DV Technical Patterns (v2) Indicator #

The Technical Patterns (v2) Indicator gives users the ability to custom label 15 different popular technical patterns on their stock charts. Settings can be accessed by double clicking on the indicator, or its associated ‘settings’ icon.

Power Trend #

A Power Trend starts when the following four things occur simultaneously on one of the major indexes.

1. The low has been above its 21-EMA for at least 10 days.
2. The 21-EMA has been above the 50-SMA for at least 5 days.
3. The 50-SMA is in an uptrend.
4. The market closed up for the day.

A Power Trend ends when:

• 21-day EMA crosses below the 50-day SMA.
• Price closes 10% below the recent high and below the 50-day SMA.
• Circuit Breaker
• Follow-through day failure

Ants #

The Ants Indicator was created by US Investing Champion David Ryan during his tenure as a portfolio manager at William O’Neil + Co. It detects significant movements in price and volume within a three-week window. The indicator helps identify institutional buying and accumulation.

‘Ants‘ will appear on a stock’s chart only after the following three conditions are met:

1. ‎ ‎‎The stock is up at least 12 of the past 15 days.
2. ‎ The volume has increased over the past 15 days by 20% to 25%.
3. ‎ The price is up at least 20% over the past 15 days.

Oops Reversal #

In 1979, Larry Williams introduced the Oops Reversal trading method, which exploits market gaps that occur at the opening due to overnight reactions to news. Named for the common broker phrase “Oops, we lost,” this strategy involves trading against the initial gap direction.

The Oops Reversal is triggered when the opening gap down is being bought up and passes the prior day’s low. This indicates traders realize an overreaction to the news, prompting a price reversal opposite to the gap.

Kicker Candle #

The kicker formation is a trading pattern that begins with a candle following the main trend, then sharply reverses with a gap in the opposite direction. This indicates a significant shift in investor sentiment, often triggered by the release of important company news.

Upside Reversal #

Upside reversals suggest that buyers are beginning to dominate sellers, which may lead to an increase in price. Upside reversals can be indicated by various candlestick patterns, such as the Hammer Candlestick Pattern & the Bullish Engulfing Pattern.

Bullish/Bearish Outside Day #

A “Bullish Outside Day” signals a possible shift from bearish to bullish sentiment. This two-day pattern involves:

• Day 1: The candlestick remains within the range of the next day’s trading. It can be bullish or bearish, but its relationship to Day 2’s candle is key.
• Day 2: This day’s candlestick records a higher high and a lower low than Day 1’s, completely “engulfing” it. It closes on a bullish note, with the closing price significantly higher than the opening, indicating strong buyer activity.

A “Bearish Outside Day” is the same engulfing pattern but to the downside. Day 2’s candlestick will completely engulf the prior day’s candlestick, however, it closes on a bearish note, with the closing price significantly lower than the opening, signaling strong selling pressure.

3 Weeks Tight #

The 3 Weeks Tight pattern is a bullish continuation pattern identified by William O’Neil. This pattern presents an opportunity to add to an existing stock position, or get in if you missed the breakout of the initial base such as a cup with handle.

It occurs when a stock’s closing price remains within about 1% to 1.5% of the previous week’s close for at least two consecutive weeks. This stability suggests that investors, who initially drove the price up during the breakout, are holding onto their shares instead of cashing in on profits, thereby maintaining a steady price.

Slingshot Pattern #

The Slingshot setup, developed by Scot1and, is a strategy designed to capitalize on entering powerful stocks immediately after a pullback. This setup is characterized by the price crossing above the high of the 5-day Exponential Moving Average (EMA) from the period under analysis. However, there are additional conditions necessary to optimize the entry:

1. Pullback: Look for a significant pullback in a stock that is generally strong and trending upward. This indicates a temporary dip rather than a long-term decline.
2. Range Break: The stock should break out of its established trading range, signaling a potential resumption of the prior upward trend.
3. Consolidation: Before making an entry, seek a period of consolidation in the stock’s price. This consolidation helps in getting more favorable risk-reward conditions, setting up for a safer entry.