Trend Indicator with BUY SELL signals

The Trend Indicator with BUY SELL signals tool identifies prevailing market trends across multiple timeframes to provide actionable entry and exit signals. It is designed to help traders align their execution with higher-timeframe structures while capturing shorter-term momentum shifts.

Usage

The tool is primarily used as a multi-timeframe confirmation system. Users should first identify a higher timeframe (HTF) trend to determine the overall market direction. Once the HTF bias is established, the indicator provides buy and sell signals on lower timeframes (LTF) that align with that trend. For example, if the 4-hour trend is bullish, a trader would look for buy signals on the 15-minute or 1-hour chart.

• Buy Signals: Represented by a blue triangle below the bar, appearing when the trend shifts from bearish to bullish.
• Sell Signals: Represented by a red triangle above the bar, appearing when the trend shifts from bullish to bearish.
• Trend Lines: The indicator plots two dynamic lines; one representing the current timeframe trend and another representing the selected higher timeframe trend.

Details

The script utilizes a combination of the Commodity Channel Index (CCI) and Average True Range (ATR) to calculate trend direction and volatility-based support/resistance levels. The core logic monitors CCI crossings of the zero line to determine shifts in momentum, while a Weighted Moving Average (WMA) of the True Range is used to create dynamic buffers. The "Multi-Timeframe" aspect is handled via security requests, allowing the indicator to fetch and plot trend data from a user-defined resolution.

Settings

• Resolution: Determines the higher timeframe from which the trend data is pulled.
• Take Profit (%): Sets the percentage-based target for the strategy component.
• Stop Loss (%): Sets the percentage-based risk limit for the strategy component.
• CCI: Adjusts the length of the Commodity Channel Index used for momentum calculation.
• ATR: Adjusts the length of the Average True Range used for volatility-based offsets.

FAQ

How do I access Trend Indicator with BUY SELL signals?

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

Which timeframes work best for the Resolution setting?

It is generally recommended to set the Resolution to a timeframe at least 4x higher than your current chart (e.g., use a 1-hour Resolution on a 15-minute chart).

What do the different line colors signify?

Green lines indicate a bullish trend bias, while red lines indicate a bearish trend bias. When the LTF line crosses the HTF line, it often signals a potential trend continuation or reversal point.