Summary of "馃殌 Add SP2L Poursamadi Indicator to TradingView - [TradingFinder]"
The video presents the Spike Two-Leg Pullback (SP2L) Poursamadi Indicator available on TradingView, developed by the TradingFinder group. It is designed to help traders, especially scalpers and price action traders, identify profitable short-term trading opportunities using a robust spike and pullback strategy.
Main Financial Strategy:
- Spike Two-Leg Pullback Trading Strategy:
- Based on identifying a specific pattern of three consecutive candles moving in the same direction, with the middle candle representing a strong market imbalance (spike candle).
- The strategy looks for a significant price gap between the first and third candles, indicating strong buying or selling pressure.
- Entry points are triggered when subsequent candles break above or below the spike candle level.
- Stop-Loss is set at the start of the spike leg or swing, and Take-Profit is set at a 1:1 risk-reward ratio by default.
- The indicator can identify multiple entry points, including a secondary entry if price reaches a 50% retracement level, potentially improving the risk-reward ratio.
Key Features and Methodology:
- Automatic Identification and Display:
- The indicator automatically detects spike candles and two-leg pullbacks.
- It plots entry points, Stop-Loss, and Take-Profit levels directly on the chart.
- Calculates Stop-Loss and Take-Profit levels based on the entry and spike leg.
- Entry Rules:
- Entry is on the candle after the spike if it breaks above/below the spike candle.
- If the entry level moves due to subsequent higher highs/lows, the entry is adjusted accordingly.
- Secondary entries can be taken at the 50% retracement level for higher risk-reward.
- Stop-Loss and Take-Profit Settings:
- Stop-Loss is set behind the swing or spike leg.
- Take-Profit is initially set at a 1:1 risk-reward ratio but adjustable.
Customizable Settings:
- Spike Detection:
- Minimum number of consecutive candles for a spike (default 3).
- Spike filter based on trend strength to filter out weak momentum spikes.
- Gap Filter:
- Option to enable/disable gap filtering.
- Can select types of gaps to consider: significant, structural, major.
- Doji Candle Handling:
- Option to include or exclude Doji candles within spikes.
- Settings to specify the maximum body-to-candle ratio for classifying Doji.
- Percentage limits for allowable Doji candles in spike and trend calculations.
- Enhanced trend detection using Doji candles for refined filtering.
- Risk Management:
- Display Options:
- Two modes: detailed setup mode (risk-reward focused) or clear buy/sell signals.
- Option to display only the last tradable position.
- Enable/disable alert notifications for trade signals.
- Show or hide input parameters in the status line.
Market Analysis and Business Trends:
- The indicator is optimized for fast-paced scalping and short-term trading, helping traders capitalize on quick market imbalances.
- It emphasizes price action and momentum-based trading by focusing on spike candles and pullbacks.
- Provides a systematic approach to risk management with automatic Stop-Loss and Take-Profit calculations.
- Allows customization to suit various trading styles and risk tolerances.
Presenters / Sources:
- TradingFinder group (developer and provider of the SP2L Poursamadi Indicator)
Category
Business and Finance
