Home / Collections / Trading View Indicators / Profit Z Trading View Indicator

Profit Z Trading View Indicator

$157.95
Profit Z Trading View Indicator

Profit Z Trading View Indicator

$157.95
description
 
Description-
 
A Z Score is a statistical measurement that is used in trading to quantify the current price’s distance from the mean price. Z Scores are measured in standard deviations, so a Z Score of 2.5 means that the current price is 2.5 standard deviations above the mean price for the security. Similarly, a Z Score of -2.5 means that the price is 2.5 standard deviations below the mean price. 
 
Why Those Indicators?
Z Scores are simple, yet versatile calculations. Z Scores can be used to determine how volatile the current market is or to compare the current price to historical price patterns. Since Z scores are measured in terms of standard deviation, Z Scores can also be used to discern the amount of variability in a security’s price. 
The Graph-
The price Z Scores are plotted on a histogram. The bar’s color is green when it has a positive Z Score (meaning the price is above the mean price for the period). The bar then turns red when it has a negative Z Score. 
If the Z score has a value between 0 and the first green line, its color is light green. Bars that are greater than this first bound are a darker shade of green to distinguish extreme price points/outliers. The same classification system is used for negative Z Scores, with Z scores between {0, first lower bound} being light red and dark red bars representing values below that first lower bound. 
 
Users also have the option to plot the volume Z Scores. If this option is set to ‘true’in the input menu, a line will be plotted representing the Z Scores for each period based on historical volume.
 
What is it used For?
Traders can view extreme Z Scores as good entry and exit opportunities. For example, we see that abnormally high Z Scores often coincide with great exit points.
 
How to Use it-
Users can adjust the length of the window used in the Z Score calculation. Increasing this value will mean a longer lookback period in the Z Score Calculation.
There is also an option to adjust the length of the volume Z Scores.
 
Opting for a shorter lookback length will result in more frequent signals.
 
Users can also adjust the upper and lower bounds to filter Z Scores at different levels.
Here, the trader  is using a very high upper and very low lower bound, resulting in less frequent trades.
When an entry signal is generated, a green vertical line is plotted. Similarly, a red line is plotted when it is time to exit that long position.
User's can decide whether or not entry and exit signals are plotted through the input option titled "Plot Red Circles to show Exits and Green Circles to Show Entries?". 
One other feature that is included is the ability for the user to determine whether signals are generated sequentially. If this input option is set to false, then signals will only be generated in the logical buy – sell order (ie: a sell must follow a buy and a buy must follow a sell). If set to true, then buy and sell signals will be generated regardless of their order. This means that users could get two or more buy signals in a row or two or more sell signals, etc.
 
Here, 'Allow Repeat Signals' is set to true.
 
Users can also decide the stop and limit levels used.
To plot the volume Z Scores, head to the input options menu and set 'Plot Volume Z Scores' to true. If true, then the volume Z scores will be plotted as the thin blue line shown below. 
The volume Z Scores are shown by the thin blue line.
 
Alerts-
When a buy signal is generated, an alert is created with the message “Profit Z – Enter Long”. When a sell signal is reached, an alert is created with the message “Profit Z – Exit Long”.
 
The Strategy-
When users purchase Profit Programmers scripts, they gain access to both the strategy and study versions. The purpose of the strategy is to help traders finetune the many input options and run backtests with these different settings to discover the optimal settings for achieving the best results for their specific intended purpose. Unfortunately, TradingView does not allow you to create alerts using a strategy script, so the best way to work around this is to spend time tweaking the various settings in the strategy script, compare the results and then implement those settings into your study through the study script’s input menu. This way, your alerts will still be delivered and you can be confident that those alerts are being generated based on the settings that you achieved the best backtesting results with. This is useful for both high frequency day traders and those implementing automated trading systems (‘bots’) which rely on alert messages to stay up to date; or execute trades automatically in the case of trading bots.
 
All strategies include input options which allow users to execute backtests with specific stop and limit percentages. If users do not wish to use a limit or a stop, they can set those input values equal to 0.0 and the strategy will ignore those parameters when running its backtest.
Lastly, traders can adjust the date range on which the backtest is performed. This is great for gaining insight on how the indicator responds during various market conditions(ie: How should I tweak the settings when the market is in a long term bear/bull run? How did it respond during the sharp price increase in x month of y year?).
 Some Backtesting Results- 
 
30 Minutes
15 Minutes
 
How to Install-
Enter your TradingView user name into the forum on the product page when you purchase the indicator.
Within 24 hours our team will validate the username and purchase, which will let them send you our invite only scripts
Your indicator will be shown in the "invite only scripts" category under your "Indicator" panel in Trading View
 
*We have no affiliation with TradingView.com, we purely sell studies and strategies based off the proprietary pine script language used on Trading View