ATR-Stepped, Another New Adaptive Moving Average [Loxx]ATR-Filtered, Another New Adaptive Moving Average is a modification of @cheatcountry's "Another New Adaptive Moving Average " shown below
I've added AT- stepped filtering. This is a standard ATR filter that works by requiring movement by XX multiple of ATR before registering a trend flip. I've also included Loxx's Expanded Source Types. You can read about those here:
From @cheatcountry on A New Adaptive Moving Average
The New Adaptive Moving Average was created by Scott Cong (Stocks and Commodities Mar 2023) and this is a companion indicator to my previous script
This indicator still works off of the same concept as before with effort vs results but this indicator takes a slightly different approach and instead defines results as the absolute difference between the closing price and a closing price x bars ago. As you can see in my chart example, this indicator works great to stay with the current trend and provides either a stop loss or take profit target depending on which direction you are going in. As always, I use darker colors to show stronger signals and lighter colors to show normal signals. Buy when the line turns green and sell when it turns red.
Included
Alerts
Signals
Loxx's Expanded Source Types
Adaptive
GKD-C Blau OMA Ergodic Candlestick Oscillator [Loxx]Giga Kaleidoscope GKD-C Blau OMA Ergodic Candlestick Oscillator is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is the NNFX algorithmic trading strategy?
The NNFX (No-Nonsense Forex) trading system is a comprehensive approach to Forex trading that is designed to simplify the process and remove the confusion and complexity that often surrounds trading. The system was developed by a Forex trader who goes by the pseudonym "VP" and has gained a significant following in the Forex community.
The NNFX trading system is based on a set of rules and guidelines that help traders make objective and informed decisions. These rules cover all aspects of trading, including market analysis, trade entry, stop loss placement, and trade management.
Here are the main components of the NNFX trading system:
1. Trading Philosophy: The NNFX trading system is based on the idea that successful trading requires a comprehensive understanding of the market, objective analysis, and strict risk management. The system aims to remove subjective elements from trading and focuses on objective rules and guidelines.
2. Technical Analysis: The NNFX trading system relies heavily on technical analysis and uses a range of indicators to identify high-probability trading opportunities. The system uses a combination of trend-following and mean-reverting strategies to identify trades.
3. Market Structure: The NNFX trading system emphasizes the importance of understanding the market structure, including price action, support and resistance levels, and market cycles. The system uses a range of tools to identify the market structure, including trend lines, channels, and moving averages.
4. Trade Entry: The NNFX trading system has strict rules for trade entry. The system uses a combination of technical indicators to identify high-probability trades, and traders must meet specific criteria to enter a trade.
5. Stop Loss Placement: The NNFX trading system places a significant emphasis on risk management and requires traders to place a stop loss order on every trade. The system uses a combination of technical analysis and market structure to determine the appropriate stop loss level.
6. Trade Management: The NNFX trading system has specific rules for managing open trades. The system aims to minimize risk and maximize profit by using a combination of trailing stops, take profit levels, and position sizing.
Overall, the NNFX trading system is designed to be a straightforward and easy-to-follow approach to Forex trading that can be applied by traders of all skill levels.
Core components of an NNFX algorithmic trading strategy
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
What is Volatility in the NNFX trading system?
In the NNFX (No Nonsense Forex) trading system, ATR (Average True Range) is typically used to measure the volatility of an asset. It is used as a part of the system to help determine the appropriate stop loss and take profit levels for a trade. ATR is calculated by taking the average of the true range values over a specified period.
True range is calculated as the maximum of the following values:
-Current high minus the current low
-Absolute value of the current high minus the previous close
-Absolute value of the current low minus the previous close
ATR is a dynamic indicator that changes with changes in volatility. As volatility increases, the value of ATR increases, and as volatility decreases, the value of ATR decreases. By using ATR in NNFX system, traders can adjust their stop loss and take profit levels according to the volatility of the asset being traded. This helps to ensure that the trade is given enough room to move, while also minimizing potential losses.
Other types of volatility include True Range Double (TRD), Close-to-Close, and Garman-Klass
What is a Baseline indicator?
The baseline is essentially a moving average, and is used to determine the overall direction of the market.
The baseline in the NNFX system is used to filter out trades that are not in line with the long-term trend of the market. The baseline is plotted on the chart along with other indicators, such as the Moving Average (MA), the Relative Strength Index (RSI), and the Average True Range (ATR).
Trades are only taken when the price is in the same direction as the baseline. For example, if the baseline is sloping upwards, only long trades are taken, and if the baseline is sloping downwards, only short trades are taken. This approach helps to ensure that trades are in line with the overall trend of the market, and reduces the risk of entering trades that are likely to fail.
By using a baseline in the NNFX system, traders can have a clear reference point for determining the overall trend of the market, and can make more informed trading decisions. The baseline helps to filter out noise and false signals, and ensures that trades are taken in the direction of the long-term trend.
What is a Confirmation indicator?
Confirmation indicators are technical indicators that are used to confirm the signals generated by primary indicators. Primary indicators are the core indicators used in the NNFX system, such as the Average True Range (ATR), the Moving Average (MA), and the Relative Strength Index (RSI).
The purpose of the confirmation indicators is to reduce false signals and improve the accuracy of the trading system. They are designed to confirm the signals generated by the primary indicators by providing additional information about the strength and direction of the trend.
Some examples of confirmation indicators that may be used in the NNFX system include the Bollinger Bands, the MACD (Moving Average Convergence Divergence), and the Stochastic Oscillator. These indicators can provide information about the volatility, momentum, and trend strength of the market, and can be used to confirm the signals generated by the primary indicators.
In the NNFX system, confirmation indicators are used in combination with primary indicators and other filters to create a trading system that is robust and reliable. By using multiple indicators to confirm trading signals, the system aims to reduce the risk of false signals and improve the overall profitability of the trades.
What is a Continuation indicator?
In the NNFX (No Nonsense Forex) trading system, a continuation indicator is a technical indicator that is used to confirm a current trend and predict that the trend is likely to continue in the same direction. A continuation indicator is typically used in conjunction with other indicators in the system, such as a baseline indicator, to provide a comprehensive trading strategy.
What is a Volatility/Volume indicator?
Volume indicators, such as the On Balance Volume (OBV), the Chaikin Money Flow (CMF), or the Volume Price Trend (VPT), are used to measure the amount of buying and selling activity in a market. They are based on the trading volume of the market, and can provide information about the strength of the trend. In the NNFX system, volume indicators are used to confirm trading signals generated by the Moving Average and the Relative Strength Index. Volatility indicators include Average Direction Index, Waddah Attar, and Volatility Ratio. In the NNFX trading system, volatility is a proxy for volume and vice versa.
By using volume indicators as confirmation tools, the NNFX trading system aims to reduce the risk of false signals and improve the overall profitability of trades. These indicators can provide additional information about the market that is not captured by the primary indicators, and can help traders to make more informed trading decisions. In addition, volume indicators can be used to identify potential changes in market trends and to confirm the strength of price movements.
What is an Exit indicator?
The exit indicator is used in conjunction with other indicators in the system, such as the Moving Average (MA), the Relative Strength Index (RSI), and the Average True Range (ATR), to provide a comprehensive trading strategy.
