TrendLines Automatic

The TrendLines Automatic indicator plots trendlines at significant high and low points on a chart, helping to determine market direction, breakouts, and market reversals.

Description

Trend lines can be used to identify and confirm trends. A trend line connects at least 2 price points on a chart and is usually extended forward to identify sloped areas of support and resistance. Lines with a positive slope that support price action show that net-demand is increasing. As long as the price action stays above this line, we have a bullish trend. Lines with a negative slope that act as resistance to the price action show that net-supply is increasing. As long as the price action stays under this line, we have a bearish trend. Price usually retests a sloped trend line several times, until it breaks at which point we may have a trend reversal. The more points there are to connect, the stronger a trend line becomes. Sideways trendlines are used to indicate support and resistance levels. Additionally, trendlines help identify when a trend reversal or breakout occurs.

Default Inputs

SwHighStrength( 4 ) sets the number of bars used to calculate the relative swing high strength.

SwLowStrength( 4 ) sets the number of bars used to calculate the relative swing low strength.

BarsPast( 10 ) truncates the trendline on the right after the specified number of bars when the next new trendline is drawn (History must be set to "No").

History( Yes ) truncates the trendline when the next trendline is drawn. "Yes" applies multiple trendlines illustrating up and down markets.

DnTLColor( red ) sets the color of the down trendline.

UpTLColor( cyan ) sets the color of the up trendline.

AlertType( IntraBar ) sets the type of alert. "Intrabar" allows alerts inside the bar, "OnClose" alerts on the bar close, and "None" turns off alerts for all trendlines.