TICK strategy, SPY 1 min

The TICK strategy, SPY 1 min indicator is a trend-following tool designed specifically for scalping the SPY on a 1-minute timeframe using a combination of market internals and momentum filters. It leverages the NYSE TICK index, VIX volatility, and classic technical indicators to identify high-probability entry points during periods of market expansion.

Usage

The indicator is optimized for 1-minute SPY charts using non-extended market hours (RTH). Users can monitor the primary trend through the interaction of the TICK Moving Averages and RSI levels.

• Long Entries: Occur when the TICK Hull MA crosses above its signal line, RSI is above 50, VIX is above the user-defined threshold, and the price is trading above the filtering EMA.
• Short Entries: Occur when the TICK Hull MA crosses below its signal line, RSI is below 50, VIX remains elevated, and the price is trading below the filtering EMA.
• Divergence Mode: When enabled, the tool identifies bullish or bearish divergences between price action and the TICK index to spot potential trend reversals or continuations.
• Optimal Entries: The Stochastic RSI filter helps refine entries by ensuring the momentum is not overextended at the time of the signal.

Details

This script integrates several key market concepts:

• TICK Index: Uses the $TICK (NYSE Tick Index) to gauge instantaneous buying or selling pressure.
• VIX Filter: Ensures trades are only taken when there is sufficient market volatility, as lower VIX environments often lead to choppy price action unsuitable for scalping.
• Hull Moving Average (HMA): Applied to the TICK index to provide a responsive yet smooth signal line for trend detection.
• Automatic Exit: The strategy includes logic to close positions at 3:50 PM EST to avoid overnight risk, though it has a toggle for holding partial positions on specific days.

Settings

• Trading Options: Configures the contract quantity and multipliers for simulated option trading.
• VIX Threshold: Sets the minimum VIX level required to permit entry signals.
• TICK Indicator: Adjusts the periods for the Fast EMA, Slow EMA, and Hull MA used for market internal analysis.
• Daily ATR: Defines the percentage of the Daily Average True Range used to calculate dynamic Stop Loss and Profit Target levels.
• Stochastic RSI: Parameters to fine-tune the momentum filter for entry and "chasing" conditions.
• TICK Divergence: Controls the lookback periods and visibility for bullish/bearish divergence signals.

FAQ

How do I use the "No entry between 10 - 10:30" setting?

This setting is designed to avoid the often-volatile "morning reversal" period. When enabled, the indicator will suppress long signals during this specific 30-minute window.

What is the "Chase entry" feature?

Chase entries allow the script to re-enter a trend if a previous trade was closed but the directional momentum (based on TICK and RSI) remains strong within a certain lookback period.

How can I access TICK strategy, SPY 1 min?

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