Williams Fractals BUY/SELL signals indicator

The Williams Fractals BUY/SELL signals indicator provides clear entry signals by combining Williams Fractals with a triple Exponential Moving Average (EMA) filter and Relative Strength Index (RSI) confirmation.

Usage

The tool is primarily designed for trend-following scalping strategies. It displays "L" (Long) and "S" (Short) labels on the chart based on specific technical conditions.

• Long Entry (L): Occurs when the EMA 20 is above EMA 50, and EMA 50 is above EMA 100, combined with a bullish fractal and increasing RSI momentum.
• Short Entry (S): Occurs when the EMA 20 is below EMA 50, and EMA 50 is below EMA 100, combined with a bearish fractal and decreasing RSI momentum.

For best results on the 15-minute timeframe (specifically optimized for BTCUSDT), users typically wait for the candle to close before confirming the signal. Common exit parameters include a 0.5% take profit and a 3.1% stop loss, though these should be adjusted according to the specific asset and timeframe being traded.

Details

The indicator relies on the alignment of three Exponential Moving Averages (20, 50, and 100) to ensure the trade is taken in the direction of the established trend. The Williams Fractals act as the immediate trigger for price action reversals, while the RSI ensures that momentum is shifting in the desired direction. By requiring price to remain relative to the longest EMA (100), the script filters out entries that might be too far extended from the mean.

Settings

Appearance

• Theme: Switches between "light" and "dark" modes for EMA color visibility.
• Show Fractals: Toggles the visibility of the raw Williams Fractal triangles on the chart.
• Show EMAs: Toggles the visibility of the three trend-filtering Exponential Moving Averages.

Williams Fractals

• Fractal Periods: Determines the number of bars used to calculate the high/low fractal points (default is 2).

EMA

• EMA Length A/B/C: Sets the period for the three moving averages (defaulted to 20, 50, and 100).
• EMA Source A/B/C: Selects the price data used for EMA calculations (e.g., Close, Open, HL2).
• EMA Offset A/B/C: Allows shifting the EMAs forward or backward in time.

RSI

• RSI Length: Sets the period for the Relative Strength Index calculation.
• RSI Source: Determines the price source for the RSI.

FAQ

How do I access Williams Fractals BUY/SELL signals indicator?

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

What timeframe is this indicator optimized for?

While it can be used on any timeframe, it was originally designed as a 15-minute scalping strategy for volatile pairs like BTCUSDT.

Can I change the Moving Average periods?

Yes, the lengths for all three EMAs are fully customizable in the settings menu to accommodate different trading styles and assets.