The Price Change Scalping strategy uses a price rate of change (ROC) momentum calculation to determine the percent change in price between a defined range of time. The calculated ROC value is then compared to the Upper Threshold and Lower Threshold values to determine if a trade setup is to be activated. If the threshold is crossed, a trade setup will occur based on the indicator settings. Entry, Take Profit and Stop Loss prices are calculated and displayed on the chart. Once the Entry Price is crossed, a long or short position is created (depending on the direction). Eventually, once the Take Profit price is crossed, the position is closed. If the Entry Price is not crossed within a specific number of bars, the trade setup is canceled. Thus, it will proceed to monitor price changes for the next set up.
View the scripts on TradingView™:
- Indicator: https://www.tradingview.com/script/pTSQhb0H-Price-Change-Scalping-Indicator-v1-0/ 🡵
- Strategy: https://www.tradingview.com/script/OEsH6aC0-Price-Change-Scalping-Strategy-v1-0/ 🡵