3 Price Break Amibroker Indicators Forex Trading Systems - XEATrade - Metatrader, Metastock, Tradestation, Amibroker

Description: 3 Price Break can be used to verify trend and to set trailing stops. This is a work in progress. I pefer to see the 3PB lines graphed against a candlestick chart versus the traditional 3PB representation. This will graph the price break line as green in an uptrend and red in a down trend. There are parameters for changing the number of price breaks (2 versus 3) and the number of bars to use to begin the study. If you don't see a plot, it is, probably because there are not enough bars to perform the study. To be corrected - the method used to determine the seed is not correct, but it doesn't matter once the initial trend has been established.

Title = Name()+ " Price Break Indicator." ;
//+ "  Trend is " + Trend_Text + ".  SEQUENCE IS " + Sequence_Text;
Plot(C,Title,colorBlack,styleCandle);

/////////   Parameters  ////////

nBars_To_Scan = Param("Number of bars to Scan",20, 10,480, 10);		//Number of bars to include in scan
PB_Interval = Param("Number of Bars for Price Break",3,2,3,1);

/////////  Use Array of Prices and Price Breaks to Look Back and Determine What Price Break is For Current Bar
Seedbar = nBars_To_Scan + 1;					//Need an initial value to start the PB process
if (BarCount > Seedbar) 						//Make sure there are enough bars available to evaluate
{
											
Price[0]= LastValue(Ref(C,-Seedbar));			//Seed the 0 Bar in the Array with Values
Trend[0]=1;										//1 = Long, 0=Short
Sequence[0]=0;									//Sequence counter - counts number of new price breaks
Price_Break[0] = LastValue(Ref(C,-Seedbar));
High_C1[0] = LastValue(Ref(C,-Seedbar));		//Highest Close 1 Ago
High_C2[0]= LastValue(Ref(C,-Seedbar));			//Highest Close 2 Ago
High_C3[0]= LastValue(Ref(C,-Seedbar));			//Highest Close 3 Ago
Low_C1[0] = LastValue(Ref(C,-Seedbar));			//Lowest Close 1 Ago
Low_C2[0] = LastValue(Ref(C,-Seedbar));			//Lowest Close 2 Ago
Low_C3[0] = LastValue(Ref(C,-Seedbar));			//Lowest Close 3 Ago
											
for ( i=1; i < Seedbar ; i++) 			//Cycle through prices filling in price array and caculating price breaks 
{											
	Prior = i-1;									//Index for Prior entry in array.  Set the current array values to 
	Trend[i]=Trend[Prior];						//prior values to make sure everything that isn't changed later
	Price_Break[i] = Price_Break[Prior];			//gets carried forward to the next row in the array.
			Low_C1[i] = Low_C1[Prior]; 			//Carryover current values
			Low_C2[i] = Low_C2[Prior];
			Low_C3[i] = Low_C3[Prior];  
			High_C1[i] = High_C1[Prior];			//Carryover current values
			High_C2[i] = High_C2[Prior];
			High_C3[i] = High_C3[Prior];
			Sequence[i] = Sequence[Prior];

	Price[i] = LastValue (Ref (C,-(Seedbar-i)));	//Seedbar is the bar just in front of where I start the method.  Works since i starts at 1

	if (Price[i] >Price[Prior] AND Trend[Prior] == 1 )	// If Close is Greater than the prior close And the Trend is Long
	{		if (Price[i] >High_C1[Prior])			//If the Close is greater than the last highest close
			{									//Test For Price Break.  The IIF is there to accomodate a 2 price or 3 price break option
												//based on the PB_Interval parameter
			Price_Break[i] = IIf(PB_Interval == 3,High_C3[Prior],IIf(PB_Interval == 2,High_C2[Prior],High_C3[Prior]));	
												//The 3PB method says I take the highest close 4 ago as the new price break.
			Sequence[i] = Sequence[i] + 1;		//Increment Sequence if Price Break
			High_C3[i] = High_C2[Prior];			//Stacking the higher closes like this avoids having to go back and iterate through the.
			High_C2[i] = High_C1[Prior];			//closes to find and count the higher closes.  They are just carried forward in the stack.
			High_C1[i] = Price[i];				//When a higher close occurs, it is put on the top of the stack, each close below is
			}									//pushed down in sequence, and the earliest (farthest back) close goes away.
	}		

	if (Price[i] >Price[Prior] AND Trend[Prior] == 0 )	// If Close is Greater than the prior close And the Trend is Short
	{		if (Price[i] >Price_Break[Prior])		//If Close > Price Break in trend is Short, Reverse and go Long
			{
			High_C1[i] = High_C2[i] = High_C3[i] = Price[i];				//Initialize sequence of new Highs
			Price_Break[i] = Price[i];				//Set new value for Price Break
			Trend[i] = 1;							//Set the trend Long
			Sequence = 0;
			}
	}		

	if (Price[i] <Price[Prior] AND Trend[Prior] ==0)	// If The Close is less than the prior close And the Trend is Short
	{		if (Price[i] <Low_C1[Prior])			//If the Close is less than the last lowest close
			{
			Price_Break[i] = IIf(PB_Interval == 3,Low_C3[Prior],IIf(PB_Interval == 2,Low_C2[Prior],Low_C3[Prior]));	//Test For Price Break
			Sequence[i] = Sequence[i] + 1;		//Increment Sequence if Price Break
			Low_C3[i] = Low_C2[Prior];			//Update sequence of new Lows
			Low_C2[i] = Low_C1[Prior];
			Low_C1[i] = Price [i];
			}
	}		

	if (Price[i] <Price[Prior] AND Trend[Prior] ==1)	// If The Close is less than the prior close And the Trend is Long
	{		if (Price[i] < Price_Break[Prior])				//If Close < Price Break in Long Trend, reverse and go Short
			{
			Low_C1[i] = Low_C2[i] = Low_C3[i] = Price[i];	//Initialize sequence of new Lows
			Price_Break[i] = Price[i];							//Set new value for Price Break
			Trend[i] = 0;								//Set Trend Short
			Sequence = 0;
			}
	}		

////  Plot the Price Breaks.
Bar_x1=BarCount - (nBars_To_Scan - Prior );
Bar_x2=BarCount - ( nBars_To_Scan - i);
PB_Color = IIf(Trend[i] == 1,colorGreen, colorRed);
Plot(LineArray(Bar_x1,Price_Break[i],Bar_x2,Price_Break[i],extend=0),"",PB_Color,styleThick);
Sequence_Text = NumToStr(Sequence,format=1.0);
Trend_Text = WriteIf(Trend[i] > 0, "Long","Short");

}												//Close the For Loop

}												//Close the first test for sufficient bars to do the study

Author/Source: Bhcombo

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