle body can be turned on/ff

2023년 1월 27일

릴리즈 노트

* More cleanup

2023년 1월 27일

릴리즈 노트

* More cleanup

2023년 1월 27일

릴리즈 노트

* Added "progressive" strategy approach strategy: when price enters inside the "cloud" (in-between the MA lines) > a label/alert will notify you to get ready, so that once and if price starts getting out from inside the "cloud" > you can open a position

2023년 1월 27일

릴리즈 노트

* Added automated alerts for "progressive" strategy, in order to add LONG/SHORT "Get Ready" alerts, right-click the chart, select Add alert, next to Condition select the indicator "EMA Cloud Scalp" > "Any alert() function call) > Create

2023년 1월 27일

릴리즈 노트

* Minor bug fix

2023년 1월 27일

릴리즈 노트

* optimized the whole indicator for easier understanding

2023년 1월 27일

릴리즈 노트

* Alerts for scalp strategy fix - will only trigger during the session schedule selected

2023년 1월 27일

릴리즈 노트

* Bug fix

2023년 1월 27일

릴리즈 노트

* Another fix

2023년 1월 28일

릴리즈 노트

* Updated signals showing outside of selected schedule

2023년 1월 30일

릴리즈 노트

* Included optimal global trader entrance line for every last closed candle bar per custom request - it can be turned on/off in script settings

2023년 1월 30일

릴리즈 노트

* Accidentally replaced the introductory chart... replacing it with a better one

2023년 1월 30일

릴리즈 노트

* Minor update

2023년 1월 30일

릴리즈 노트

* Set to default to remove all the previous signals optimal trade entrance/SL/TP lines for cleaner look - this can be turned on if needed within indicator settings

2023년 2월 1일

릴리즈 노트

* Cleaned up a bit

2023년 2월 1일

릴리즈 노트

* Another cleanup

2023년 2월 1일

릴리즈 노트

* Added options trading labeling for ease of trading options

2023년 2월 1일

릴리즈 노트

* NOTE: You may get a repaint warning when setting up the alerts!

Here is why: If you will use the SCALP STRATEGY, when you receive an alert to prepare to open the position > price is hitting the critical area LIVE, so the condition for the "scalp" label is true, you will also receive an alert (which is set to trigger "Once Per Bar") and a label will be shown. If and when on that same candle bar > price goes backwards (where you are expected to open the position per strategy) the condition to prepare for a position is technically no longer true, which basically is repainting, however in reality it does not affect your trading results as the label which sets you to prepare to open the position no longer matters.

2023년 2월 1일

릴리즈 노트

* Fixed an alert bug

2023년 2월 1일

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* More detailed alert wording

2023년 2월 14일

릴리즈 노트

* Minor fix

2023년 4월 1일

릴리즈 노트

* Lots of clean up and new features:
- So now there are 2 approaches or strategies:
1) Progressive (where you "catch" the trade when the price exits EMA Cloud after it entered it)
2) Conservative (where candle fully closes bouncing off the EMA Cloud)
- For Conservative, there is a whole trade engine included where signals can be filtered by:
----- ATR/EMA trend confirmation
----- Take Profit line per Highest High / Lowest Low (fully customizable) or per simple distance of price
----- End of day (at market close or before power hour US Session) position close label/alert

NOTE: Trade Engine is only for Conservative approach, however you can still use ATR/EMA trend confirmation and/or Take Profit lines yourself!

2023년 4월 1일

릴리즈 노트

* Updating the preview

2023년 4월 1일

릴리즈 노트

* Updated CONSERVATIVE STRATEGY with Elliot Wave Osicillator signals confirmation and back-testing table which shows amazing results on 1M/3M, unfortunately TradingView is very limited, so for 1M timerframe it can only show signals as far as about 1 month... on bigger than 3M timeframes it does not show very good results, but this is specifically a scalping strategy so IMO it should work very well!

2023년 4월 2일

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* Minor fixes

2023년 4월 13일

릴리즈 노트

* CONSERVATIVE approach - added an option to clean up signals even more, to skip signals when candle covers the whole EMA Cloud, which may happen when there are huge candles or the EMA Cloud is very thin, meaning there is uncertainty in direction!

2023년 4월 23일

릴리즈 노트

************ Adding newer description/explanation with all the newer features recently added to the indicator:
There are 2 strategies: PROGRESSIVE and CONSERVATIVE. Each can be "checked/unchecked" (turned on/off to show on chart)
1) PROGRESSIVE > labels/alerts when price enters EMA Cloud, so you can open position when it exits > this is for quick scalping, works well on 1/3/5/15min timeframes
2) CONSERVATIVE > labels/alerts when candle closes "bouncing" off the EMA cloud. This one has much more cool additional features, like candle analysis (exclude signals with doji, confirm signal with Elliot Wave Oscillator and/or ATR, and much more!). This one works great on smaller timeframes as well.

Overall, here is what was added recently:
* Alerts for PROGRESSIVE STRATEGY approach when price is entering the EMA Cloud, so you can prepare for opening a position
* Updated CONSERVATIVE STRATEGY (this is separate from the PROGRESSIVE STRATEGY scalping approach) with a full trading engine, which adds Open signals along with TP (take profit), SL (stop loss) and EOD/EODpw (end of day position close at US market close or before power hour) with alerts
Additional CONSERVATIVE STRATEGY features:
- Signals labels transparency (can be turned off if desired)
- Elliot Wave Oscillator price direction confirmation (powerful tool cleaning out many bad uncertain signals)
- Ability to chose regular/risk or both signals
- Customizable ATR confirmation of the price movement (Example: ATR bullish > bullish signal is confirmed)
- Stop-loss candle body percentage confirmation (if candle breaking into stop-loss (EMA solid slow moving average), so it is an uncertain candle, like a doji or a star or a hammer > it will not be considered a stop-loss
- TP1 (take profit) hit via either touch (price simply touching it) or a close (candle must close breaking the TP1 line beyond it) approach
** The HHLL take profit line can be customized as desired. Also, there is an option to use a manual price distance for TP1 instead, make sure you set it underneath (for SPY, 0.50 would mean that after a position is opened per signal, TP1 line will be set exactly 0.50 cents of SPY price away)

2023년 6월 5일

릴리즈 노트

* Added additional S&R per order blocks (can be hidden in the indicator settings if desired)

2023년 7월 6일

릴리즈 노트

* Added alert option for when the dotted (fastMA) EMA cloud line changes color, alert can be turnd off by unchecking it in the indicator settings