Attrition Scalper v2.0

2022年10月17日

Green/Red Arrowed Buy/Sell signals are just simple buy sell signals based on SuperTrend, VWAP, Bollinger, Linear Regression

Purple Arrowed Buy/Sell Signals happen when the price/candle cross over or under the yellow outer lines (4.236 fib lines) It's extremely rare and hard for price to stay above these lines therefore we can usually and comfortably buy/sell it, a key information here though when price pumps or dumps super fast and hard to the point of crossing these borders, the trend might also be extremely strong and continous so even if the price temporarily goes back inside the borders as the lines expand over time price can continue riding or crossing these lines back again and continue the uptrend/downtrend, therefore crossing these outer borders doesn't necessarilly and always mean a reversal is due.

When analyzing the instrument you're trading the important factors for support/resistance areas are usually the outer lines like i said previously it's super hard for price to be outside these and will almost always get back inside quickly. The Middle thicker green/red line which is Variable Index Dynamic Average should also be a nice pivot line for major support and resistance . All the other lines are also important dynamic support/resistance lines.
Their Importance Order
1- Outer Yellow Line (4.236 Fibs)
2- Thicker Middle Green/Red Line (VIDYA)
3- Thinner Upper/Lower Green/Red Line (VIDYA +3, VIDYA -3)
4- The Rest Of The Lines (Fib Lines)

You can use this indicator in any market condition in any market to determine key support/resistance levels, use it for mean reversion through price expanding to outside of the most outer line therefore being overbought/oversold basically using the purple buy/sell signals or only follow the normal buy/sell signals or use it in confluence with each other. You can also use this indicator in confluence with your own manual technical analysis or other indicators/strategies you are already using and are comfortable with.

A good part is the support/resistance lines from timeframe to timeframe pictures the whole situation quite well, you can use lower timeframe to find your entry/exit positions and higher timeframe to find your key support/resistance points, they all should be somewhat in confluence from timeframe to timeframe anyways. My recommendation would be to look at 1HR, 4HR and 1D charts for swing trading and 5-15 Min for quick scalping/day trading

You should still probably at least take a look to higher timeframes so that you don't get burned when you realize there is a huge resistance line at price XXXXX on the 4 hour chart but you're expecting it to go above it on the 5 minute chart, it can go above it temporarily but we analyze everything on a closing basis so it most likely won't close above it. Again don't take a position or FOMO when price breaks a support/resistance line, we're looking for a CLOSE above/below them and a retest to see if S/R flip happened would even be better.

Sometimes the most outer line won't be the 4.236 (Yellow) lines as when it gets quite volatile the Thinner Upper/Lower Green/Red Lines (VIDYA +3, VIDYA-3) might cross them to be the most outer line, in this case i have observed that the trend is extremely strong this time price almost always doesn't go above or below the VIDYA line but can stay outside of the Yellow 4.236 Fib line for an extended amount of time (price will still get back inside the channel relatively quickly, just not as fast as the normal condition)

With Proper Risk Management and Discipline this indicator can be of great use to you as it's surprisingly successful especially at mean reversion and pointing out the support/resistance lines, they are so much more successful than your average MA/EMA lines.

2022年10月17日

リリースノート

English Style Menu Names

2023年3月1日

リリースノート

An overhaul to the overbuy/oversell signal logic now showing as potential local/short term Low and High points that seem to have a pretty good chance to be correct for quick scalps.
An addition to our mostly fib, atr and regression based channel/lines for calmer times where volatility and volume is low and you don't really touch the outer lines, kind of like a new mini channel inside the major channel + linear regression based auto generated top, mid and lower trend lines to use in confluence with.

2024年3月17日

リリースノート

Tried to make this a standalone indicator with almost no settings to tweak to make it work on all timeframes and all assets, cleaned up the stuff that i thought wasn't really working well and implemented a better high/low signals, removed the buy/sell signals.
This is basically v3.0 at this point.
Also added another line that i think complements the middle VIDYA line a lot better in some scenarios, the EVWMA

2024年7月3日

リリースノート

Slight improvement to graphics, code and lines, don't really recommend timeframes below 15 minutes at the minimum. 1hr+ is ideal.

2024年7月3日

リリースノート

Added setting to adjust the low/high signals (lower values for shorter timeframes and are less reliable, higher is for higher timeframe and more reliable.)

2024年7月7日

リリースノート

Changed a default setting

2024年10月28日

リリースノート

Removed the fill area between the fib lines, i think it looks cleaner with this old version.

1月14日

リリースノート

Attrition Scalper v6 Update
⚙️ Engine Overhaul
Pine Script™ v6: Upgraded version.
MTF Composite Model: Replaced single-timeframe calculations with a Weighted Multi-Timeframe System instead. The VIDYA, EVWMA, and Fib Channels now blend/weight different timeframe data to try and create more reliable support and resistance levels.

📊 New Signal Logic
Statistical Volume Analysis: Removed Linear Regression "Peaks." Signals are now generated using Logarithmic Z-Scores based on Weis Wave logic.
Signal Types:
CLIMAX: Extreme Price + Extreme Volume.
ABSORPTION / DISTRIBUTION: High Volume effort vs. Low Price movement (Effort vs. Result).
EXHAUSTION: Extreme Price movement vs. Weak Volume.
3 candle cooldown between each signal to not spam.

🎨 Visuals
Smart Labels: Replaced generic arrows with specific text labels for better context.
Heatmap Fills: Added coloring between Fibonacci bands to visualize trend intensity.
Overextension Alert: Background changes color when price breaches the 4.236 deviation.

🧠 How to Use V6
Band Interaction: Focus on the interaction between price and the composite bands. If price overextends outside the channel, look for mean reversion back toward the center.
The "Mean" (VIDYA/EVWMA): The central zone is the equilibrium. Taking positions here is often 50/50 without context. However an example for that said "context" can be the price dumping to that zone and holding this support (refusing to break), it may signal a "Round 2" for the rally and not a break of the whole structure/trend.

Reversal Zones: Look for EXHAUSTION, ABSORPTION, or DISTRIBUTION labels appearing near the outer Fibonacci bands (2.618 or 4.236). These are high-probability reversal areas.
Climax Signals: These indicate a more faster mean reversion opportunity or a even more reliable reversal zone. Or just simply the price overextending (and closing outside)

Market Volatility & Signal Frequency: The Z-score thresholds are tuned aggressively high to filter noise in volatile markets like Crypto, resulting in balanced and reliable signals for it but not for Traditional Markets (S&P 500, etc.): Due to lower volatility on these, signals will appear much less frequently than in crypto, but when they do, they are more significant.

Volume Note: Since the text signals rely on volume data for their calculations, signals may be less reliable during low-volume times (e.g., weekends or market closures). Always cross-reference with the volume histogram.

1月14日

リリースノート

Updated chart.