The indicator is looking for a Price Action double bar reversal pattern.
- A double bar with similar Lows and higher Close - DBLHC (bullish setup)
- A double bar with similar Highs and lower Close - DBHLC (bearish setup)
A pattern may consist of two, three or even four bars. It is believed that the more bars form a pattern, the stronger it is. After finding the pattern, the indicator notifies of that via an on-screen alert, push notification and e-mail (if enabled in the settings). If the pattern confirms the previous one, the notification contains the multiplier х2, х3, х4, etc. depending on how many times the very first pattern in the chain has already been confirmed. For example, a Buy pattern notification is sent for two bars with similar Lows. If the next bar also falls under these limits, a notification of finding the pattern x2 is sent. If the subsequent bar also has the Low similar to the second bar's one, the pattern x3 notification is sent, etc. Entry and stop levels are displayed for each new signal included in a single pattern, while a signal arrow at the entry level constantly moves to the very last signal in the pattern.
The indicator has eight configurable parameters:
- The difference between adjacent high or low - difference between High and Low of adjacent bars forming a pattern (usually 3 points). The value of 10-15 points is quite normal for 5-digit quotes on H4
- StopLoss level in Point - distance between a stop loss level and the lowest Low (bullish setup) bar or the highest High (bearish setup) bar included in the pattern
- Draw opening levels and the levels of stop - whether stop loss and market entry/pending order levels should be drawn
- Colours levels bullish pattern - level color for a bullish pattern (if Yes in p. 3 has been selected)
- Colours levels bearish pattern - level color for a bearish pattern (if Yes in p. 3 has been selected)
- Use Alerts - notify of a pattern using an alert (Yes/No)
- Send Push-notifications - send push notifications to a mobile device (Yes/No)
- Send mail - send an email (Yes/No)
You can combine all three notification parameters as you like.
