SMART SIGNALS FOR EVERY STRATEGY
Trend Cipher Component (Trend Identification and Bar Coloring)
The Trend Cipher in the Smart Signals Assistant detects trends using visual signals like arrows for bullish (â–²) and bearish (â–¼) trends, with '+' indicating strong trends. Candlesticks are color-coded—green for bullish, red for bearish, and gray for ranging markets. This helps users assess signal strength and probability.
Trend Bias Component (Long-term Trend Filter and Confirmation)
The Trend Bias acts as a trend confirmation tool. It comes in the form of a smooth band that reflects the central tendency of price movements. It provides a more comprehensive view of whether the price is trend up or down, as well as whether the price is trending strongly or not. It does so by checking if the current momentum of price is stronger relative to the average momentum over a period of time.
Fair Value Trail (Entry Optimization)
The Fair Value Trail is a zone-based component that helps users capture optimal entry points, such as when the market is overbought or oversold. By waiting for price retracements into the Fair Value Trail, traders can achieve better pricing and potentially maximize their profits. The Fair Value Trail is unique in the sense that it dynamically adjusts its width according to the market volatility so that the optimal entry area remains as relevant.
Trend Spine (Range Detection and Filter)
The Trend Spine helps identify periods of price consolidation by flattening the price action into a rigid line. This helps traders avoid entering trades in choppy or directionless markets. The Trend Spine’s values remain unchanged during consolidations, alerting users when to refrain from trading due to a lack of trend direction.
Firmament Cloud (Reversal Zones)
The Firmament Cloud defines zones on the price chart that are considered extreme, indicating overbought or oversold conditions. Price reaching these zones suggests potential reversal points, giving traders additional confirmation to enter or exit trades. The separation of the upper and lower clouds as well of the width of each respective cloud are dynamically adjusted based on the aggressiveness of price movements coupled with user defined settings for some base parameters such as multipliers for separation and width.
