TradeIQ - Crazy Scalping Trading Strategy

The TradeIQ - Crazy Scalping Trading Strategy indicator is a comprehensive strategy tool that combines momentum-based divergences with adaptive moving average extremities to identify high-probability scalping opportunities.

Usage

The strategy functions by looking for confluence between two primary components: the Triangular Momentum Oscillator (TMO) and the Adjustable Moving Average (AMA).

• Long Entries: Occur when the AMA indicates a bullish extremity (green) and the TMO detects a bullish divergence, provided the smoothed candles are increasing in size (momentum expansion). Long trades are highlighted with a green background.
• Short Entries: Occur when the AMA indicates a bearish extremity (red) and the TMO detects a bearish divergence, alongside increasing smoothed candle size. Short trades are highlighted with a red background.
• Exits: Trades are automatically closed when a contrary TMO signal appears, the AMA extremity color switches, or the price hits the trailing swing high/low stop loss.

Details

This script integrates concepts from the Triangular Momentum Oscillator and Real-Time Divergences alongside an Adjustable Moving Average with Alternating Extremities. It uses "smoothed candles" generated by a kernel-based filter to visualize trend strength and volatility. By waiting for smoothed candle bodies to grow in size, the strategy filters out low-volatility periods, attempting to enter trades only when momentum is accelerating in the direction of the trend.

Settings

TMO Settings

• TMO Length: Sets the lookback period for the momentum calculation and divergence detection.
• TMO Source: Determines the price data used for the oscillator (default is Close).

AMA Settings

• AMA Source: The price source for the moving average calculation.
• AMA Length: Controls the window size for the kernel filter and extremities.
• Factor: A multiplier for the deviation bands that define the extremities.
• As Smoothed Candles: Toggle to display price action as filtered/smoothed candles.
• Show Alternating Extremities: Toggle visibility of the upper/lower volatility bands.
• Lag (AMA Kernel): Controls the delay of the moving average.
• Overshoot (AMA Kernel): Adjusts how aggressively the average reacts to price changes.

Stop Loss Settings

• SL Period: Defines the lookback window (in bars) to determine the recent swing high or low for stop loss placement.

FAQ

How do I use the TradeIQ - Crazy Scalping Trading Strategy? Apply the script to your chart and look for the colored background signals which indicate entry points. Ensure you adjust the TMO and AMA lengths to suit your specific timeframe.

What timeframe is best for this strategy? While designed for scalping (lower timeframes like 1m, 5m, or 15m), the parameters can be adjusted for higher timeframes depending on the asset's volatility.

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.