Intraday FIB Scalping

The Intraday FIB Scalping indicator provides automated Fibonacci retracement and extension levels based on the initial market volatility to help traders identify precise entry and exit zones. By utilizing the high and low prices from the first 15 minutes of the trading session, this tool establishes a framework for intraday price action analysis and trend continuation.

Usage

The indicator is primarily designed for low-timeframe scalping, such as the 3-minute or 5-minute charts. It highlights specific zones between whole numbers and their corresponding 0.272 Fibonacci levels to indicate potential trade areas.

• Trade Entry: Look for the price to break and close outside of a highlighted zone. A close above a bullish zone suggests long potential, while a close below a bearish zone suggests short potential.
• Take Profit: Use the immediate next Fibonacci level as the first target (TP1) and subsequent levels for further targets (TP2).
• Stop Loss: A price close back inside or on the opposite side of the breakout zone is typically considered a signal to exit the trade.
• Extensions: If the market trends beyond the initial levels, users can enable Bullish or Bearish extensions in the settings to reveal higher or lower targets.

Details

This script combines Opening Range Breakout (ORB) concepts with Fibonacci mathematics. It captures the range of the first 15-minute bar of each daily session and projects multiple Fibonacci ratios (0.272, 0.500, 0.618, etc.) and their extensions. This methodology assumes that the initial balance of the day sets the tone for subsequent support and resistance levels. The script uses request.security to ensure the 15-minute range is consistently calculated regardless of the chart's current timeframe.

Settings

• Bullish Extensions 1 & 2: Enable these to plot higher Fibonacci extension levels (2.618 up to 6.272) when the market is in a strong uptrend.
• Bearish Extensions 1 & 2: Enable these to plot lower Fibonacci extension levels (-2.618 down to -6.272) when the market is in a strong downtrend.

FAQ

How do I use Intraday FIB Scalping? The tool automatically plots levels based on the first 15 minutes of the day; you simply look for price closes beyond the highlighted zones to identify trend strength and targets.

What timeframes are best for this tool? While the levels are calculated from the 15-minute range, the script is optimized for execution on 3-minute or 5-minute 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.