The exit indicator in the NNFX system can be any technical indicator that is deemed effective at identifying optimal exit points. Examples of exit indicators that are commonly used include the Parabolic SAR, the Average Directional Index (ADX), and the Chandelier Exit.
The purpose of the exit indicator is to identify when a trend is likely to reverse or when the market conditions have changed, signaling the need to exit a trade. By using an exit indicator, traders can manage their risk and prevent significant losses.
In the NNFX system, the exit indicator is used in conjunction with a stop loss and a take profit order to maximize profits and minimize losses. The stop loss order is used to limit the amount of loss that can be incurred if the trade goes against the trader, while the take profit order is used to lock in profits when the trade is moving in the trader's favor.
Overall, the use of an exit indicator in the NNFX trading system is an important component of a comprehensive trading strategy. It allows traders to manage their risk effectively and improve the profitability of their trades by exiting at the right time.
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average
Volatility/Volume: Damiani Volatmeter
Confirmation 1: Blau OMA Ergodic Candlestick Oscillator as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ GKD-C Blau OMA Ergodic Candlestick Oscillator
What is OMA?
Adaptive, One More Moving Average (OMA) is an adaptive moving average created by Mladen Rakic that changes shape with volatility and momentum
The usual story goes something like this : which is the best moving average? Everyone that ever started to do any kind of technical analysis was pulled into this "game". Comparing, testing, looking for new ones, testing ...
The idea of this one is simple: it should not be itself, but it should be a kind of a chameleon - it should "imitate" as much other moving averages as it can. So the need for zillion different moving averages would diminish. And it should have some extra, of course:
The extras:
it has to be smooth
it has to be able to "change speed" without length change
it has to be able to adapt or not (since it has to "imitate" the non-adaptive as well as the adaptive ones)
The steps:
Smoothing - compared are the simple moving average (that is the basis and the first step of this indicator - a smoothed simple moving average with as little lag added as it is possible and as close to the original as it is possible) Speed 1 and non-adaptive are the reference for this basic setup.
Speed changing - same chart only added one more average with "speeds" 2 and 3 (for comparison purposes only here)
Finally - adapting : same chart with SMA compared to one more average with speed 1 but adaptive (so this parameters would make it a "smoothed adaptive simple average") Adapting part is a modified Kaufman adapting way and this part (the adapting part) may be a subject for changes in the future (it is giving satisfactory results, but if or when I find a better way, it will be implemented here)
Some comparisons for different speed settings (all the comparisons are without adaptive turned on, and are approximate. Approximation comes from a fact that it is impossible to get exactly the same values from only one way of calculation, and frankly, I even did not try to get those same values).
speed 0.5 - T3 (0.618 Tilson)
speed 2.5 - T3 (0.618 Fulks/Matulich)
speed 1 - SMA , harmonic mean
speed 2 - LWMA
speed 7 - very similar to Hull and TEMA
speed 8 - very similar to LSMA and Linear regression value
Parameters:
Length - length (period) for averaging
Source - price to use for averaging
Speed - desired speed (i limited to -1.5 on the lower side but it even does not need that limit - some interesting results with speeds that are less than 0 can be achieved)
Adaptive - does it adapt or not
What is OMA Ergodic Candlestick Oscillator?
We refer to the Ergodic Candlestick Oscillator (ECO) as a momentum indicator, which considers the candlestick body's size and direction. It is a reliable and smooth momentum indicator because it is not affected by price gaps, unlike other momentum indicators. It can be used to confirm or define trends, and we use it as an alternative to weekly indicators. To determine the trend, you can look at the indicator's location relative to the "0" line, where above "0" indicates an uptrend and below "0" indicates a downtrend. Additionally, the slope and crossing points of the slow and fast lines can be used as an additional qualifier. When the ECO is below "0," only short signals from the Hi-Lo Activator should be taken, and when it is above "0," only long signals should be taken.
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation Complex: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Solo Confirmation Simple: GKD-BT Backtest strategy
Additional features will be added in future releases.
GKD-C Fractal-Dimension-Adaptive SMA w/ DSL [Loxx]Giga Kaleidoscope GKD-C Fractal-Dimension-Adaptive SMA w/ DSL is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is the NNFX algorithmic trading strategy?
The NNFX (No-Nonsense Forex) trading system is a comprehensive approach to Forex trading that is designed to simplify the process and remove the confusion and complexity that often surrounds trading. The system was developed by a Forex trader who goes by the pseudonym "VP" and has gained a significant following in the Forex community.
The NNFX trading system is based on a set of rules and guidelines that help traders make objective and informed decisions. These rules cover all aspects of trading, including market analysis, trade entry, stop loss placement, and trade management.
Here are the main components of the NNFX trading system:
1. Trading Philosophy: The NNFX trading system is based on the idea that successful trading requires a comprehensive understanding of the market, objective analysis, and strict risk management. The system aims to remove subjective elements from trading and focuses on objective rules and guidelines.
2. Technical Analysis: The NNFX trading system relies heavily on technical analysis and uses a range of indicators to identify high-probability trading opportunities. The system uses a combination of trend-following and mean-reverting strategies to identify trades.
3. Market Structure: The NNFX trading system emphasizes the importance of understanding the market structure, including price action, support and resistance levels, and market cycles. The system uses a range of tools to identify the market structure, including trend lines, channels, and moving averages.
4. Trade Entry: The NNFX trading system has strict rules for trade entry. The system uses a combination of technical indicators to identify high-probability trades, and traders must meet specific criteria to enter a trade.
5. Stop Loss Placement: The NNFX trading system places a significant emphasis on risk management and requires traders to place a stop loss order on every trade. The system uses a combination of technical analysis and market structure to determine the appropriate stop loss level.
6. Trade Management: The NNFX trading system has specific rules for managing open trades. The system aims to minimize risk and maximize profit by using a combination of trailing stops, take profit levels, and position sizing.
Overall, the NNFX trading system is designed to be a straightforward and easy-to-follow approach to Forex trading that can be applied by traders of all skill levels.
Core components of an NNFX algorithmic trading strategy
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
What is Volatility in the NNFX trading system?
In the NNFX (No Nonsense Forex) trading system, ATR (Average True Range) is typically used to measure the volatility of an asset. It is used as a part of the system to help determine the appropriate stop loss and take profit levels for a trade. ATR is calculated by taking the average of the true range values over a specified period.
True range is calculated as the maximum of the following values:
-Current high minus the current low
-Absolute value of the current high minus the previous close
-Absolute value of the current low minus the previous close
ATR is a dynamic indicator that changes with changes in volatility. As volatility increases, the value of ATR increases, and as volatility decreases, the value of ATR decreases. By using ATR in NNFX system, traders can adjust their stop loss and take profit levels according to the volatility of the asset being traded. This helps to ensure that the trade is given enough room to move, while also minimizing potential losses.
Other types of volatility include True Range Double (TRD), Close-to-Close, and Garman-Klass
What is a Baseline indicator?
The baseline is essentially a moving average, and is used to determine the overall direction of the market.
The baseline in the NNFX system is used to filter out trades that are not in line with the long-term trend of the market. The baseline is plotted on the chart along with other indicators, such as the Moving Average (MA), the Relative Strength Index (RSI), and the Average True Range (ATR).
