Easy Trade Pro

Complete Overview of the Indicator

Tutorial on how to use the Backtesting System

๐Ÿ•ฎ Description

Easy Trade Pro is a trading solution, developed exclusively for TradingView, that combines multiple technical indicators into a single customizable one. This sophisticated trading indicator is the culmination of an extensive trading career, it is designed to provide traders with high probability buy & sell setups and a 360-degree perspective of any financial asset, like Equities, Futures, Crypto, Forex and Commodities, enabling them to make informed decisions and achieve success in their trading strategies.

Easy Trade Pro is versatile, allowing you to analyze market trends and generate trading signals across any financial asset. With its rigorous testing, our tool can be used confidently on any timeframe, from 1D to 1min, whether you prefer longer-term or shorter-term trades. From seasoned traders to beginners, our indicator provides reliable data-driven insights to help you make informed trading decisions in any market.

Although we recommend trading on timeframes between 1D and 1min, higher timeframes like 1W chart, can also provide accurate market insights.

1) BTC USD BINANCE 1W CHART

Our tool combines a variety of popular technical indicators, such as RSI, Stochastic RSI, MACD, DMI, Bollinger Bands as well as relevant EMAs. On the volume side OBV and MFI. Using a data-driven approach, โ€œEasy Trade Proโ€ analyzes historical market trends to identify optimal ways to combine these indicators with significant divergences between price and oscillators. On top of that the code considers relevant changes in market structure and liquidity grabs, to generate reliable and accurate signals for potential buy and sell opportunities.

With our customizable trading indicator solution, traders will be able to identify:

1) Three types of buy signals๐Ÿ‚,๐Ÿ’ฐ,๐Ÿ’Ž and sell signals ๐Ÿป,๐Ÿ”จ,๐Ÿ’€

2) Bullish and bearish reversal candles with support and resistance lines

3) Bull and bear momentum signals

4) Three customizable moving averages

5) Alerts direct to your email or phone

6) Advanced and customizable settings menu

7) Steady Signals: No Repainting

8) Our software also includes a powerful backtesting system that that allows users to test their trading strategies on historical data, to check how they would have performed in real-world market conditions. This can help refine a trading strategy and make more informed decisions.

It's crucial to note that we offer two distinct versions to cater to different trader requirements. Easy Trade Advanced encompasses all of the features from points 1 to 8. For traders who seek an additional analytical edge, we present Easy Trade Pro, which includes all the functionalities of Easy Trade Advanced plus the comprehensive backtesting system outlined in point 9 and the filter "Show only strongest reversal" (explained in the point 2).

1) Three types of Buy and Sell signals

Our buy and sell signals are generated using a custom combination of RSI, MFI, and Stochastic RSI levels, as well as relevant MACD and Stochastic RSI crosses. These indicators are carefully analyzed to identify potential trading opportunities and determine optimal entry and exit points for trades.

RSI (Relative strength index) measures the strength of a security's price action, while the SRSI (Stochastic Relative Strength Index) is a momentum oscillator that measures the current price relative to its high and low range over a set period. The Money Flow Index (MFI) is another momentum indicator that uses both price and volume data to measure buying and selling pressure. MACD (Moving Average Convergence Divergence) is a popular technical indicator used in financial markets to analyze price trends and momentum.

With our system, you'll be able to identify three different levels of buy signals:

  • The first level of buy signal is represented by a ๐Ÿ‚ emoji and is a "Moderate Oversold Oscillators". This signal indicates a possible buying opportunity. It indicates that could be a good opportunity to enter in a long trade.

  • The second level of buy signal is represented by a ๐Ÿ’ฐ emoji and is a "Strong Oversold Oscillators". This signal indicates a stronger buying opportunity than the ๐Ÿ‚.

  • The third and strongest buy signal is represented by a ๐Ÿ’Ž emoji and is an "Extremely Oversold Oscillators". This signal indicates a very strong buying opportunity and should not be ignored.

With our system, you'll be able to identify three different of sell signals.

