OPEN-SOURCE SCRIPT
ADX Gapper
Based on the ADX Gapper strategy described in the book Street Smarts, it looks to exploit retracement to a prevailing trend when there has been a gap away from the trend, giving you multiple potential entries. It uses the ADX to determine a trend and detects when there is a gap to signal an entry day where:
You would enter short if the DI-(red line) > DI+ (green line), ADX (blue area) > 30 indicating a strong trend and if there is a gap up from the previous day. If all the described conditions are met then you would place a short stop at the previous day highs and trail a stop until the end of the day. This strategy is meant to give you trades to hold for 1 day (the day you enter) or 2 days if you consider you should hold it overnight.
You would enter short if the DI-(red line) > DI+ (green line), ADX (blue area) > 30 indicating a strong trend and if there is a gap up from the previous day. If all the described conditions are met then you would place a short stop at the previous day highs and trail a stop until the end of the day. This strategy is meant to give you trades to hold for 1 day (the day you enter) or 2 days if you consider you should hold it overnight.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
For quick access on a chart, add this script to your favorites — learn more here.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
For quick access on a chart, add this script to your favorites — learn more here.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.