The TrendHawk Trading View Indicator
The TrendHawk Trading View Indicator
The Trendhawk is built on the Commodity Channel Index indicator. The CCI measures the difference between the current price of a security and it’s historical average price. This value is then plotted as an oscillator, with CCI values above 0 indicating the current price is above the historical average and readings below 0 representing prices below the historical average.
Why Those Indicators? -
The CCI is a valuable calculation as it not only allows the trader to determine the direction and strength of a price trend but also classify securities as overbought or oversold.
The Graph -
The CCI value is plotted on the graph, along with a horizontal green line representing the upper bound and a horizontal red line representing the lower bound. When the CCI crosses the green line, it is considered overbought. On the other hand, it is considered oversold when it falls below the lower red line.
What Is It Used For? -
The CCI is best suited for long trading on 15 or 30 minute intervals.
How to Use It -
When it is time to enter a long position, the CCI line will be below the lower bound and the line will change color from gray to green. A lime highlight bar then appears when the optimal entry conditions are met. For long exits, the CCI line will be located above the top green line. The line will then change colors from gray to red and a red highlight bar will be plotted when it is time to exit the long position.
Adjusting the upper and lower bounds will change the position of the red and green horizontal lines and alter the threshold at which the TrendHawk will consider a price overbought or oversold.
Users can modify the CCI constant value in the input options menu. The optimal setting will depend on both the SMA length and the intention of the trader. For example, a lower CCI constant of around 0.015 is recommended for scalping.
Adjusting the length of the Simple Moving Average (SMA) follows the same general principles as the CCI constant and is usually adjusted in conjunction with the CCI (either both decreased or both increased).
Another option is changing the lengths of the fast and slow Hull Moving Averages. These are used for finding absolute tops and confirming the exit signals identified by the CCI. Changing these won't make a drastic difference in performance compared to the CCI settings.
Users can decide the order of signals in the input option menu through the ‘allow repeat signals’ parameter. If this is set to false, the study will generate signals in the logical chronologic order of [buy, sell, buy, sell, buy, sell,….]. If it is set to true, then signals will be generated as they come, regardless of whether the last signal was its inverse. This means that it could generate sequences like this for example [buy, buy, sell, buy, sell, sell, sell,…].
Finally, we included an option to adjust the stop-loss. This is a good safeguard against unpredictable or sudden price changes
An alert with the message “The TrendHawk - Enter Long Position” is generated when the buy condition are met.
An alert with the message “The TrendHawk - Exit Long Position” is generated when the sell conditions are met.
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. These prices are then plotted on top of the price chart, with the red area symbolizing the stop loss and green area representing the limit.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?).
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