  • On the sell side, the first level is represented by a ๐Ÿป emoji and is a "Moderate Overbought Oscillators". This signal indicates a possible selling opportunity. It indicates that could be a good opportunity to exit a trade or open a short position.

  • The second sell signal is represented by a ๐Ÿ”จ emoji and is a "Strong Overbought Oscillators". This signal indicates a stronger selling opportunity than the ๐Ÿป.

  • The third and strongest sell signal is represented by a ๐Ÿ’€ emoji and is an "Extremely Overbought Oscillators". This signal indicates a very strong selling opportunity and should not be ignored.

In automated strategies (so no manual input to enter a trade), signals like Strong and Extremely Overbought Oscillators are quite rare and typically unsuitable for automated strategies due to their infrequency. If you are inclined to try these orders, we suggest doing so on very low timeframes, such as 15 minutes or less, where they occur more frequently.

The same advice applies to Strong and Extremely Overbought Oscillators orders. These are better suited for lower timeframes. For higher timeframes, it's advisable to use these orders sparingly, for instance, in only one out of four take profit orders.

In conclusion, the signals are best considered for very low timeframes or manual entry and exit decisions. Their rarity and impact make them more suited for deliberate, hands-on trading rather than automated strategies.

2) Bullish and bearish reversal candles plus support and resistance lines

Bullish and bearish reversal candles are specific candles that have more probability to reverse the trend or candles where is a good idea take a little bit of profit.

Our trading indicator is designed to identify bullish and bearish reversal candles. Our method of detecting these pivotal candles combines conditions from buy and sell signals with pertinent divergences in Price, RSI, and Volume (OBV). The distinguishing factor, however, lies in recognizing significant shifts in market structure and liquidity grabs. To further enhance the credibility of our indicator, we've incorporated Bollinger Bands, serving as an additional layer in spotting potential trend reversals, particularly when aligned with long-wick candlesticks, engulfing patterns, and morning or evening star formations.

By taking this comprehensive approach, our tool offers traders a dependable means of detecting both bullish and bearish reversal patterns with heightened accuracy.

These candles are represented by blue and orange colors respectively by default. Additionally, the indicator also uses lines that are drawn at either the opening or closing of candles to help identify pivot points of support or resistance. These candles, lines color or shape are customizable in the settings menu.

Bullish Reversal Candles

This situation is characterized by a candle which is colored blue by default (though the color can be customized). A distinguishing feature of this case is the presence of a letter "R" beneath the candle, signaling a bullish reversal.

Each Bullish Reversal candle comes with a support line, which you can choose to either display or hide on your chart. How can I benefit the most from bullish reversal lines? Bullish reversal lines can help traders to identify key level of support and maintain control of their position until a clear break below occurs.

In the example below we se how the price retrace to the support line.

How can I benefit the most from bullish reversal candles?

To maximize the benefits from bullish reversal candles, it's crucial to understand that entering a long position simply because a candle is showing a reversal might be risky. However, the following steps can help increase the safety of your trading decisions, thereby raising the probability of a successful reversal:

  1. Waiting for the next candle to close above the support line can indicate a potential trend change. For timeframes 4h and above, the closure of the next candle could be enough; for timeframes lower than 4h, it's recommended to wait for the second or third candle.

  2. Paying attention to the trading volume of the closing candle can provide additional confirmation. If the candle shows positive volume, it suggests strong buying pressure and further supports the potential for a continued upward trend.

  3. Examining Exponential Moving Averages (EMAs) can offer another layer of safety. If after a bullish reversal candel the price breaks above the 9 or 12 EMA in timeframes 4h and above, it indicates a strong bullish momentum. For timeframes below 4h, consider the 12 or 21 EMA.

  4. Buy Signals: Look for any buy signals that occur before or after the bullish reversal candle. These signals can provide further confirmation of a potential bullish trend and increase the probability of a successful trading setup.