Trades are only taken when the price is in the same direction as the baseline. For example, if the baseline is sloping upwards, only long trades are taken, and if the baseline is sloping downwards, only short trades are taken. This approach helps to ensure that trades are in line with the overall trend of the market, and reduces the risk of entering trades that are likely to fail.
By using a baseline in the NNFX system, traders can have a clear reference point for determining the overall trend of the market, and can make more informed trading decisions. The baseline helps to filter out noise and false signals, and ensures that trades are taken in the direction of the long-term trend.
What is a Confirmation indicator?
Confirmation indicators are technical indicators that are used to confirm the signals generated by primary indicators. Primary indicators are the core indicators used in the NNFX system, such as the Average True Range (ATR), the Moving Average (MA), and the Relative Strength Index (RSI).
The purpose of the confirmation indicators is to reduce false signals and improve the accuracy of the trading system. They are designed to confirm the signals generated by the primary indicators by providing additional information about the strength and direction of the trend.
Some examples of confirmation indicators that may be used in the NNFX system include the Bollinger Bands, the MACD (Moving Average Convergence Divergence), and the Stochastic Oscillator. These indicators can provide information about the volatility, momentum, and trend strength of the market, and can be used to confirm the signals generated by the primary indicators.
In the NNFX system, confirmation indicators are used in combination with primary indicators and other filters to create a trading system that is robust and reliable. By using multiple indicators to confirm trading signals, the system aims to reduce the risk of false signals and improve the overall profitability of the trades.
What is a Continuation indicator?
In the NNFX (No Nonsense Forex) trading system, a continuation indicator is a technical indicator that is used to confirm a current trend and predict that the trend is likely to continue in the same direction. A continuation indicator is typically used in conjunction with other indicators in the system, such as a baseline indicator, to provide a comprehensive trading strategy.
What is a Volatility/Volume indicator?
Volume indicators, such as the On Balance Volume (OBV), the Chaikin Money Flow (CMF), or the Volume Price Trend (VPT), are used to measure the amount of buying and selling activity in a market. They are based on the trading volume of the market, and can provide information about the strength of the trend. In the NNFX system, volume indicators are used to confirm trading signals generated by the Moving Average and the Relative Strength Index. Volatility indicators include Average Direction Index, Waddah Attar, and Volatility Ratio. In the NNFX trading system, volatility is a proxy for volume and vice versa.
By using volume indicators as confirmation tools, the NNFX trading system aims to reduce the risk of false signals and improve the overall profitability of trades. These indicators can provide additional information about the market that is not captured by the primary indicators, and can help traders to make more informed trading decisions. In addition, volume indicators can be used to identify potential changes in market trends and to confirm the strength of price movements.
What is an Exit indicator?
The exit indicator is used in conjunction with other indicators in the system, such as the Moving Average (MA), the Relative Strength Index (RSI), and the Average True Range (ATR), to provide a comprehensive trading strategy.
The exit indicator in the NNFX system can be any technical indicator that is deemed effective at identifying optimal exit points. Examples of exit indicators that are commonly used include the Parabolic SAR, the Average Directional Index (ADX), and the Chandelier Exit.
The purpose of the exit indicator is to identify when a trend is likely to reverse or when the market conditions have changed, signaling the need to exit a trade. By using an exit indicator, traders can manage their risk and prevent significant losses.
In the NNFX system, the exit indicator is used in conjunction with a stop loss and a take profit order to maximize profits and minimize losses. The stop loss order is used to limit the amount of loss that can be incurred if the trade goes against the trader, while the take profit order is used to lock in profits when the trade is moving in the trader's favor.
Overall, the use of an exit indicator in the NNFX trading system is an important component of a comprehensive trading strategy. It allows traders to manage their risk effectively and improve the profitability of their trades by exiting at the right time.
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average
Volatility/Volume: Jurik DMX
Confirmation 1: GKD-V Fractal-Dimension-Adaptive SMA w/ DSL as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ GKD-V Fractal-Dimension-Adaptive SMA w/ DSL
Fractal-Dimension-Adaptive SMA (FDASMA) w/ DSL is a fractal-dimension-index-adaptive SMA . The SMA is accelerated during a trend and slowed down during a sideways market, so as to avoid false signals. This indicator uses the fractal dimension to compute an ingest period length into the SMA to output the FDASMA.
What is the Fractal Dimension Index?
The goal of the fractal dimension index is to determine whether the market is trending or in a trading range. It does not measure the direction of the trend. A value less than 1.5 indicates that the price series is persistent or that the market is trending. Lower values of the FDI indicate a stronger trend. A value greater than 1.5 indicates that the market is in a trading range and is acting in a more random fashion.
What are DSL Discontinued Signal Line?
A lot of indicators are using signal lines in order to determine the trend (or some desired state of the indicator) easier. The idea of the signal line is easy : comparing the value to it's smoothed (slightly lagging) state, the idea of current momentum/state is made.
Discontinued signal line is inheriting that simple signal line idea and it is extending it : instead of having one signal line, more lines depending on the current value of the indicator.
"Signal" line is calculated the following way :
When a certain level is crossed into the desired direction, the EMA of that value is calculated for the desired signal line
When that level is crossed into the opposite direction, the previous "signal" line value is simply "inherited" and it becomes a kind of a level
This way it becomes a combination of signal lines and levels that are trying to combine both the good from both methods.
In simple terms, DSL uses the concept of a signal line and betters it by inheriting the previous signal line's value & makes it a level.
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation Complex: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Solo Confirmation Simple: GKD-BT Backtest strategy
Additional features will be added in future releases.
GKD-C Jurik Volatility Adaptive EMA [Loxx]Giga Kaleidoscope Jurik Volatility Adaptive EMA is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is the NNFX algorithmic trading strategy?
The NNFX (No-Nonsense Forex) trading system is a comprehensive approach to Forex trading that is designed to simplify the process and remove the confusion and complexity that often surrounds trading. The system was developed by a Forex trader who goes by the pseudonym "VP" and has gained a significant following in the Forex community.
The NNFX trading system is based on a set of rules and guidelines that help traders make objective and informed decisions. These rules cover all aspects of trading, including market analysis, trade entry, stop loss placement, and trade management.
Here are the main components of the NNFX trading system:
1. Trading Philosophy: The NNFX trading system is based on the idea that successful trading requires a comprehensive understanding of the market, objective analysis, and strict risk management. The system aims to remove subjective elements from trading and focuses on objective rules and guidelines.
2. Technical Analysis: The NNFX trading system relies heavily on technical analysis and uses a range of indicators to identify high-probability trading opportunities. The system uses a combination of trend-following and mean-reverting strategies to identify trades.
3. Market Structure: The NNFX trading system emphasizes the importance of understanding the market structure, including price action, support and resistance levels, and market cycles. The system uses a range of tools to identify the market structure, including trend lines, channels, and moving averages.
4. Trade Entry: The NNFX trading system has strict rules for trade entry. The system uses a combination of technical indicators to identify high-probability trades, and traders must meet specific criteria to enter a trade.
5. Stop Loss Placement: The NNFX trading system places a significant emphasis on risk management and requires traders to place a stop loss order on every trade. The system uses a combination of technical analysis and market structure to determine the appropriate stop loss level.
6. Trade Management: The NNFX trading system has specific rules for managing open trades. The system aims to minimize risk and maximize profit by using a combination of trailing stops, take profit levels, and position sizing.
