Supertrend x4 w/ Cloud Fill

The Supertrend x4 w/ Cloud Fill indicator provides a comprehensive trend visualization tool by overlaying four independent Supertrend calculations with integrated cloud highlights to represent short-term and long-term market directions simultaneously. By combining multiple Average True Range (ATR) based trailing stops, this script helps traders identify trend confluence and potential areas of interest across various timeframes and volatility levels.

Usage

The indicator can be used to identify trend alignment across multiple tiers of price action. By default, the script is organized into two primary categories:

• Short-Term (ST): Represented by Sets 1 and 2 with lower multipliers (e.g., 2.636 and 3.336). These sets react quickly to price changes and are ideal for entry timing and trailing stops for day traders.
• Long-Term (LT): Represented by Sets 3 and 4 with higher multipliers (e.g., 8.536 and 9.736). These provide a "macro" view of the trend, helping traders stay on the right side of higher-timeframe moves.

Traders can look for confluence where all four clouds align in the same direction to confirm a strong trend. During ranging markets, the overlapping or conflicting directions of the different sets can signal a sideways environment, suggesting caution or a neutral bias.

Details

The script is a derivative of the classic Supertrend indicator, which utilizes the Average True Range (ATR) to calculate a trailing stop-loss level. In this implementation, users can choose between two ATR calculation methods: the standard RMA (Relative Moving Average) or the SMA (Simple Moving Average).

The core logic revolves around four separate instances of the Supertrend algorithm. Each instance calculates its own upper and lower bands based on its specific period and multiplier. The "Cloud Fill" feature highlights the space between the price (OHLC4) and the active Supertrend band, creating a visual "band" that represents the current trend's strength and distance from the trailing stop.

Settings

Set 1 - 4 (Repeated for each of the 4 sets)

• ATR Period: Sets the lookback period for the ATR calculation (Default: 10).
• Source: Determines the price source used for the Supertrend calculation (Default: HL2).
• ATR Multiplier: Adjusts the distance of the Supertrend band from the price. Higher values result in wider bands for long-term trend tracking.
• Change ATR Calculation Method?: Toggles between using the built-in ta.atr (RMA) and a Simple Moving Average (SMA) of the True Range.
• Show Buy/Sell Signals?: Toggles the visibility of "Long" and "Short" labels on the chart when a trend reversal occurs.
• Highlighter On/Off?: Enables or disables the background cloud fill between the price and the indicator line.

FAQ

How do I use the four different sets together?

You can use the sets to identify confluence. For example, if both "Short Term" sets and both "Long Term" sets are green, it indicates a strong bullish trend across multiple volatility horizons.

Can I use this on any timeframe?

Yes, the indicator is versatile and functions on any timeframe, including minutes, hours, daily, or weekly charts, and across various asset classes like equities, forex, and crypto.

How do I access Supertrend x4 w/ Cloud Fill?

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