  5. Personal Trading Strategy Confluence: In addition to the above steps, incorporate elements of your personal trading strategy to add more context to the setup. Whether you utilize order blocks, liquidity sweeps, fair value gaps, key support zones, or Point of Control (POC) of volume profile ranges, these elements can further increase the probability of a successful reversal. Remember, it's the combination of multiple factors that often lead to the most reliable trading scenarios.

Entry Positioning: Consider waiting for the price to retest the support line of the bullish reversal candle before entering a trade. Often, there's a small pullback after a bullish reversal candle, and the price may return to the support line before resuming the upward trend. This strategy can provide a more favorable entry point. If a clear close below the support line occurs, it could be an indication to exit the trade, as this might signal a false reversal.

These tips are designed to minimize risk and enhance trading effectiveness. Always align these strategies with your risk tolerance.

Here below we can see an example of a bullish reversal candle in the BTC/USDT, Perp. 1D, chart. The system identifies a bullish reversal candle (indicated in blue). The following candle closed above the support line of the bullish reversal candle and the volume si positive. Prior to this, we observed a 'great buy signal,' and following it, a 'good buy signal.' This scenario creates a confluence that significantly increases the probability of a successful trading setup.

Failed Bullish Reversals: How Should You Adapt Your Strategy?

In the dynamic world of trading, strategies must be adaptable. Remember, trading is largely a game of probabilities. This means that sometimes, even setups that seem promising, like bullish reversal candles, may fail. When you see a bullish reversal candle that comes with a support line, you would normally expect the price to rise. However, what happens if the price doesn't reverse? What if it breaks down past the support line?

In such cases, it's important not to panic or make rash decisions. Instead, it can be a signal to pivot your strategy. After the price breaks down past the support line, the same line can act as resistance.

In the example above, we're examining the FTM daily chart. Notice the bullish reversal candle formation (a blue candle) followed by two confirming candles, which seemed quite promising. In fact, it was followed by a price pump of 18%. However, soon after, the price retraced to the support line and closed below it. Interestingly, observe the two subsequent candles which were unable to break above this line, as it started to act as resistance. As the price retraces back to this line, you might have an opportunity to short the market. This could yield positive results, especially if there is confluence with your other indicators or personal strategies.

Below we can analyze another example in the US500 6H chart.

In this scenario, we see another small pump, followed by a candle that closed below the line. The subsequent candle couldn't close above it either, with the line persistently acting as resistance. As a result, the price dropped. Later on, a sequence of blue candles appears, signaling a potential reversal. But it's crucial to exercise patience and wait for the trend to stop. Indeed, a genuine reversal eventually transpired. This example underscores the reality that no indicator or individual in the world can predict market movements with 100% accuracy, hence the importance of patience and discipline in trading.

How it went...

However, it's essential to remember that this isn't a surefire strategy. You should only undertake it if you feel comfortable with the risks involved, and if it aligns with your overall trading style and risk management strategy. Always ensure that your decisions are guided by careful analysis and thoughtful consideration, rather than emotional reactions to market movements.

Remember, successful trading is not just about winning every single tradeโ€”it's about managing your losses and making consistent, informed decisions that align with your overall trading plan.

Bearish Reversal Candles:

This situation is characterized by a candle which is colored orange by default (though the color can be customized). A distinguishing feature of this case is the presence of a letter "R" above the candle, signaling a bearish reversal.

Each Bearish Reversal candle comes with a resistance line, which you can choose to either display or hide on your chart. How can I benefit the most from bearish reversal lines? Bearish reversal lines can help traders to identify key level of resistance and maintain control of their position until a clear break above occurs.

In the example below we se how the price retrace to the resistance line.

How can I benefit the most from bearish reversal candles?

To maximize the benefits from bearish reversal candles, it's crucial to understand that entering a short position simply because a candle is showing a reversal might be risky. However, the following steps can help increase the safety of your trading decisions, thereby raising the probability of a successful reversal:

  1. Candle Closure Below Resistance: Waiting for the next candle to close below the resistance line can indicate a potential trend change. For timeframes 4h and above, the closure of the next candle could be enough; for timeframes lower than 4h, it's recommended to wait for the second or third candle.

