Ultimate Engulfing Screener

The Ultimate Engulfing Screener indicator allows traders to monitor multiple financial instruments simultaneously for bullish and bearish engulfing candlestick patterns, providing a centralized dashboard for potential trend reversals.

Usage

The tool displays a simplified grid in a separate pane, where each row represents a user-defined symbol. Traders can monitor up to five instruments per indicator instance. The visual feedback follows a specific logic:

• Square Shape: Indicates that the engine has detected an engulfing pattern alongside a Simple Moving Average (SMA) breakout (if the SMA filter is enabled).
• Triangle Shape: Indicates that an engulfing pattern has been detected without requiring an SMA breakout.
• Dash (-): Indicates no significant pattern or signal is currently present.

Colors provide directional bias:

• Green: Bullish setup detected.
• Red: Bearish setup detected.
• Blue/Faint colors: Neutral or no active setup.

Traders can stack multiple instances of the script on a single chart to expand their screening coverage beyond five instruments.

Details

An engulfing pattern occurs when the body of the current candle completely covers or "engulfs" the body of the previous candle. This script identifies both bullish engulfing (potential upward reversal) and bearish engulfing (potential downward reversal) structures.

To improve signal quality, the script includes an optional SMA filter. When active, a bullish signal is only confirmed if the price is also above the SMA, and a bearish signal is confirmed if the price is below the SMA. This helps in aligning the reversal signal with broader momentum.

Settings

Filtering

• Price vs SMA: Toggles the Simple Moving Average filter. When enabled, signals will only appear as "Squares" if the price position relative to the SMA aligns with the engulfing direction.
• SMA Length: Sets the lookback period for the SMA filter calculation.

Symbol Selection

• Symbol 1 - 5: Allows users to input the ticker symbols they wish to screen (e.g., EURUSD, BTCUSD, AAPL).

FAQ

How do I use the SMA filter?

Enable the "Price vs SMA" setting in the indicator inputs. This will change the visual output to squares when the engulfing pattern coincides with the price being on the correct side of the SMA for the trend.

Can I monitor more than 5 symbols?

Yes, you can add the indicator to your chart multiple times. In each instance, simply input a different set of five symbols to expand your watchlist.

How can I access Ultimate Engulfing Screener?

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