A one-day chart pattern where prices sharply reverse during a trend. In an uptrend, prices open to new highs and then close below the previous day's closing price. In a downtrend, prices open lower and then close higher. The wider the price range on the key reversal day and the heavier the volume, the greater the odds that a reversal is taking place.
# Key Reversals # Assembled By BenTen at useThinkScript.com # Converted from source #1 https://www.tradingview.com/script/gv7Qop70-Key-Reversal-Down/ # Converted from source #2 https://www.tradingview.com/script/i3zsd4ZG-Key-Reversal-Up/ input nLength = 1; def xLL = lowest(low, nLength); def xHH = highest(high, nLength); def C1 = (low < xLL and close > close); def C2 = (high > xHH and close < close); # Highlight Candles assignPriceColor(if C1 then color.green else if C2 then color.red else color.white); # Plot Signals plot bullish = C1; bullish.SetPaintingStrategy(PaintingStrategy.BOOLEAN_ARROW_UP); bullish.SetDefaultColor(Color.CYAN); bullish.SetLineWeight(1); plot bearish = C2; bearish.SetPaintingStrategy(PaintingStrategy.BOOLEAN_ARROW_DOWN); bearish.SetDefaultColor(Color.CYAN); bearish.SetLineWeight(1);