Candle Pattern Coding Formulas

[atcsam]

Just wondering if there is a holy grail for coding/ defining/ formulas for Candlesticks and patterns...

I'll set TOS as a reference, seem OK but perhaps not the best.

I have not done a full comparison yet, thought I'd question the experts...

Found a detailed list on TC2000 with formulas.

Samples of code some Trade View are using...

Appears to be some subjectivity in describing things "pretty short wick", "slightly more than" "slightly less than", "Close to" etc. maybe an occasional "if /then/ else/ BUT what if......"

Here is an example of what I'm seeing (not complete codes) for the "Hammer" looking for Best Practice...
Even the descriptions I've read are vague at times.


Source: TOS ( averages 20 candles)
def BodyHeight = BodyHeight();
def AverageBodyHeight = Average(BodyHeight, length);
def ErrMargin = 0.05 * AverageBodyHeight;
def IsShort = BodyHeight < bodyFactor * AverageBodyHeight;

Source 1: Averages 10
5 * ABS(C - O) <= H - L AND 10 * ABS(O - C) >= H - L AND 2 * O >= H + L AND STOC1 >= 50 AND (20 * O >= 19 * H + L OR STOC1 >= 95) AND 10 * (H - L) >= 8 * (AVGH10 - AVGL10) AND L = MINL5 AND H > L

Source 2: Plain and simple...
(((H-L)>3*(O-C)AND((C-L)/(.001+H-L)>0.6)AND((O-L)/(.001+H-L)>0.6)))

Source 3: averages 20
if( wick > ( body*2.0 ) && tip < (body/2) ){ BufferBullishHammer = Low - 20*Point;

Source 4: Close above or below 52 ma
def MovingAvg = 52;
def Avg2 = SimpleMovingAvg(close, MovingAvg);
def CandleBody = AbsValue(open - close);
def UpperWick = high - Max(open, close);
def LowerWick = Min(open, close) – low;
def Hammer = LowerWick > CandleBody * 2 and UpperWick <= LowerWick * 0.2 and low < low[1] and low < low[2] and low < low[3] and low < low[4] and low < low[5] and low < low[6] and low < low[7] and low < low[8] and close > Avg;


Source 5: No averages but plots on a 20 day pivot
def hammer = pl and min(open,close) - low> d and high - max(close,open) < d;

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The list goes on....
Tweezers... well... I'm just going to code that one.
Exact Tweezers, Close enough Tweezers and Fuzzy tweezers... and not necessarily together.

 

[MerryDay]

Here is an example of what I'm seeing (not complete codes) for the "Hammer" looking for Best Practice...
Even the descriptions I've read are vague at times.

You seem to be confusing candle patterns with strategies that USE candle patterns.

Candle patterns in of themselves are identification of the candles themselves. Yes, you then can combine them with any trend/momentum strategy

For the code to identify the candle patterns:
https://tlc.thinkorswim.com/center/howToTos/thinkManual/charts/Patterns/Candlestick-Pattern-Editor#:~:text=What's a candlestick pattern?

 

[atcsam]

Probably overthinking this...
Using Hammer as an example where the tail is 2x the body (is that ABS 10 candle average 20?) Seems 20 candles is the norm.
Define Little or No Upper Wick; as a percentage of body height (abs Average , < 1%,10% or 25%.
wasn't sure if there was a preferred standard.

Developing a study / strategy implementing concepts from "The Candlestick Trading Bible" sanyog raut, and Steve Nison's "Japanese Candlestick Charting Techniques"

So far the study dynamically identifies key Candles, support resistance levels (intermediate). Which line up nicely with fibs, so fibs verify the levels and the levels verify the use of fibs....

A bit like my dad used his sextant to verify his GPS ( when they first came out)... Levels are confirmed by fibs based on a pattern study developed in the 18th century.

This how its looking so far.
Screen shot of yesterdays exit of a short term trade in UPRO off the 15min bars.
Last week exited a swing trade on CVX last week off the daily (1hr chart).... I was in the trade before the exit but it did have a better entry than the one I took.

Primary candle study posted by JT_479, SleepyZ helped me clean up plotting at zero.