Trend Heuristics (+Signals)

4. Jan.

Trend Heuristics - Enhanced Rolling VWAP with Smart Signals

This indicator is an enhanced version of the Rolling VWAP (RVWAP) concept, originally based on PineCoders' ConditionalAverages library. It combines volume-weighted average price analysis with advanced signal detection for both sweeps and breakouts.

Core Features

1. Rolling VWAP System
- Implements a dynamic rolling VWAP that adapts to different timeframes
- Includes standard deviation bands for volatility measurement
- Offers flexible time period settings (fixed or auto-adjusting)
- Provides customizable visual elements including bands and fills

2. Dual Signal System

Sweep Signals
Detects high-probability reversal points with these conditions:
- Bullish Sweep:
- Opens above upper band
- Tests below upper band (low)
- Closes above upper band
- Shows stronger lower wick
- Closes above previous high
- Has favorable close position (upper 50% of candle)

- Bearish Sweep:
- Opens below lower band
- Tests above lower band (high)
- Closes below lower band
- Shows stronger upper wick
- Closes below previous low
- Has favorable close position (lower 50% of candle)

Breakout Signals
Identifies potential trend changes with these conditions:
- Bullish Breakout:
- Opens below VWAP
- Closes above upper band
- Indicates strong momentum shift upward

- Bearish Breakout:
- Opens above VWAP
- Closes below lower band
- Indicates strong momentum shift downward

Technical Details

Base Components
- Built upon PineCoders' ConditionalAverages library
- Incorporates custom alert system via CustomAlertLib
- Uses standard deviation for band calculations

Customization Options
- Adjustable standard deviation multiplier
- Flexible time period settings
- Independent controls for sweep and breakout signals
- Customizable visual elements (colors, sizes, positions)
- Custom alert message formatting

Use Cases

1. Trend Following:
- Use VWAP as dynamic support/resistance
- Monitor breakout signals for trend changes

2. Mean Reversion:
- Use sweep signals for counter-trend opportunities
- Standard deviation bands for range identification

3. Volume Analysis:
- VWAP provides volume-weighted price levels
- Helps identify significant price levels

Notes

- Best performed on liquid instruments with consistent volume
- Most effective on timeframes from 1hours to 4 hours and 1D, anything greater isn't very good
- Recommended to use in conjunction with other technical analysis tools
- Signals can be filtered based on higher timeframe trends

Credits
- Original Rolling VWAP concept by PineCoders

10. Jan.

Versionshinweise

Trend Heuristics - Enhanced Rolling VWAP with Smart Signals

This indicator is an enhanced version of the Rolling VWAP (RVWAP) concept, originally based on PineCoders' ConditionalAverages library. It combines volume-weighted average price analysis with advanced signal detection for both sweeps and breakouts.

Core Features

1. Rolling VWAP System
- Implements a dynamic rolling VWAP that adapts to different timeframes
- Includes standard deviation bands for volatility measurement
- Offers flexible time period settings (fixed or auto-adjusting)
- Provides customizable visual elements including bands and fills

2. Dual Signal System

Sweep Signals
Detects high-probability reversal points with these conditions:
- Bullish Sweep:
- Opens above upper band
- Tests below upper band (low)
- Closes above upper band
- Shows stronger lower wick
- Closes above previous high
- Has favorable close position (upper 50% of candle)

- Bearish Sweep:
- Opens below lower band
- Tests above lower band (high)
- Closes below lower band
- Shows stronger upper wick
- Closes below previous low
- Has favorable close position (lower 50% of candle)

Breakout Signals
Identifies potential trend changes with these conditions:
- Bullish Breakout:
- Opens below VWAP
- Closes above upper band
- Indicates strong momentum shift upward

- Bearish Breakout:
- Opens above VWAP
- Closes below lower band
- Indicates strong momentum shift downward

Technical Details

Base Components
- Built upon PineCoders' ConditionalAverages library
- Incorporates custom alert system via CustomAlertLib
- Uses standard deviation for band calculations

Customization Options
- Adjustable standard deviation multiplier
- Flexible time period settings
- Independent controls for sweep and breakout signals
- Customizable visual elements (colors, sizes, positions)
- Custom alert message formatting

Use Cases

1. Trend Following:
- Use VWAP as dynamic support/resistance
- Monitor breakout signals for trend changes

2. Mean Reversion:
- Use sweep signals for counter-trend opportunities
- Standard deviation bands for range identification

3. Volume Analysis:
- VWAP provides volume-weighted price levels
- Helps identify significant price levels

Notes

- Best performed on liquid instruments with consistent volume
- Most effective on timeframes from 1hours to 4 hours and 1D, anything greater isn't very good
- Recommended to use in conjunction with other technical analysis tools
- Signals can be filtered based on higher timeframe trends

Credits
- Original Rolling VWAP concept by PineCoders


Strategy
- Buy / Sell the Retest Signals
- 1st Profit on 1 R
- Holding trade using the Rolling VWAP as a Trailing Stop