SuperTrend+fib

The SuperTrend+fib indicator tool combines the classic SuperTrend trend-following logic with Fibonacci retracement levels to identify high-probability entry points within a broader market trend.

Usage

The Usage section describes how the script can be used to identify trend shifts and potential entry zones.

• Trend Following: The indicator uses a SuperTrend calculation based on the Average True Range (ATR) to determine the current trend direction. When the trend flips, it signals a potential change in market sentiment.
• Fibonacci Entries: By incorporating Fibonacci levels derived from a specified timeframe (e.g., Daily), the indicator looks for "Buy" signals where the price is positioned favorably relative to the Fibonacci mean (z000).
• Signals: Long and Short signals are plotted on the chart as triangles. A Long signal (green triangle) appears when the SuperTrend flips bullish while the price is below the specific Fibonacci baseline, aiming to catch stable entries.

Details

The script executes by combining two primary technical analysis concepts:

1. SuperTrend (ATR): This component calculates a trailing stop-loss level based on volatility (Factor * ATR). The trend is considered bullish if the price closes above the trailing level and bearish if it closes below.
2. Fibonacci Retracements: The script calculates Fibonacci levels (23.6%, 38.2%, 50.0%, 61.8%, and 76.4%) based on the high, low, and a "zero source" (average of close/open) over a user-defined timeframe. This provides a structural context to the signals generated by the SuperTrend.

Settings

• Super Trend Factor: The multiplier used with the ATR to determine the distance of the trailing stop.
• ATR Length: The lookback period for the Average True Range calculation.
• RSI Length: The lookback period for the RSI-based bands calculation.
• Timeframe: The timeframe used to calculate the Fibonacci levels (e.g., 1D, 4H).
• Fib Length: The lookback period for the Fibonacci high, low, and mean calculations.

FAQ

How do I use the signals from this indicator?

You can use the green triangles for potential long entries and red triangles for potential short entries, ideally in alignment with the broader market structure indicated by the Fibonacci levels.

Does this indicator repaint?

The Fibonacci levels are calculated using request.security. Users should be aware that higher timeframe data on lower timeframe charts can result in historical visual shifts depending on how the data is processed.

How can I access SuperTrend+fib?

You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.