Scalping Predictor with Confidence Filter

The Scalping Predictor with Confidence Filter indicator provides short-term price forecasting by combining historical pattern analysis with multiple technical filters to predict movements 1–10 minutes ahead. It is designed to assist traders in identifying high-probability scalping opportunities by filtering noise through a composite confidence scoring system.

Usage

The tool can be utilized across various asset classes, including futures, cryptocurrencies, and equities, with a primary focus on intraday and scalping timeframes. Users can observe buy and sell triangles appearing on the chart when specific technical conditions and volume thresholds are met.

For example, a trader on a 1-minute chart might see a "LONG" label accompanied by a confidence percentage. If the confidence score exceeds the default threshold (e.g., 68% or higher), it indicates a stronger alignment of the EMA crossover, RSI levels, and volume momentum. The indicator also provides visual projection lines and ATR-based stop/target levels to assist in trade management.

Details

The script executes by scanning up to 5,000 historical bars to identify structural price patterns similar to current market behavior. It integrates real-time data from several technical components:

• EMA Crossovers: Detects short-term trend shifts.
• RSI & Divergence: Identifies overbought/oversold conditions and potential reversals, particularly effective on lower timeframes.
• Bollinger Bands: Uses volatility bands to flag mean reversion opportunities.
• Volume & Momentum: Ensures signals are backed by significant market participation and price velocity.
• Adaptive Logic: The indicator automatically adjusts its internal calculation parameters based on whether the user is viewing a 1-minute timeframe or a higher one.

Settings

EMA Settings

• Fast EMA: Sets the length for the short-term Exponential Moving Average.
• Slow EMA: Sets the length for the long-term Exponential Moving Average.

Filters

• Use Volume Filter: Enables a check to ensure current volume is above a moving average threshold.
• Use RSI Filter: Filters signals based on RSI thresholds (Buy/Sell levels).
• Use Bollinger Bands: Activates signals based on price interactions with the upper and lower bands.
• Use Momentum: Requires a specific Rate of Change (ROC) percentage for a signal to fire.
• Use Volatility Adaptation: Adjusts signal sensitivity based on current ATR relative to its average.

Appearance

• Value to Display: Choose between showing the predicted "Time" horizon or an estimated "Profit" (P/L) value on the labels.
• Show BB on Chart: Toggles the visibility of the underlying Bollinger Bands.

FAQ

How do I interpret the confidence percentage?

The confidence score represents how many technical filters and pattern matches align with the current signal. A higher percentage suggests a more robust confluence of factors.

Does this work on all timeframes?

While optimized for scalping (1m to 15m), the script includes adaptive settings that allow it to function on higher intraday timeframes.

How can I access this indicator?

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