Pivots High/Low 3bar No Period w/ Signals

The Pivots High/Low 3bar No Period w/ Signals indicator provides a price action-based identification of pivot points and trend signals based on the structural relationship between three adjacent bars. Unlike traditional pivot indicators that rely on fixed lookback periods or daily calculations, this tool uses candle geometry to identify resistance and support turns across any timeframe.

Usage

The Usage section focuses on identifying price reversals and trend shifts through candle relationships and moving average filters.

• Pivot Identification: A Pivot High is marked when a bar with a higher high is flanked by a bar with a lower high (preceding) and a bar that closes below the pivot's low (succeeding). This indicates a point where sellers have successfully turned the price. Pivot Lows are the inverse.
• Trend Signals: The indicator features a signal square at the bottom of the chart. It turns green when the most recent Pivot Low is higher than the previous one and price is above that pivot level. It turns red when the most recent Pivot High is lower than the previous one and price is below that level.
• MA Overlays: The script includes a 200 SMA (long-term trend), 50 SMA (medium-term trend), and 5 SMA (short-term momentum) to provide context for the pivot signals.
• Distance Triggers: Cross shapes appear at the top or bottom of the chart when the price deviates from the 50 SMA by a user-defined percentage, highlighting potential overextended conditions.

Details

This script is strictly a price action tool. It defines a pivot based on three specific bars rather than a "highest high over X bars." This ensures the indicator remains reactive to immediate structural changes. The implementation uses request.security to ensure data integrity and includes logic to compare sequential pivot levels (Higher Highs/Lower Lows) to determine the prevailing sentiment.

Settings

• Offset 50sma trigger: Adjusts the percentage threshold (multiplied by the 50 SMA value) used to identify when price is significantly over or under the moving average.

FAQ

How do I use the signals?

Look for the colored squares at the bottom of the chart. Green suggests a bullish trend structure (higher pivot lows), while red suggests a bearish structure (lower pivot highs).

Does this work on all timeframes?

Yes, because the logic is based on the relationship between three adjacent bars, it functions consistently on any timeframe, from 1-minute to monthly charts.

How can I access this tool?

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