Trendline-Breaks on th 4H S&P E-mini Futures

I applied my new Strategy TD Lines to a lot of different Assets. It was implemented with Cryptocurrencies and Automation in Mind, but I found out that there are very reliable Signals being generated on longer Timeframes for all kind of Assets.

In this Example I had exceptionally good results with the S&P E-mini Futures on a 4 Hour Timeframe.

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How to use Trendline-Breaks to Confirm Divergences

There is a basic Trading-Strategy that uses Divergences to find Trend-Reversals. E.g. if Price is rising while Momentum is falling, we encounter a bearish Divergence of Price vs. Momentum. To add something to the Analysis that confirms the bearish Signal, it is a popular Choice to wait for a Trendline-Break.

Although you can do this "by Hand", I will show you how to use some of my Studies to find profitable Trades.

The Studies I will be using are:

The Chart I am using for this Example is EURUSD on a 2H Timeframe - and as always: I'm using TradingView.

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New and improved Products: AutoDivergence, CryptoArbitrage, TD Lines

Today I'm happy to announce the relaunch of my online-shop with three new or massively improved Products. All the Products are Packages that include at least one Study for TradingView and one Strategy-Script for Backtesting. All Studies fire Alerts on Entry- and Exit-Conditions, so they can be used to automate your Trades via autoview. But of course the Studies can be used in a non-automatic fashion to help you with your daily Trading.
There is a Bonus for all Products: every customer will receive a "free" version of autoview with all license-checks disabled for unlimited usage on all supported Exchanges. This is possible since autoview was open-sourced.
  • The first Product is called "AutoDivergence" - it is based on the algorithms I used in my popular Study "Jeddingen Divergence v4" but adds some extra Features and Enhancements. While Jeddingen Divergences only helped to spot Divergences of Price vs. Momentum - with AutoDivergence, you can chose between Momentum and CCI. If you need other Oscillators - please drop me a Line, so I can add them to AutoDivergence. Entry- and Exit Alerts were added and TP/ SL will be visualized. Also included is the original Jeddingen Divergence v4 Study, with that special visualization of Divergences that so many Traders love and use in their daily Business.
  • The second Product "CryptoArbitrage" has been there before but was completely reworked. Now the Symbols that can be compared are free to chose. There is so much Opportunity in identifying those (sometimes only temporary) Correlations and Market-Dysfunctionalities. Maybe you discover that the Price of some Crypto-Coin on one Crypto-Exchange starts to rise after it was falling for a given number of candles, if a Commodity was rising for a given number of candles at the same time ... The same SL/ TP visualization as well as the Exit-/ Entry-Signalling.
  • And last but not least: TD Lines. This is something I've been working on for a long time and a lot of you have been waiting for this. It is a highly sophisticated Implementation of Trendlines and Trendline-Breaks. It is based on some concepts and Ideas from Tom DeMark - but of course it is no official Implementation. Automatic Trendlines are hard to implement but I went the extra Mile and I am very proud on the results. I suspect that you won't find anything similar on TradingView. TD Lines comes with multiple options for TP, SL and Trailing Stops.
If you have further Questions, feel free to contact me via Email at stefan@tradingclue.com or via TradinView Chat, User "stefcom"