Overall, the NNFX trading system is designed to be a straightforward and easy-to-follow approach to Forex trading that can be applied by traders of all skill levels.
Core components of an NNFX algorithmic trading strategy
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average
Volatility/Volume: Volatility Ratio
Confirmation 1: Jurik Volatility Adaptive EMA as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ Jurik Volatility Adaptive EMA
What is Jurik Filter?
The Jurik Filter is a technical analysis tool that is used to filter out market noise and identify trends in financial markets. It was developed by Mark Jurik in the 1990s and is based on a non-linear smoothing algorithm that provides a more accurate representation of price movements.
Traditional moving averages, such as the Simple Moving Average (SMA) or Exponential Moving Average (EMA), are linear filters that produce a lag between price and the moving average line. This can cause false signals during periods of market volatility, which can result in losses for traders and investors.
The Jurik Filter is designed to address this issue by incorporating a damping factor into the smoothing algorithm. This damping factor adjusts the filter's responsiveness to the changes in price, allowing it to filter out market noise without overshooting price peaks and valleys.
The Jurik Filter is calculated using a mathematical formula that takes into account the current and past prices of an asset, as well as the volatility of the market. This formula incorporates the damping factor and produces a smoother price curve than traditional moving average filters.
One of the advantages of the Jurik Filter is its ability to adjust to changing market conditions. The damping factor can be adjusted to suit different securities and time frames, making it a versatile tool for traders and investors.
Traders and investors often use the Jurik Filter in conjunction with other technical analysis tools, such as the MACD or RSI, to confirm or complement their trading strategies. By filtering out market noise and identifying trends in the financial markets, the Jurik Filter can help improve the accuracy of trading signals and reduce the risks of false signals during periods of market volatility.
Overall, the Jurik Filter is a powerful technical analysis tool that can help traders and investors make more informed decisions about buying and selling securities. By providing a smoother price curve and reducing false signals, it can help improve trading performance and reduce risk in volatile markets.
What is Jurik Volatility?
Jurik Volatility is a technical analysis indicator developed by Mark Jurik to measure the volatility of financial markets. It is designed to provide a more accurate measure of market volatility than other traditional volatility indicators, such as the Average True Range (ATR) or Standard Deviation.
The Jurik Volatility indicator uses a non-linear smoothing algorithm that filters out market noise and provides a more accurate representation of price movements. It is calculated by taking the difference between the current price and a moving average of prices, and then applying a damping factor to adjust the responsiveness of the indicator to changes in volatility.
The damping factor used in the Jurik Volatility indicator adjusts the speed at which the indicator responds to changes in volatility. This makes it more responsive during periods of high volatility and less responsive during periods of low volatility. This helps to filter out false signals and provides a more accurate representation of market volatility.
One of the advantages of the Jurik Volatility indicator is its ability to adjust to changing market conditions. The damping factor can be adjusted to suit different securities and time frames, making it a versatile tool for traders and investors.
Traders and investors often use the Jurik Volatility indicator to identify periods of high and low volatility in financial markets. It can help traders to adjust their trading strategies to suit different market conditions, and to manage their risk by adjusting their stop loss orders or position sizes.
Overall, the Jurik Volatility indicator is a useful tool for traders and investors who want to measure market volatility and make informed decisions about buying and selling securities. It can help to improve the accuracy of trading signals and reduce the risks of false signals during periods of market volatility.
What is the EMA?
The Exponential Moving Average (EMA) is a popular technical analysis indicator that gives more weight to recent price data than older data. It is a type of moving average that is calculated by applying a weighting factor to the price data based on the number of periods selected for the EMA calculation.
The formula for calculating the EMA is:
EMA = (Price(t) x Smoothing factor) + EMA(y) x (1 - Smoothing factor)
where:
-Price(t) is the current price
-EMA(y) is the EMA value for the previous period
-Smoothing factor = 2 / (Number of periods + 1)
The smoothing factor is used to give more weight to recent prices and less weight to older prices, with the weight decreasing exponentially over time. This makes the EMA more responsive to price changes than a simple moving average.
The EMA can be used to identify trend direction and potential reversals in the market. Traders often use EMAs of different periods to confirm trend direction and make trading decisions.
What is Jurik Volatility Adaptive EMA?
This indicator combines Jurik Filter with Jurik Volatility to form an crete an alpha value that is then injected into the EMA calculation to create an adaptive EMA.
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation Complex: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Solo Confirmation Simple: GKD-BT Backtest strategy
Additional features will be added in future releases.
GKD-C RSX on OMA [Loxx]Giga Kaleidoscope RSX on OMA is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is an NNFX algorithmic trading strategy?
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average
Volatility/Volume: JCFBaux
Confirmation 1: RSX on OMA as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ RSX on OMA
What is RSX?
The Jurik RSX (Relative Strength Index) is a technical indicator used in financial markets to measure the strength of price movement. It was developed by Mark Jurik and is based on the RSI formula, with the addition of smoothing and other modifications.
The Jurik RSX is designed to be smoother and more responsive than traditional RSI indicators, making it more useful for detecting trends and trading signals. It is also less prone to false signals and noise, which can be a problem with some other technical indicators.
The Jurik RSX can be used in a variety of ways, including as a trend-following indicator or a momentum indicator. It can also be combined with other indicators and trading strategies to improve overall performance.
What is OMA?
Adaptive, One More Moving Average (OMA) is an adaptive moving average created by Mladen Rakic that changes shape with volatility and momentum
The usual story goes something like this : which is the best moving average? Everyone that ever started to do any kind of technical analysis was pulled into this "game". Comparing, testing, looking for new ones, testing ...
The idea of this one is simple: it should not be itself, but it should be a kind of a chameleon - it should "imitate" as much other moving averages as it can. So the need for zillion different moving averages would diminish. And it should have some extra, of course:
The extras:
it has to be smooth
it has to be able to "change speed" without length change
it has to be able to adapt or not (since it has to "imitate" the non-adaptive as well as the adaptive ones)
The steps:
Smoothing - compared are the simple moving average (that is the basis and the first step of this indicator - a smoothed simple moving average with as little lag added as it is possible and as close to the original as it is possible) Speed 1 and non-adaptive are the reference for this basic setup.
Speed changing - same chart only added one more average with "speeds" 2 and 3 (for comparison purposes only here)
Finally - adapting : same chart with SMA compared to one more average with speed 1 but adaptive (so this parameters would make it a "smoothed adaptive simple average") Adapting part is a modified Kaufman adapting way and this part (the adapting part) may be a subject for changes in the future (it is giving satisfactory results, but if or when I find a better way, it will be implemented here)
Some comparisons for different speed settings (all the comparisons are without adaptive turned on, and are approximate. Approximation comes from a fact that it is impossible to get exactly the same values from only one way of calculation, and frankly, I even did not try to get those same values).
speed 0.5 - T3 (0.618 Tilson)
speed 2.5 - T3 (0.618 Fulks/Matulich)
speed 1 - SMA , harmonic mean
speed 2 - LWMA
speed 7 - very similar to Hull and TEMA
speed 8 - very similar to LSMA and Linear regression value
Parameters:
Length - length (period) for averaging
Source - price to use for averaging
Speed - desired speed (i limited to -1.5 on the lower side but it even does not need that limit - some interesting results with speeds that are less than 0 can be achieved)
Adaptive - does it adapt or not
What is RSX on OMA?
