Support Resistance - Dynamic v2 w/ Timeframe option

The Support Resistance - Dynamic v2 w/ Timeframe option indicator identifies and plots key support and resistance levels based on pivot points from a user-defined timeframe. This tool allows traders to visualize higher-timeframe market structures on lower-timeframe charts, providing a broader perspective on potential price reversals and breakouts.

Usage

The indicator can be used to identify significant price zones where the market has historically reacted. By selecting a higher timeframe (e.g., Daily or 4-hour) while trading on a lower timeframe (e.g., 5-minute), users can align their trades with institutional levels of interest.

• Higher Timeframe Analysis: Use the "Timeframe" input to project levels from a different resolution onto your current chart.
• Trend Confirmation: When price approaches a resistance level from below and fails to break, it may signal a potential short opportunity. Conversely, a bounce off a support level may signal a long opportunity.
• Dynamic Levels: The indicator calculates "strength" based on how many pivot points fall within a specific price channel width, helping users distinguish between minor and major levels.

Details

This script is a modification of the Dynamic Support Resistance concept, optimized to include Multi-Timeframe (MTF) functionality. It calculates levels by identifying pivot points over a lookback period and grouping them into price channels. If several pivots occur within a specific percentage of the total price range (Maximum Channel Width %), they are consolidated into a single support or resistance zone. The "Strength" of a level is determined by the number of pivots contained within that zone.

Settings

Setup

• Timeframe: Determines the timeframe used for pivot point calculations.
• Pivot Period: Sets the lookback period for finding pivot highs and lows (relative to the selected timeframe).
• Source: Choose whether to calculate pivots based on High/Low or Close/Open prices.
• Maximum Number of Pivot: The total number of historical pivots to consider for calculations.
• Maximum Channel Width %: Defines the proximity required for pivot points to be grouped into a single S/R level.
• Maximum Number of S/R: Limits the number of levels displayed on the chart.
• Minimum Strength: Filters out weak levels that do not meet a minimum count of pivot points.

Display

• Label Location: Controls the horizontal placement of price/percentage labels.
• TF Label Location: Controls the horizontal placement of the timeframe identification label.
• Line Style/Width: Customizes the visual appearance of the S/R lines.
• Colors: Individual settings for support and resistance line and label colors.
• Show Pivot Points: Toggles the visibility of the underlying "H" and "L" pivot markers.
• Show Timeframe label: Toggles the label indicating which timeframe the levels are derived from.
• Show Price level: Displays the specific price and percentage distance from current price.

FAQ

How do I access Support Resistance - Dynamic v2 w/ Timeframe option?

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

Why do the levels look different when I change the timeframe?

The levels are calculated based on the price action of the timeframe selected in the settings. A higher timeframe filter will naturally produce broader, more significant levels than a lower timeframe.

Can I use this for automated alerts?

Yes, the script includes logic for crossovers, crossunders, and bounces, which can be linked to TradingView's alert system to notify you when price interacts with a calculated level.