Bullish/Bearish Signal Detector For ThinkOrSwim

[lovetotrade20024]

Author states: By combining the power of the MACD (Moving Average Convergence Divergence) and RSI (Relative Strength Index) indicators, this script provides a unique and efficient method for detecting potential trading opportunities.
The script defines bullish conditions as those where the MACD histogram is positive and the RSI is above 50. Bearish conditions are defined where the MACD histogram is negative and the RSI is below 50. This combination of conditions ensures that signals are generated based on both momentum and relative strength, reducing the likelihood of false signals.

Here is the original Tradingview code:
https://www.tradingview.com/v/4SXfn9Hw/

For the new ThinkOrSwim code, you must scroll down to the next post

 

[sum]

@lovetotrade20024 see this

# Bullish/Bearish Signal Detector

# MACD and RSI constants
def macdFastLength = 23;
def macdSlowLength = 26;
def macdSignalLength = 9;
def rsiLength = 14;

# Price source
def price = close;

# Calculate MACD values
def macdValue = MovingAverage(AverageType.EXPONENTIAL, price, macdFastLength) - MovingAverage(AverageType.EXPONENTIAL, price, macdSlowLength);
def macdSignal = MovingAverage(AverageType.EXPONENTIAL, macdValue, macdSignalLength);
def macdHist = macdValue - macdSignal;

# Calculate RSI
def rsiValue = reference RSI(length = rsiLength);

# Bullish and Bearish conditions
def isBullish = macdHist > 0 and rsiValue > 50;
def isBearish = macdHist < 0 and rsiValue < 50;

# Track last signal
def lastWasLong = CompoundValue(1, if isBullish then 1 else if isBearish then 0 else lastWasLong[1], 0);
def lastWasShort = CompoundValue(1, if isBearish then 1 else if isBullish then 0 else lastWasShort[1], 0);

# Plot signals
AddChartBubble(isBullish and !lastWasLong[1], low, "LONG", Color.CYAN, no);
AddChartBubble(isBearish and !lastWasShort[1], high, "SHORT", Color.MAGENTA, yes);