Supertrend + BB + Consecutive Candles + QQE + EMA

The Supertrend + BB + Consecutive Candles + QQE + EMA indicator is a comprehensive technical analysis tool that integrates five distinct methodologies to provide a unified view of market trends, volatility, and momentum. It aims to assist traders in identifying high-probability entry and exit points by combining trend-following filters with mean-reversion and oscillator-based signals.

Usage

The Usage section describes how the script can be used to interpret market conditions through its multi-layered approach.

• Trend Identification: Use the Supertrend and EMA crossovers to determine the primary market direction. A green Supertrend line and a Fast EMA above the Slow EMA indicate bullish sentiment.
• Volatility Analysis: Bollinger Bands provide context on market expansion and contraction. Price interactions with the upper and lower bands can signal potential overbought or oversold reversals.
• Momentum Signals: The QQE (Quantitative Qualitative Estimation) plots "▲" and "▼" characters to highlight momentum shifts based on smoothed RSI crossovers.
• Exhaustion Tracking: The Consecutive Candles feature counts sequential closes (defaulting to 9) to alert users of potential trend exhaustion or strong momentum continuations.

Details

This script processes several technical concepts simultaneously:

• Supertrend: Calculated using ATR and a multiplier to plot dynamic support and resistance levels.
• Bollinger Bands: Uses a standard SMA basis and standard deviation to create price envelopes.
• QQE: An advanced version of the RSI that uses exponential smoothing and a trailing "fast" and "slow" line to generate signals.
• EMA Crossovers: Utilizes two Exponential Moving Averages to capture trend shifts more responsively than simple moving averages.
• Consecutive Candles: Implements a logic similar to sequential counting systems to identify specific patterns in price action.

Settings

Basic

• Supertrend Factor: Multiplier for the ATR to adjust the sensitivity of the Supertrend.
• Supertrend ATR Length: The lookback period for the Average True Range calculation.
• BB Length: Lookback period for the Bollinger Bands SMA basis and standard deviation.
• Consecutive Candles Counting: The specific number of consecutive bullish or bearish closes required to trigger a label.
• QQE RSI Length: The period used for the internal RSI within the QQE calculation.
• Fast EMA Length: Period for the shorter-term Exponential Moving Average.
• Slow EMA Length: Period for the longer-term Exponential Moving Average.

Alert

• Enable Alerts: Users can toggle independent alerts for Supertrend reversals, Consecutive Candle counts, EMA crossovers, and QQE signals to manage notification frequency.

FAQ

How do I access this tool?

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

Can I change the sensitivity of the trend signals?

Yes, you can adjust the "Supertrend Factor" and the "EMA Lengths" in the settings to make the indicator more responsive or more lagging depending on your preference.

What do the labels on the candles mean?

The numeric labels appearing above or below bars represent the "Consecutive Candles Counting" reaching its threshold, signaling a potential trend climax or sustained momentum.