IDX - 5UP

28. März

The UDX-5UP is a custom indicator designed to assist traders in identifying trends, entry and exit signals, and market reversal moments with greater accuracy. It combines price analysis, volume, and momentum (RSI) to provide clear buy ("Buy") and sell ("Sell") signals across any asset and timeframe, whether you're a scalper on the 5M chart or a swing trader on the 4H chart. Inspired by robust technical analysis strategies, the UDX-5UP is ideal for traders seeking a reliable tool to operate in volatile markets such as cryptocurrencies, forex, stocks, and futures.

Components of the UDX-5UP
The UDX-5UP consists of three main panels that work together to provide a comprehensive view of the market:

Main Panel (Price):

• Pivot Supertrend: A dynamic line that changes color to indicate the trend. Green for an uptrend (look for buys), red for a downtrend (look for sells).
  
• SMAs (Simple Moving Averages): Two SMAs (8 and 21 periods) to confirm the trend direction. When the SMA 8 crosses above the SMA 21, it’s a bullish signal; when it crosses below, it’s a bearish signal.
  
• Entry/Exit Signals: "Buy" (green) and "Sell" (red) labels are plotted on the chart when entry or exit conditions are met.
  

Volume Panel:

• Colored Volume Bars: Green bars indicate dominant buying volume, while red bars indicate dominant selling volume.
  
• Volume Moving Average (MA 20): A blue line that helps identify whether the current volume is above or below the average, confirming the strength of the movement.
  

RSI Panel:

• RSI (Relative Strength Index): Calculated with a period of 14, with overbought (70) and oversold (30) lines to identify momentum extremes.
  
• Divergences: The indicator detects divergences between the RSI and price, plotting signals for potential reversals.
  

How the UDX-5UP Works
The UDX-5UP uses a combination of rules to generate buy and sell signals:

Buy Signal ("Buy"):

• The Pivot Supertrend changes from red to green.
  
• The SMA 8 crosses above the SMA 21.
  
• The volume is above the MA 20, with green bars (indicating buying pressure).
  
• The RSI is rising and, ideally, below 70 (not overbought).
  Example: On the 4H chart, the price of Tether (USDT) is at 0.05515. The Pivot Supertrend turns green, the SMA 8 crosses above the SMA 21, the volume shows green bars above the MA 20, and the RSI is at 46. The UDX-5UP plots a "Buy".
  

Sell Signal ("Sell"):

• The Pivot Supertrend changes from green to red.
  
• The SMA 8 crosses below the SMA 21.
  
• The volume is above the MA 20, with red bars (indicating selling pressure).
  
• The RSI is falling and, ideally, above 70 (overbought).
  

Example: On the 4H chart, the price of Tether rises to 0.05817. The Pivot Supertrend turns red, the SMA 8 crosses below the SMA 21, the volume shows red bars, and the RSI is above 70. The UDX-5UP plots a "Sell".
RSI Divergences:
The indicator identifies bullish divergences (price makes a lower low, but RSI makes a higher low) and bearish divergences (price makes a higher high, but RSI makes a lower high), plotting alerts for potential reversals.

Adjustable Settings
The UDX-5UP is highly customizable to suit your trading style:

• Pivot Supertrend Period: Default is 2. Increase to 3 or 4 for more conservative signals (fewer false positives, but more lag).
  
• SMA Periods: Default is 8 and 21. Adjust to 5 and 13 for smaller timeframes (e.g., 5M) or 13 and 34 for larger timeframes (e.g., 1D).
  
• RSI Period: Default is 14. Reduce to 10 for greater sensitivity or increase to 20 for smoother signals.
  
• Overbought/Oversold Levels: Default is 70/30. Adjust to 80/20 in volatile markets.
  
• Display Panels: You can enable/disable the volume and RSI panels to simplify the chart.
  

How to Use the UDX-5UP
Identify the Trend:

• Use the Pivot Supertrend and SMAs to determine the market direction. Uptrend: look for buys. Downtrend: look for sells.
  

Confirm with Volume and RSI:

• For buys: Volume above the MA 20 with green bars, RSI rising and below 70.
  
• For sells: Volume above the MA 20 with red bars, RSI falling and above 70.
  

Enter the Trade:

• Enter a buy when the UDX-5UP plots a "Buy" and all conditions are aligned.
  
• Enter a sell when the UDX-5UP plots a "Sell" and all conditions are aligned.
  

Plan the Exit:

• Use Fibonacci levels or support/resistance on the price chart to set targets.
  
• Exit the trade when the UDX-5UP plots an opposite signal ("Sell" after a buy, "Buy" after a sell).
  

Tips for Beginners

• Start with Larger Timeframes: Use the 4H or 1D chart for more reliable signals and less noise.
  
• Combine with Other Indicators: Use the UDX-5UP with tools like Fibonacci or the Candles RSI (another powerful indicator) to confirm signals.
  
• Practice in Demo Mode: Test the indicator in a demo account before using real money.
  
• Manage Risk: Always use a stop-loss and don’t risk more than 1-2% of your capital per trade.
  

Why Use the UDX-5UP?

• Simplicity: Clear "Buy" and "Sell" signals make trading accessible even for beginners.
  
• Versatility: Works on any asset (crypto, forex, stocks) and timeframe.
  
• Multiple Confirmations: Combines price, volume, and momentum to reduce false signals.
  
• Customizable: Adjust the settings to match your trading style.
  

Author’s Notes
The UDX-5UP was developed based on years of trading and technical analysis experience. It is an evolution of tested strategies, designed to help traders navigate volatile markets with confidence. However, no indicator is infallible. Always combine the UDX-5UP with proper risk management and fundamental analysis, especially in unpredictable markets. Feedback is welcome – leave a comment or reach out with suggestions for improvements!

Versionshinweise

Global update of the entire script with review. Now the Script is in Pine version 6

Versionshinweise

Fixed with correct indicator on screen