For our purposes here, the source input is smoothed using OMA and then run through a modified version of RSX to produce the oscillator.
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Additional features will be added in future releases.
GKD-V JCFBaux [Loxx]Giga Kaleidoscope JCFBaux is a Volatility/Volume module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is an NNFX algorithmic trading strategy?
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average
Volatility/Volume: JCFBaux as shown on the chart above
Confirmation 1: Trading Channel Index
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ JCFBaux
What is JCFBaux?
JCFBaux is a custom volatility indicator that is designed to detect early spikes in volatility in financial markets. It is often used in conjunction with other momentum indicators to provide confluence in trading decisions. The indicator includes a Jurik-filtered signal line that acts as a cutoff for when volatility is low. Additionally, JCFBaux is used to calculate Jurik's "Composite Fractal Behavior". This is a non-directional GKD-V Volatility/Volume indicator.
Requirements
Inputs
Chained: GKD-B Baseline
Solo: NA, no inputs
Outputs
Chained: GKD-C indicators Confirmation 1 or Solo Confirmation Complex
Solo: GKD-BT Backtest
Additional features will be added in future releases.
GKD-C KAMA w/ Jurik Fractal Dimension [Loxx]Giga Kaleidoscope KAMA w/ Jurik Fractal Dimension is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is an NNFX algorithmic trading strategy?
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average
Volatility/Volume: Volatility Ratio as shown on the chart above
Confirmation 1: KAMA w/ Jurik Fractal Dimension as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ KAMA w/ Jurik Fractal Dimension
What is KAMA w/ Jurik Fractal Dimension?
KAMA (Kaufman Adaptive Moving Average) with Jurik Fractal Dimension is a technical analysis indicator that combines the Kaufman Adaptive Moving Average (KAMA) with the Jurik Fractal Dimension indicator.
The KAMA is a type of moving average that is designed to adapt to changes in market volatility and trend. It is calculated by adjusting the smoothing period of an exponential moving average based on the volatility of the asset being analyzed. This makes the KAMA more responsive to changes in price than traditional moving averages, while still providing a stable trend line that reduces lag.
The Jurik Fractal Dimension indicator is a measure of the "fractality" of price movements. It is based on the idea that market prices are fractal in nature, meaning that they exhibit self-similar patterns across different time frames. The Jurik Fractal Dimension indicator measures the degree of fractality in price movements, with higher values indicating more complex and unpredictable price patterns.
By combining the KAMA with the Jurik Fractal Dimension indicator, traders can generate more accurate buy and sell signals. The KAMA helps to identify trends, while the Jurik Fractal Dimension indicator helps to filter out false signals by identifying whether price movements are trending or non-trending. This can help traders to avoid entering trades during periods of low volatility or when markets are trading sideways.
Overall, KAMA with Jurik Fractal Dimension is a sophisticated technical analysis tool that can help traders to identify trends and make more informed trading decisions. However, it is important to note that no indicator is foolproof and traders should always use multiple tools and strategies to confirm their trading decisions.
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Additional features will be added in future releases.
PA-Adaptive T3 Loxxer [Loxx]PA-Adaptive T3 Loxxer is a Loxxer indicator that is Phase Accumulation Cycle adaptive and uses T3 moving average for smoothing instead of the typical SMA or EMA . this allows for smoother signals by reducing noise.
What is Loxxer?
The Loxxer indicator is a technical analysis tool that compares the most recent maximum and minimum prices to the previous period's equivalent price to measure the demand of the underlying asset.
What is the Phase Accumulation Cycle?
The phase accumulation method of computing the dominant cycle is perhaps the easiest to comprehend. In this technique, we measure the phase at each sample by taking the arctangent of the ratio of the quadrature component to the in-phase component. A delta phase is generated by taking the difference of the phase between successive samples. At each sample we can then look backwards, adding up the delta phases.When the sum of the delta phases reaches 360 degrees, we must have passed through one full cycle, on average.The process is repeated for each new sample.
The phase accumulation method of cycle measurement always uses one full cycle’s worth of historical data.This is both an advantage and a disadvantage.The advantage is the lag in obtaining the answer scales directly with the cycle period.That is, the measurement of a short cycle period has less lag than the measurement of a longer cycle period. However, the number of samples used in making the measurement means the averaging period is variable with cycle period. longer averaging reduces the noise level compared to the signal.Therefore, shorter cycle periods necessarily have a higher out- put signal-to-noise ratio.
Included
Bar coloring
Signals
Alerts
Loxx's Expanded Source Types
Divergences
GKD-C Adaptive, One More Moving Average (OMA) [Loxx]Giga Kaleidoscope Adaptive, One More Moving Average (OMA) is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is an NNFX algorithmic trading strategy?
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average as shown on chart
Volatility/Volume: Waddah Attar as shown on chart
Confirmation 1: Adaptive, One More Moving Average (OMA) as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ Adaptive, One More Moving Average (OMA)
What is Adaptive, One More Moving Average (OMA)?
Adaptive, One More Moving Average (OMA) is an adaptive moving average created by Mladen Rakic that changes shape with volatility and momentum
The usual story goes something like this : which is the best moving average? Everyone that ever started to do any kind of technical analysis was pulled into this "game". Comparing, testing, looking for new ones, testing ...
The idea of this one is simple: it should not be itself, but it should be a kind of a chameleon - it should "imitate" as much other moving averages as it can. So the need for zillion different moving averages would diminish. And it should have some extra, of course:
The extras:
it has to be smooth
it has to be able to "change speed" without length change
it has to be able to adapt or not (since it has to "imitate" the non-adaptive as well as the adaptive ones)
The steps:
Smoothing - compared are the simple moving average (that is the basis and the first step of this indicator - a smoothed simple moving average with as little lag added as it is possible and as close to the original as it is possible) Speed 1 and non-adaptive are the reference for this basic setup.
Speed changing - same chart only added one more average with "speeds" 2 and 3 (for comparison purposes only here)
Finally - adapting : same chart with SMA compared to one more average with speed 1 but adaptive (so this parameters would make it a "smoothed adaptive simple average") Adapting part is a modified Kaufman adapting way and this part (the adapting part) may be a subject for changes in the future (it is giving satisfactory results, but if or when I find a better way, it will be implemented here)
Some comparisons for different speed settings (all the comparisons are without adaptive turned on, and are approximate. Approximation comes from a fact that it is impossible to get exactly the same values from only one way of calculation, and frankly, I even did not try to get those same values).
speed 0.5 - T3 (0.618 Tilson)
speed 2.5 - T3 (0.618 Fulks/Matulich)
speed 1 - SMA , harmonic mean
speed 2 - LWMA
speed 7 - very similar to Hull and TEMA
speed 8 - very similar to LSMA and Linear regression value
Parameters:
Length - length (period) for averaging
Source - price to use for averaging
Speed - desired speed (i limited to -1.5 on the lower side but it even does not need that limit - some interesting results with speeds that are less than 0 can be achieved)
Adaptive - does it adapt or not
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Additional features will be added in future releases.