  2. Trading Volume Analysis: Paying attention to the trading volume of the closing candle can provide additional confirmation. If the candle shows negative volume, it suggests strong selling pressure and further supports the potential for a continued downward trend.

  3. Exponential Moving Averages (EMAs): Examining Exponential Moving Averages (EMAs) can offer another layer of safety. If after a bearish reversal candle the price breaks below the 9 or 12 EMA in timeframes 4h and above, it indicates strong bearish momentum. For timeframes below 4h, consider the 12 or 21 EMA.

  4. Sell Signals: Look for any sell signals that occur before or after the bearish reversal candle. These signals can provide further confirmation of a potential bearish trend and increase the probability of a successful trading setup.

  5. Personal Trading Strategy Confluence: In addition to the above steps, incorporate elements of your personal trading strategy to add more context to the setup. Whether you utilize order blocks, liquidity sweeps, fair value gaps, key resistance zones, or Point of Control (POC) of volume profile ranges, these elements can further increase the probability of a successful reversal.

Entry Positioning: Consider waiting for the price to retest the resistance line of the bearish reversal candle before entering a trade. Often, there's a small bounce after a bearish reversal candle, and the price may return to the resistance line before resuming the downward trend. This strategy can provide a more favorable entry point. If a clear close above the resistance line occurs, it could be an indication to exit the trade, as this might signal a false reversal.

These tips are designed to minimize risk and enhance trading effectiveness. Always align these strategies with your risk tolerance.

Here below we can see an example of a bearish reversal candle in the ETH/USDT, Perp. 1D, chart. The system identifies a bearish reversal candle (indicated in orange). The following candle closed below the support line of the bullish reversal candle and the volume si negative. Prior to this, we observed another 'Bearish Reversal Candle'. This scenario creates a confluence that significantly increases the probability of a successful trading setup.

Failed Bearish Reversals: How Should You Adapt Your Strategy?

In the dynamic world of trading, strategies must be adaptable. Remember, trading is largely a game of probabilities. This means that sometimes, even setups that seem promising, like bearish reversal candles, may fail. When you see a bearish reversal candle that comes with a resistance line, you would normally expect the price to fall. However, what happens if the price doesn't reverse? What if it breaks up past the resistance line?

In such cases, it's important not to panic or make rash decisions. Instead, it can be a signal to pivot your strategy. After the price breaks above past the resistance line, the same line can act as support.

In the illustration above, we're observing the ETH daily chart. Take note of the bearish reversal candle formation (an orange candle), succeeded by several candles that closed below it โ€“ this seemed to hold promising prospects. However, soon after, the price ricocheted back to the resistance line and closed above it. Interestingly, a candle managed to break above the line and the subsequent candle confirmed this breakout. As the price demonstrated strength, an opportunity to long the market could present itself. Acting on this opportunity could potentially yield positive results, particularly if it is in confluence with your other indicators or personal strategies.

How it went...

Below we can analyze another example in the EURUSD 1H chart.

Mirroring the previous situation, this could serve as a potential opportunity to long the market. In fact, as predicted, the price eventually trended upwards...

However, it's essential to remember that this isn't a surefire strategy. You should only undertake it if you feel comfortable with the risks involved, and if it aligns with your overall trading style and risk management strategy. Always ensure that your decisions are guided by careful analysis and thoughtful consideration, rather than emotional reactions to market movements.

Remember, successful trading is not just about winning every single tradeโ€”it's about managing your losses and making consistent, informed decisions that align with your overall trading plan.

Filter useful for both Bullish and Bearish Reversal Candles

In the input settings menu you can find two filters that could help to identify stronger reversals, by volume or by ma strategy.

