Pattern Detection
The Pattern Detection SR method indicator is able to detect specific patterns such as:
- Ascending/Descending Wedges (Asc/Desc Wedge)
- Ascending/Descending Broadening Wedges (Asc/Desc BW)
- Ascending/Descending/Symmetrical Triangles (Asc/Desc/Sym Triangle)
- Double Tops/Bottoms (Double Top/Double BTM)
- Head & Shoulders (H&S)
- Inverted Head & Shoulders (IH&S)
as well as providing supports and resistances.
When a pattern is detected, it will be displayed on the dashboard located at the bottom-right. Solid lines will highlight the patterns. When no patterns are detected, dashed lines will be displayed that can be used as support and resistance.
Users can be alerted on the formation of a new pattern by creating an alert, selecting the "Lux SR & Patterns Premium" on the first drop-down menu and using any alert() function call as condition.
info
Note that the pattern detection algorithm depends on the current SR significance selected, higher SR significances aim to return longer-term pattern structures.
caution
Note that the pattern detection algorithm is not perfect and that false positives and false negatives can occur.