GKD-C Cycle-Period Adaptive, Linear Regression Slope [Loxx]Giga Kaleidoscope Cycle-Period Adaptive, Linear Regression Slope Oscillator is a Confirmation module included in Loxx's "Giga Kaleidoscope Modularized Trading System".
█ Giga Kaleidoscope Modularized Trading System
What is Loxx's "Giga Kaleidoscope Modularized Trading System"?
The Giga Kaleidoscope Modularized Trading System is a trading system built on the philosophy of the NNFX (No Nonsense Forex) algorithmic trading.
What is an NNFX algorithmic trading strategy?
The NNFX algorithm is built on the principles of trend, momentum, and volatility. There are six core components in the NNFX trading algorithm:
1. Volatility - price volatility; e.g., Average True Range, True Range Double, Close-to-Close, etc.
2. Baseline - a moving average to identify price trend
3. Confirmation 1 - a technical indicator used to identify trends
4. Confirmation 2 - a technical indicator used to identify trends
5. Continuation - a technical indicator used to identify trends
6. Volatility/Volume - a technical indicator used to identify volatility/volume breakouts/breakdown
7. Exit - a technical indicator used to determine when a trend is exhausted
How does Loxx's GKD (Giga Kaleidoscope Modularized Trading System) implement the NNFX algorithm outlined above?
Loxx's GKD v1.0 system has five types of modules (indicators/strategies). These modules are:
1. GKD-BT - Backtesting module (Volatility, Number 1 in the NNFX algorithm)
2. GKD-B - Baseline module (Baseline and Volatility/Volume, Numbers 1 and 2 in the NNFX algorithm)
3. GKD-C - Confirmation 1/2 and Continuation module (Confirmation 1/2 and Continuation, Numbers 3, 4, and 5 in the NNFX algorithm)
4. GKD-V - Volatility/Volume module (Confirmation 1/2, Number 6 in the NNFX algorithm)
5. GKD-E - Exit module (Exit, Number 7 in the NNFX algorithm)
(additional module types will added in future releases)
Each module interacts with every module by passing data between modules. Data is passed between each module as described below:
GKD-B => GKD-V => GKD-C(1) => GKD-C(2) => GKD-C(Continuation) => GKD-E => GKD-BT
That is, the Baseline indicator passes its data to Volatility/Volume. The Volatility/Volume indicator passes its values to the Confirmation 1 indicator. The Confirmation 1 indicator passes its values to the Confirmation 2 indicator. The Confirmation 2 indicator passes its values to the Continuation indicator. The Continuation indicator passes its values to the Exit indicator, and finally, the Exit indicator passes its values to the Backtest strategy.
This chaining of indicators requires that each module conform to Loxx's GKD protocol, therefore allowing for the testing of every possible combination of technical indicators that make up the six components of the NNFX algorithm.
What does the application of the GKD trading system look like?
Example trading system:
Backtest: Strategy with 1-3 take profits, trailing stop loss, multiple types of PnL volatility, and 2 backtesting styles
Baseline: Hull Moving Average as shown on chart
Volatility/Volume: Waddah Attar as shown on chart
Confirmation 1: Cycle-Period Adaptive, Linear Regression Slope Oscillator as shown on the chart above
Confirmation 2: Williams Percent Range
Continuation: Fisher Transform
Exit: Rex Oscillator
Each GKD indicator is denoted with a module identifier of either: GKD-BT, GKD-B, GKD-C, GKD-V, or GKD-E. This allows traders to understand to which module each indicator belongs and where each indicator fits into the GKD protocol chain.
Giga Kaleidoscope Modularized Trading System Signals (based on the NNFX algorithm)
Standard Entry
1. GKD-C Confirmation 1 Signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
6. GKD-C Confirmation 1 signal was less than 7 candles prior
Continuation Entry
1. Standard Entry, Baseline Entry, or Pullback; entry triggered previously
2. GKD-B Baseline hasn't crossed since entry signal trigger
3. GKD-C Confirmation Continuation Indicator signals
4. GKD-C Confirmation 1 agrees
5. GKD-B Baseline agrees
6. GKD-C Confirmation 2 agrees
1-Candle Rule Standard Entry
1. GKD-C Confirmation 1 signal
2. GKD-B Baseline agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume agrees
1-Candle Rule Baseline Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
4. GKD-C Confirmation 1 signal was less than 7 candles prior
Next Candle:
1. Price retraced (Long: close < close or Short: close > close )
2. GKD-B Baseline agrees
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
PullBack Entry
1. GKD-B Baseline signal
2. GKD-C Confirmation 1 agrees
3. Price is beyond 1.0x Volatility of Baseline
Next Candle:
1. Price is within a range of 0.2x Volatility and 1.0x Volatility of the Goldie Locks Mean
3. GKD-C Confirmation 1 agrees
4. GKD-C Confirmation 2 agrees
5. GKD-V Volatility/Volume Agrees
█ Cycle-Period Adaptive, Linear Regression Slope Oscillator
What is Cycle-Period Adaptive, Linear Regression Slope Oscillator?
Cycle-Period Adaptive, Linear Regression Slope Oscillator is an oscillator that solves for the Linear Regression slope and turns it into an oscillator. This is a very simple calculation and uses one of Ehler's first implementations of his cycle period calculations. The output slope value is smoothed after calculation and before being drawn. This is a sort of momentum indicator and has a rich history with Forex traders around the world.
What is the Cycle Period?
The spectral content of the data are measured in a bank of contiguous filters as described in "Measuring Cycle Periods" in the March 2008 issue of Stocks & Commodities Magazine. The filter having the strongest output is selected as the current dominant cycle period. The cycle period is measured as the number of bars contained in one full cycle period.
What is Linear Regression?
In statistics, linear regression is a linear approach for modeling the relationship between a scalar response and one or more explanatory variables. The case of one explanatory variable is called simple linear regression ; for more than one, the process is called multiple linear regression.
Requirements
Inputs
Confirmation 1 and Solo Confirmation: GKD-V Volatility / Volume indicator
Confirmation 2: GKD-C Confirmation indicator
Outputs
Confirmation 2 and Solo Confirmation: GKD-E Exit indicator
Confirmation 1: GKD-C Confirmation indicator
Continuation: GKD-E Exit indicator
Additional features will be added in future releases.
Another New Adaptive Moving Average [CC]The New Adaptive Moving Average was created by Scott Cong (Stocks and Commodities Mar 2023) and this is a companion indicator to my previous script . This indicator still works off of the same concept as before with effort vs results but this indicator takes a slightly different approach and instead defines results as the absolute difference between the closing price and a closing price x bars ago. As you can see in my chart example, this indicator works great to stay with the current trend and provides either a stop loss or take profit target depending on which direction you are going in. As always, I use darker colors to show stronger signals and lighter colors to show normal signals. Buy when the line turns green and sell when it turns red.
Let me know if there are any other indicator scripts you would like to see me publish!
A New Adaptive Moving Average [CC]The New Adaptive Moving Average was created by Scott Cong (Stocks and Commodities Mar 2023) and his idea was to focus on the Adaptive Moving Average created by Perry Kaufman and to try to improve it by introducing a concept of effort vs results. In this case the effort would be the total range of the underlying price action since each bar is essentially a war of the bulls vs the bears. The result would be the total range of the close so we are looking for the highest close and lowest close in that same time period. This gives us an alpha that we can use to plug into the Kaufman Adaptive Moving Average algorithm which gives us a brand new indicator that can hug the price just enough to allow us to ride the stock up or down. I have color coded it to be darker colors when it is a strong signal and lighter colors when it is a normal signal. Buy when the line turns green and sell when it turns red.