Five Steps to build a Crypto Trading Bot

Due to their high volatility, Cryptocurrencies are a perfect fit for algorithmic, automated - or as some might call it - robotic trading.
There are different types of Crypto Trading Bots available, free and commercial ones. Using TradingView as a platform to develop, backtest and execute strategies that generate buy-/ sell signals has some major benefits - and this article should get you an Overview on the Architecture:
  • TradingView can be used free, although paid plans do have some useful benefits/ features
  • TradingView is web-based - Strategies can be developed and backtested in a Browser
  • You can use lot's of free strategies or buy/ subscribe to commercial ones
  • You can implement your own strategies by using PineScript - there are lots of Documentations and Examples out there
There's one thing that's still not possible with TradingView and that's executing trades based on your own scripts. But there is a workaround - it is a Chrome-Extension called Autoview. Autoview is an interface to some Crypto-Exchanges and a Forex-Broker. This is the List of Exchanges/ Brokers that are currently supported: 1Broker, Binance, BitMEX, Bittrex, OKCoin and Poloniex.
Trade-Execution will be triggered by TradingView alerts.
It would be a good Idea to install Google-Chrome on a VPS (Virtual Private Server), install the Autoview Extension and login into your TradingView account, but of course you can start playing around with Autoview on your Laptop.
To get your feet wet with algorithmic/ automated Trading, go ahead and do the following Steps:
  1. Subscribe to TradingView by following this link. There is one pitfall with the free plan: you can only create one Alert while the most Strategies need at least two Alerts - one for Entry-Signals and one for the Exits. In a later Blog-Post I will describe a fully automated approach that needs only one Alert but for now you should use an advanced TradingView plan with a free Trial.
  2. Create a free Account at the Bitmex-Testnet - as far as I know Bitmex is the only Exchange that is supported by Autoview that supports Paper-Trading. Go to the Account-Settings, Submenu "API Keys", create an API Key and save the Key somewhere so you can copy-paste it to your Autoview-Settings later. The most popular Symbol traded on Bitmex is XBTUSD which is a perpetual contract based on Bitcoin/ BTC. You can trade long or short and trade on Margin/ use Leverage. Other Symbols like Ethereum (ETH), Cardano (ADA), Bitcoin Cash (BCH), Litecoin (LTC) and Ripple (XRP) are available too. If you intend to create a Live-Trading Account at Bitmex, you would do me a favor when you use this affiliate link.
  3. Assuming that you are already using Google Chrome (if not, get the Browser here), install the Autoview Extension, configure the Extension to use your Bitmex-Testnet Account by pasting the API Key, and make yourself familiar with the Alert-Syntax. You will use the Alert-Syntax to create Commands that will be executed each time an Alert is triggered.
  4. Do the hard Work: Pick a Strategy that has a Study-counterpart that both were made to be used with Autoview. You can go to the TradingView search-bar, chose to search for scripts and search for the keyword "autoview". Or you can read the Autoview Documentation - there are a lot of tutorials and links to free Strategies/ Studies. Of course you could just subscribe to one of my Products - all of them are ready to be used with autoview, but starting with a free one by using the Bitmex-Textnet is a reasonable way to start your path to algorithmic Trading.
  5. Finally, if you picked a Study - create your Alerts as described in the Autoview Documentation to see if your configuration works and Trades go through the System. Maybe you start Trading on lower Timeframes to generate a lot of Signals. If Everything works and you understood what's going on, it's Time to optimize your Settings.
I will go into more Details later but this is a kind-of Quickstart Guide that gave you an Overview on how things are connected.
If you have Questions, feel free to contact me via Email, Skype (stefan.krecher), TradingView-private Message (Trader stefcom) or fill out the Form on my Contact Page.

LTCUSD 1d long, current and past Divergences, great longterm Opportunity

On March 29th a sudden Increase of Volatility happend - look at the Average True Range (ATR): this Indicator clearly shows that the daily Range of Price started to increase.

Several Divergences indicate a Reversal of the current trend. Divergences of the Commodity Channel Index ( CCI ) against Price are shown by CCIDivergence, Divergences of Momentum against Price are shown by "Jeddingen Divergence" (JDiv).

Based on those both Indicators Jeddingen Divergence and CCIDivergence, a lucrative Strategy evolves, looking at the daily Candles.

A Signal is generated when a JDiv or a CCIDiv is occurs, Support and Resistance lines can be used as Take-Profit and Stop-Loss.

In this Example, there is one Exceptions. The very first Divergence wouldn't have worked out - although Price dropped at the End of the Divergence. Maybe Volatility/ ATR was too low.

At the second Divergence (the first Trade), there was a bearish CCIDivergence with no Resistance (Price was at it's alltime high at that time) and no support Level that seemed usable (it would have been a Support somewhere at the low-volatility Area). A common Practice with those kind of Trades is to use Pivots as Profit-Targets. In this case the weekly Pivot (Fibonacci-Style) would have been a good Target. Most of my Trades do not have a Stop-Loss, but in this case, I guess I would have calculated the Stop-Loss in a Way so that the Risk-Reward-Ration would have been 1.

Recently there appeared a JDiv and a CCIDiv. According to my Strategy, the Profit-Target could be the alltime High at 94.021. Though there are other structures since September second, I don't believe that they are reliable resistance Levels, because since then, LTCUSD was in a massive Downtrend. But to play it safe, an earlier Exit could be considered, e.g. an earlier Pivot or a Fibonacci Level.

As Stop-Loss I would suggest the Resistance-Level that was used in the earlier Trades.

To learn more about my Indicators and Strategies, please check the Indicator Section.

Here is the Link to the analysis at TradingView: www.tradingview.com/chart/K2kjB4VO/