YOU CAN'T USE BOTH AT THE SAME TIME

3) Bull and bear momentum signals

Bull and Bear momentum signals refer to visual indicators on the chart that highlight candles with significant price delta variations. The green triangle pointing upward (โ–ฒ) represents a bullish momentum, indicating a notable increase in delta price to the upside. Conversely, the red triangle pointing downward (โ–ผ) signifies a bearish momentum, indicating a substantial increase in delta price to the downside. These arrows help identify candles with unusual delta price changes compared to a specified lookback period, providing insights into potential momentum shifts.

Abundance of green arrows means possible strong uptrend, despite we see an orange bearish reversal candle, the odds should be more on the long positions side.

Abundance of red arrows means possible strong downtrend and despite we see blue bullish reversals candles, the odds should be more on the short positions side.

You can hide those arrows by flagging the box "Hide momentum signals only" in the settings input menu.

5) Three customizable moving averages

You can choose up to three moving averages, any length and any type like SMA, EMA, WMA, HMA, RMA, SWMA and VWMA.

You can also plot when Fast cross below Mid, or Fast cross above Mid.

6) Alerts direct to your email or phone

With our powerful trading indicator, you'll never miss a trading opportunity again. Our alert feature sends real-time notifications directly to your email or phone when a signal is generated, allowing you to take immediate action and stay ahead of the market. Whether you're looking for bullish or bearish momentum, our tool provides comprehensive alerts for all trading scenarios. Additionally, our reversal-coded candle alerts help you stay informed about chart patterns and market trends, so you can make informed decisions with confidence.

Alerts available for Easy Trade Pro version without Backtesting System:

All plots available on the indicator, see the image below.

Alerts available for Easy Trade Pro version with Backtesting System:

Click on the 3 dots of the indicator and click on "Add alert on Easy Trade..."

With our system, you first establish your own rules for trading in the strategy tester - this includes your criteria for entering and exiting trades.

Once you've defined these conditions, our system will start sending you alerts. These alerts will be triggered whenever your specified conditions are met. So, if the market matches your 'enter trade' conditions, you'll receive an alert prompting you to consider entering a trade. Similarly, when your 'exit trade' conditions are met, you'll receive another alert, this time suggesting that it might be a good time to exit the trade.

Remember, these alerts are purely based on the conditions you set. They're designed to help you stick to your trading plan and not miss any opportunities that align with your strategy.

Once the condition is met, you will receive alerts directly to your email or phone when enter and exit a trade based on your custom conditions. To make sure you receive these notifications click on notifications tab.

7) Advanced and customizable settings menu

We designed Easy Trade indicator with traders in mind, so it's user-friendly, easy to navigate and users can customize inputs, style, and colors of every feature in the indicator's settings menu๐Ÿคฉ

8) Steady Signals: No Repainting

โ—Importantโ—One of the key features of our "Easy Trade" indicator is that it does not repaint. In other words, once a signal is generated, it stays put. This ensures you can trust what you see and make decisions based on accurate historical data.

9) Easy Trade Pro - Backtesting System

Easy Trade Pro features a highly effective and realistic backtesting system, designed to mirror as closely as possible the real-world scenarios of entering and exiting trades. To gain a fundamental understanding, kindly refer to the information provided below.

Step 1:

Open the settings menu of the Indicator.

Once opened the settings menu click on properties.

Decide on the capital you wish to invest. Choose whether to use contracts or USD and determine the size of your orders. For the sake of realism, we recommend not exceeding 25% of your capital per order. However, if you decide to utilize your entire capital, make sure to adjust your stop loss accordingly. For instance, if you have a capital of 10K and use 10K with a stop loss at 2%, your potential loss would be $200. Conversely, if you use only 2K of your 10K capital with a stop loss at 10%, you would still lose the same 2% of your capital. To make your simulation even more authentic, consider incorporating broker fees or commissions into your calculations. For example, spot market fees are typically around 0.10%. If you're backtesting markets with low liquidity, consider factoring in slippage as well.