Let me know if there are any other indicators you would like to see me publish!
Tailored-Custom Hamonic Patterns█ OVERVIEW
We have included by default 3 known Patterns. The Bat, the Butterfly and the Gartley. But have you ever wondered how effective other,
not yet known models could be? Don't ask yourself the question anymore, it's time to find out for yourself! You have the option to customize
your own Patterns with the Backtesting tool and set Retracement Ratios and Targets for your own Patterns. In addition to this, in order to determine
the Trend at a glance and make Pattern detection more efficient, we have linked the calculation of Patterns to Bands of several types to choose
from (Bollinger, Keltner, Donchian) that you can select from a drop-down menu in the settings and play with the Multiplier
and the Adaptive Length of the Patterns to see how it affects the success rate in the Backtesting table.
█ HOW DOES IT WORK?
- Harmonic Patterns
-Pattern Names, Colors, Style etc… Everything is customizable.
-Dynamic Adaptative Length with Min/Max Length.
- XAB/ABC Ratio
-Min/Max XAB/ABC Configurable Ratio for each Pattern to create your own Patterns.
(This is really the particular option of this Indicator, because it allows you to be able to Backtest in real time
after having played at configuring your own Ratios)
- Bands
-Contrary to the original logic of the HeWhoMustNotBeNamed script, here when the price breaks out of the upper Bands
(example, Bollinger band, Keltner Channel or Donchian Channel) , with a predetermined Minimum and Maximum Length and Multiplier, we can consider
the Trend to be Bearish (and not Bullish) and similarly when the price breaks down in the lower band, we can consider the Trend
to be Bullish (not Bearish) . We have also added the middle line of the Channels (which can be useful for 'Scalper' type Traders.
-The Length of the Bands Filter is directly related to the Dynamic Length of the Patterns.
-You can use a drop-down menu to select from the following Bands Filters :
SMA, EMA, HMA, RMA, WMA, VWMA, HIGH/LOW, LINREG, MEDIAN.
-Sticky and Adaptive Bands options has been included.
- Projections
-BD/CD Projection Ratio configurable for each Pattern.
(Projections are visible as Dotted Lines which we can choose to Extend or not)
- Targets
-Target, PRZ and Stop Levels are set to optimal values based on individual Patterns. (The PRZ Level corresponds to point D
of the detected Pattern so its value should always be 0) but you can change the Targets value (defined in %) as you wish.
Again here, you have the option to fully configure the Style and Extend the Lines or not.
- Backtesting Table
-As said previously, with the possibility of testing the Success Rate of each of the 3 Customizable Patterns,
this option is part of the logic of this Indicator.
- Alerts
-We originally believe that this Indicator does not even need Alerts. But we still decided to include at least one Alert
that you can set for when a new Pattern is detected.
█ NOTES
Thanks to HeWhoMustNotBeNamed for his permission to reuse some part of his zigzag scripts.
Remember to only make a decision once you are sure of your analysis. Good trading sessions to everyone and don't forget,
risk management remains the most important!
VHF Adaptive Linear Regression KAMAIntroduction
Heyo, in this indicator I decided to add VHF adaptivness, linear regression and smoothing to a KAMA in order to squeeze all out of it.
KAMA:
Developed by Perry Kaufman, Kaufman's Adaptive Moving Average (KAMA) is a moving average designed to account for market noise or volatility. KAMA will closely follow prices when the price swings are relatively small and the noise is low. KAMA will adjust when the price swings widen and follow prices from a greater distance. This trend-following indicator can be used to identify the overall trend, time turning points and filter price movements.
VHF:
Vertical Horizontal Filter (VHF) was created by Adam White to identify trending and ranging markets. VHF measures the level of trend activity, similar to ADX DI. Vertical Horizontal Filter does not, itself, generate trading signals, but determines whether signals are taken from trend or momentum indicators. Using this trend information, one is then able to derive an average cycle length.
Linear Regression Curve:
A line that best fits the prices specified over a user-defined time period.
This is very good to eliminate bad crosses of KAMA and the pric.
Usage
You can use this indicator on every timeframe I think. I mostly tested it on 1 min, 5 min and 15 min.
Signals
Enter Long -> crossover(close, kama) and crossover(kama, kama )
Enter Short -> crossunder(close, kama) and crossunder(kama, kama )
Thanks for checking this out!
--
Credits to
▪️@cheatcountry – Hann Window Smoohing
▪️@loxx – VHF and T3
▪️@LucF – Gradient
Adaptive RSI/Stochastic (ARSIS)As a trader, one of the most important aspects of technical analysis is identifying the dominant cycle of the market. The dominant cycle, also known as the market's "heartbeat," can provide valuable information on the current market trend and potential future price movements. One way to measure the dominant cycle is through the use of the MESA Adaptation - MAMA Cycle function, which is a part of the Dominant Cycle Estimators library.
I have developed an "Adaptive RSI/Stochastic" indicator that incorporates the MAMA Cycle function to provide more accurate and reliable signals. The indicator uses the MAMA Cycle function to calculate the period of the data, which is then used as a parameter in the calculation of the RSI and Stochastic indicators. By adapting the calculation of these indicators to the dominant cycle of the market, the resulting signals are more in tune with the current market conditions and can provide a more accurate representation of the current trend.
The MAMA Cycle function is a powerful tool that utilizes advanced mathematical techniques to accurately calculate the dominant cycle of the market. It takes into account the dynamic nature of the market and adapts the calculation of the period to the current conditions. The result is a more accurate and reliable measurement of the market's dominant cycle, which can be used to improve the performance of other indicators and trading strategies.
In conclusion, the Adaptive RSI/Stochastic indicator that I have developed, which incorporates the MAMA Cycle function, is a valuable tool for any trader looking to improve their technical analysis. By adapting the calculation of the RSI and Stochastic indicators to the dominant cycle of the market, the resulting signals are more in tune with the current market conditions and can provide a more accurate representation of the current trend.
Huge thank you to @lastguru for making this possible!
Elliot Wave Helper Table█ OVERVIEW
This indicator is intend to be helper to help Elliot Wave user to properly Elliot Wave tools according to correct degree such as 12345 or ABCWXY. The abbreviation changes according to timeframe.
█ FEATURES
1. Abbreviation degree adaptive to timeframe. Eg : Subminutte for 1 minute chart, etc.
2. Works for custom timeframe. Eg : Subminutte for 1 to 4 minute chart, etc.
3. Show reference table if necessary.
█ REFERENCE
Adaptive Elliot Wave Degree Chart
█ EXAMPLES / USAGES
Dynamic Array Table (versatile display methods)Library "datTable"
Dynamic Array Table.... Configurable Shape/Size Table from Arrays
Allows for any data in any size combination of arrays to join together
with:
all possible orientations!
filling all cells contiguously and/or flipping at boundaries
vertical or horizontal rotation
x/y axis direction swapping
all types array inputs for data.
please notify of any bugs. thanks
init(_posit)
Get Table (otional gapping cells)
Parameters:
_posit : String or Int (1-9 3x3 grid L to R)
Returns: Table
coords()
Req'd coords Seperate for VARIP table, non-varip coords
add
Add arrays to display table. coords reset each calc
uses displaytable object, string titles, and color optional array, and second line optional data array.
