Category: Advanced Indicator Set 2
Input parameters
Name
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Setting
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Default
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Condition 1
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Condition 1 time series
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Close
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…
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…
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…
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Condition N
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Condition N time series
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Close
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where N=2..5.
Calculations
FlagN (N=2,3,4,5) indicators give a momentary signal when all N conditions happen to be true (have non-zero values) in a timely sequence. Firstly, Condition 1 must turn true, after that Condition 2 must turn true, after that Condition 3, and so on. The FlagN indicator output is equal to 1 on the bar where Condition N in that sequence turns true. FlagN indicators reset themselves automatically on the next bar. The output is reset to zero and the system begins to check out conditions again starting with Condition 1.
The FlagN indicators may be helpful when building a trading strategy where buy/sell signals are based on a sequence of events. For example, a buy should occur if first RSI drops down below 50 and then RSI rises above 75. In this hypothetical example the Flag2 indicator is used with Condition 1 set to RSI<50, and Condition 2 set to RSI>75.
See also FlagNR and FlagNToggleWithReset indicators.
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