SeparatingLines

Description

The Separating Lines pattern is a two-candlestick pattern in which the candlesticks share the same open.  To identify whether this pattern is bullish or bearish, trend identification is required.

The Separating Lines patter is a gap to the previous bar's open. This gap negates the previous day's trend defiance.

Formula

SeparatingLines(INPUT, LRRange=10, LRType=3)=begin

  retval = NONUM

  targetBar = 0

  cOpen = GetPrice($1, BATE_OPEN, targetBar, 0)

  cClose = GetPrice($1, BATE_CLOSE, targetBar, 0)

  cHigh = GetPrice($1, BATE_HIGH, targetBar, 0)

  cLow = GetPrice($1, BATE_LOW, targetBar, 0)

  pOpen = GetPrice($1, BATE_OPEN, (targetBar + 1), 0)

  pClose = GetPrice($1, BATE_CLOSE, (targetBar + 1), 0)

  pHigh = GetPrice($1, BATE_HIGH, (targetBar + 1), 0)

  pLow = GetPrice($1, BATE_LOW, (targetBar + 1), 0)

  cQtr = RealBodyCloseQuarter($1, (targetBar + 1))

  if Bullish($1, targetBar, LRRange, LRType) then begin

    if WhiteBody($1, targetBar) AND BlackBody($1, (targetBar + 1)) then begin

      if cOpen == pOpen then begin

        retval = 'SEP'|clr_green|vertical|below|ftiny

      end

      if cOpen > cQtr AND cOpen < pOpen then begin

        retval = '2'|clr_green|vertical|below|ftiny|arrow

      end

    end

  end

  if Bearish($1, targetBar, LRRange, LRType) then begin

    if BlackBody($1, targetBar) AND WhiteBody($1, (targetBar + 1)) then begin

      if cOpen == pOpen then begin

        retval = 'Separating'|clr_black|arrow|vertical|above|ftiny

      end

      if cOpen > pOpen AND cOpen < cQtr then begin

        retval = '2'|clr_red|vertical|above|ftiny|arrow

      end

    end

  end

  retval

end

Parameters

INPUT

The INPUT directive makes this formula available as a Formula Overlay. INPUT refers to the instrument in the chart.

LRRange

The Tasuki Gap overlay uses the LR() function with either a continuous or quadratic calculation to determine how the market is trending. The LRRange (Linear Regression Range) parameter is the number of points in the Linear Regression calculation. The default is 10.

LRType

The LRType parameter has two possible settings: 2 and 3, or continuous linear regression and quadratic linear regression, respectively. The default is 3, or quadratic.

Return Value

The return value is a string plot and varies depending on the value of the Stringency parameter.  The lower the number, the stronger the pattern.

Bearish indicators are rendered in red above the candlestick. Bullish indicators are rendered in green below the candlestick.

The string plot for a fully qualified Separating Lines pattern is "Separating Lines" rendered in black above (bearish) or below (bullish) the candlestick.

Examples

Comments

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