Zigzag Candles

Can't deny that I am obsessed with zigzags. Been doing some crazy experiments with it and have many more in pipeline. I believe zigzag can be used to derive better trend following methods. Here is an attempt to visualize zigzag as candlesticks. Next steps probably to derive moving average, atr (although there was an attempt of AZR made earlier) and probably supertrend too ;)

Input parameters include ZigzagLength (to calculate zigzag) and CandleSize (number of zigzag pivots in each candle)

CandleSize can be 3 or more. Every time we collect pivots which are equal to CandleSize, we derive one candle. And when we derive a candle, we remove all old pivots except the last one. Becauase, the last pivot acts as open to the next bar and is required.

Body of the candle tells the start and end zigzag pivot in the range. And Wicks signify highest and lowest pivots in the range. High and Low wicks are placed at the pivot where high and lows are formed. Hence, you can see them at different positions each time.

Thanks to @RicardoSantos for suggesting boxes for candles - while I was trying to achieve this with plotbar

Versionshinweise:

Ok, slight changes. Realized after publishing that making it in the same overlay with added transparency can be more useful.