Pair Prowler [CR]Pair Prowler by Cryptorhythms
Intro
Members needed a new scalping indicator, so of course I listened and delivered. Pair prowler is not crypto specific and can be applied to a variety of timeframes, markets, and tickers. Its meant to be a general purpose scalping aid providing actionable signals that help you time the market.
Description
This indicator relies upon various methods relataed to probabilities, statistics and data science to predict optimal times to buy or sell any given time series data. The goal was to create a tool that isolated short form trades, making it easier to follow a noisy market. With built in safety features to help trades make smart decision real time when it matters. The focus is making high hit rate uncorrelated returns to your base market.
There are still a large list of features to implement on the indicator. Most of the parameters will be made dynamic needed no changing or interaction from the user. This will also help prevent potential overfits from over-enthusiastic optimization =)
Private
This indicator is reserved for our members only to prevent decay as long as possible. You can view my signature at the bottom of this post for more information on membership. Membership seats are also capped!
Dont worry, there are 2 new free public scripts coming as well in the near future!
Musashi_Katana=== Musashi-Katana ===
This tool was designed to fit my particular trading style and personal theories about the "Alchemy of the markets" and ''Harmonic Structure'.
Context
When following a Technical approach to to surf the markets, there are teachings that must be understood before reaching a confort-zone, this usually happen the possible worst way by constant experimentation, it hurts.
Here few technical hints:
- Align High timeframes with lower timeframes:
This simple concept relax a lot complexity of finding of a trend bias. Musashi-Katana allows you to use technical indicator corresponding to specific timeframes, like daily weekly or yearly. They wont change when you change the chart's timeframe, its very useful as you know where you're standing in the long term, Its quite relaxing.
- Use volume:
The constant usage of volume will allow you to sync with the market's breathing. This shows you the mass of money flowing into and out of the market, is key if you want to understand momentum. This tool can help here, as it have multi-period vwaps. You can use yearly, monthly for swing trading, and even weekly if you enjoy scalping.
Useful stuff:
- You have access to baselines, AMA and Kijun-sen with the possibility of adding ATR bands.
- AMAs come as two lines strategies for different approaches, fast medium or slow.
- You can experiment with normal and multi timeframe moving averages and other trend tools.
Final Note
If used correctly Musashi-Katana is a very powerful tool, which makes no sense as there is no correct usage. Don't add everything at the same time, experiment, combine stuff, every market is different.
Backtest every possible strategy before using it, see what works and doesn't. This gives you a lot of peace, specially while you're at the tip of the spear surfing the markets
--> I personally use this in combination with 'Musashi_Slasher (Mometum+Volatility)', as it gives me volatility and momentum in a very precise way.
Adaptive VWAP Stdev BandsIntroduction
Heyo, here are some adaptive VWAP Standard Deviation Bands with nice colors.
I used Ehlers dominant cycle theories and ZLSMA smoothing to create this indicator.
You can choose between different algorithms to determine the dominant cycle and this will be used as reset period.
Everytime bar_index can be divided through the dominant cycle length and the result is zero VWAP resets if have chosen an adaptive mode in the settings.
The other reset event you can use is just a simple time-based event, e.g. reset every day.
Usage
I think people buy/sell when it reaches extreme zones.
Enjoy!
---
Credits to:
@SandroTurriate - VWAP Stdev Bands
@blackcat1402 - Dominant Cycle Analysis
@DasanC - Dominant Cycle Analysis
@veryfid - ZLSMA
(Sry, too lazy for linking)
I took parts of their code. Ty guys for your work! Just awesome.
Adaptive Fisherized CMFIntroduction
Heyo, here I made a normalized Chaikin Money Flow (CMF) indicator with Inverse Fisher Transform (IFT) and some smoothing techniques.
I had to normalize the indicator in order to fit it to the IFT range (-1 -> 1).
Moreover, the good old adaptive mode is also included in this indicator. It uses Ehlers superb dominant cycle techniques.
It also has divergence detection, several options for individualisation and doesn't repaint.
Usage
www.investopedia.com
Signals
CMF above 0 => bullish market
CMF below 0 => bearish market
(You can also use the inner bands instead of the zero line, to make these signals more precise)
Bullish regular/hidden divergence => long
Bearish regular/hidden divergence => short
Enjoy guys!
PS: I really would like to hear some feedback of you.
Adaptive Fisherized ROCIntroduction
Hello community, here I applied the Inverse Fisher Transform, Ehlers dominant cycle determination and smoothing methods on a simple Rate of Change (ROC) indicator
You have a lot of options to adjust the indicator.
Usage
The rate of change is most often used to measure the change in a security's price over time.
That's why it is a momentum indicator.
When it is positive, prices are accelerating upward; when negative, downward.
It is useable on every timeframe and could be a potential filter for you your trading system.
IMO it could help you to confirm entries or find exits (e.g. you have a long open, roc goes negative, you exit).
If you use a trend-following strategy, you could maybe look out for red zones in an in uptrend or green zones in a downtrend to confirm your entry on a pullback.
Signals
ROC above 0 => confirms bullish trend
ROC below 0 => confirms bearish trend
ROC hovers near 0 => price is consolidating
Enjoy! 🚀
Adaptive Fisherized Stochastic Center of GravityIntroduction
I modified the script "Fisher Stochastic Center of Gravity" of @DasanC for this indicator.
I added inverse Fisher transform, cycle period adaptiveness mode (Ehlers) and smoothing to it.
Moreover, I added buy and sell and beautified some stuff.
Lastly, it is also non-repainting!
Usage
This indicator can be used like a normal stochastic, but I don't recommend divergence analysis on it.
That fisherization stuff seems to make the graphs unuseable for that because it tries.
It works well on every timeframe I would say, but lower timeframes are recommended, because of the fast nature of stochastic.
Usually it does a good job on entry confirmation for reversals and trend continuation trades.
Recommended indicator to combine with this indicator is RSI cyclic smoothed v2 .
This is the best RSI version I know. In trending market it is recommended to look more on the inner bands and in flat market it is recommended to look more on the outer bands.
When RSI shows oversold and this indicator shows a crossover of the Center of Gravity plot through the bottom line -> Long entry is confirmed
When RSI shows overbought and this indicator shows a crossunder of the Center of Gravity plot through the top line -> Short entry is confirmed
Settings
The adaptive mode is enabled by default to give you straight the whole indicator experience.
The default settings are optimized, but should be changed depending on the market.
An example:
Market has a low volatility and a high momentum -> I want a slower/higher length to catch the slower new highs and lows.
Market has higher volatility and a low momentum, -> I want a faster/lower length to catch the faster new highs and lows
Signals
Crossover
Buy -> cog crossover signalLine
Sell -> cog crossunder signalLine
Overbought/Oversold Crossover
Buy -> cog crossover lowerBand
Sell -> cog crossunder lowerBand
I use this indicator a lot, because I don't know a better stochastic on this community here.
@DasanC did an awesome work with his version I used as base for this script.
Enjoy this indicator and let the profit roll! 🔥