Step 2:

Navigate to the 'Inputs' section and scroll down until you come across 'Backtesting System - Strategy Test'. Once you locate this, click on the box and activate the 'USE BUY STRATEGY SYSTEM' option by checking the tick box, or 'USE SELL STRATEGY SYSTEM' option by checking the tick box. If you tick both you will backtest long and short combined, otherwise individually, only long and only short.

โš ๏ธ Essential Setting! โš ๏ธ IF YOU DON'T CLICK ANY BOX, THE BACKTESTING SYSTEM WILL RESULT OFF, SO NOT WORKING!

You will then need to set a 'Start Date' and 'End Date', establishing a specific time period during which you wish to test your strategy.

If you're looking to extend the testing period beyond the limit of displayed bars in the chart, I'd recommend making use of the 'Deep Backtesting' feature available in TradingView's strategy tester. While the chart visualization may be limited to the last 20,000 bars due to the constraints of the platform, the 'Deep Backtesting' function can bypass this restriction. This feature enables a comprehensive analysis over longer time periods, allowing for a more robust evaluation of the strategy's performance. Just remember, the results from 'Deep Backtesting' will only be reflected in the strategy tester's report and not on the chart itself due to the bar limit. This can provide an invaluable perspective for those seeking extensive historical data for their trading strategies.

Step 3:

It's now time to establish the conditions for entering a trade. You can choose from five different types of custom buy signals: Moderate, Strong, Extremely Oversold Oscillators and Bullish Reversal.

Signals like Strong & Extremely Oversold Oscillators are quite rare and typically unsuitable for automated strategies due to their infrequency. If you are inclined to try these orders, we suggest doing so on very low timeframes, such as 15 minutes or less, where they occur more frequently. For more consistent results, we recommend using the other buy signals.

After determining your preferred buy signal, you can choose how many confirmation candles you wish to wait for before entering a trade. A 'confirmation' means that if the next candle closes above the opening or closing price of the chosen buy signal, it's considered a confirmation. This could be the opening or closing price, depending on whether the candle is green (close > open) or red.

Step 4:

It's now time to safeguard your trade by managing risk. You can choose to implement a stop loss, expressed in percentage terms.

Additionally, you can minimize losses and move the stop loss to your entry point once the price reaches a certain percentage of profit. This strategy can help secure potential gains while limiting the potential for losses. Also, we've introduced an excellent feature that allows you to move your stop loss to the entry point whenever the first take profit (1TP) is reached, which equates to hitting one custom sell signal.

Step 5:

Now it's time to set the conditions for exiting the trade. You have the option to divide your exit into a maximum of four parts, with each part representing 25% of the position size. For each take profit point, you can choose from five different custom sell signals: Good Sell, Good Sell Bear and Bearish Reversal.

We have excluded the Strong & Extremely Overbought Oscillators orders from the backtesting system because these signals are not suitable for automated strategies due to their infrequent occurrence. However, in manual trading, these signals should not be underestimated when they do appear on the chart. It's beneficial to seize these opportunities and take advantage of these signals when they occur.

Similarly, the concept of confirmation candles also applies here, but in this case, the candles are not closing above. A 'confirmation' for a sell signal means that if the next candle closes below the opening or closing price of the selected sell signal, it's considered a confirmation. This could be the opening or closing price, depending on whether the candle is green (open > close) or red (close < open).

So, when you're looking to sell, a confirmation would occur if the next candlestick's closing price is lower than the opening or closing price of the candlestick that triggered the sell signal. This indicates a potential bearish trend, providing the confirmation to execute the sell order.

Step 6:

Short backtest menu is exactly the same structure of long backtest, what differs are the name of the orders.

Conclusion:

Easy Trade Pro provides users with various options for entering and exiting trades. To effectively utilize the indicator, we strongly recommend conducting thorough backtesting and considering the results across your preferred trading pairs. It is advisable to analyze a substantial number of trades, ideally exceeding 100 trades, to obtain reliable insights into the indicator's performance. This approach will help you gain a better understanding of how Easy Trade Pro aligns with your trading strategy and objectives.

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