Drat’s testing of LuxAlgo TradeView indicators:

-What: Lux Algo is a provider of trading tools that you can use with the charts on the TradingView
website to create your own strategies.

It also has a set of indicators that you can use to identify profitable trading opportunities and figure out
proper entry points.

Lux Algo Indicator is a new breakthrough technical-indicators based charting and trading platform

-Who: With a pioneering approach to creating all-in-one indicator toolkits on TradingView,

Sean Mack & Alexander Friend co-founded Lux Algo in April of 2020 which quickly received attention
from traders & investors around the world.

Are you thinking about using the Lux Algo Indicator? and is it true that it can help traders,

whether beginner or advanced, make more consistent profits from trading through its thousands of
automated trading signals?

Drat is here and tested that theory for you.

That being said, I have a list of indicators (novice to advance level) that I personally took the time to test
and here are my favorite ones.

All this information is a short version of what you can find here https://docs.luxalgo.com/getting-
started/what-is-lux-algo/

The package is costly and I have came to realization that just using a few of those indicators mixed with
a box strategy can be very useful to anyone, Beginner and experienced. Removing Emotional Trading.

It helped me grow from 220$ to up 800$ in a month. With ZERO EXPERIENCE, Using only 30% Max Risk
Management per day for my account.
 LUXALGO Novice:

1.Horns Pattern Identifier: (FREE)

Horn patterns are chart patterns introduced by Bulkowski in his book "Encyclopedia of Chart Patterns".

The script allows the user to quickly determine the presence of a regular or inverted horn pattern,
alongside automatically displaying the confirmation level and take profits associated with a detected
pattern.

These are calculated based on the rules described by Bulkowski. (Google him)

-The following script detects regular and inverted horn patterns.

Detected patterns are displayed alongside their respective confirmation and take profit levels derived
from the pattern measure rule.

Breakout of the confirmation levels are highlighted with labels.

-This script is a continuation of the educational idea regarding horns patterns.

-Controls the maximum allowed slope of the line connecting two horns, with higher values allowing a
higher slope. Once the price crosses this level a label will appear, either bullish(green) or bearish(red)
depending on the detected pattern.
 2.DonChian Zig-Zag: (FREE)

.The following indicator returns a line bouncing of the extremities of a Donchian channel, with the aim
of replicating a "zig-zag" indicator.

.The indicator can both be lagging or lagging depending on the settings user uses.

.The Zig Zag Indicator can be used to filter out relatively small price movements.

.You can preset the deviation as a percentage in order to discard smaller moves.

.The indicator only draws a line if a relative price move is bigger than the set deviation, thus clarifying
the chart by removing market noise and ignoring sideways moves.

.It does not generate automatic signals. Traders can use it by itself to visualize the current trend,
Support and Resistance and price patterns.

.Please note that every up leg is always followed by a down leg and vice versa.

.The Zig Zag indicator is similar to a moving average: both signal a trend change when the indicator
changes direction.

.Whether used alone or in combination with other techniques, the Zig Zag indicator is a useful tool in a
technical trader's toolbox.
 3.The trend regularity adaptive moving average (TRAMA): (FREE)

.The following moving average adapts to the average number of highest high/lowest low made over a
specific period, thus adapting to trend strength.

.Interesting results can be obtained when using the moving average in a MA crossover system or as a
trailing support/resistance.

.The trend regularity adaptive moving average (TRAMA) can be used like most moving averages, with
the advantage of being smoother during ranging markets.

.The moving average is calculated using exponential averaging.

.Using as smoothing factor the squared simple moving average of the number of highest high/lowest
low previously made.

.Highest high/lowest low are calculated using rolling maximums/minimums.

.Using higher values of length will return fewer highest high/lowest low which explains why the moving
average is smoother for higher length values.

.Squaring allows the moving average to penalize lower values, thus appearing more stationary during
ranging markets.

.It also allows to have some consistency regarding the length setting.
 Advance:

1.Nadaraya-Watson Envelope\Estimator: (FREE)

.This indicator builds upon the previously posted Nadaraya-Watson Estimator.

.This indicator based on kernel smoothing with integrated alerts from crosses between the price and
envelope extremities.

.This tool outlines extremes made by the prices within the selected window size.

.This is achieved by estimating the underlying trend in the price using kernel smoothing.

.Calculating the mean absolute deviations from it, and adding/subtracting it from the estimated
underlying trend.

.We can expect the price to reverse when crossing one of the envelope extremities.

.Crosses between the price and the envelopes extremities are indicated with triangles (default Green-
Bullish\Red-Bearish) on the chart.

.For real-time applications, triangles are always displayed when a cross occurs and remain displayed
at the location it first appeared.

.Even if the cross is no longer visible after a recalculation of the envelope.

.Does have integrated alerts for this indicator from the crosses between the price and the envelope
extremities.

.However, they do not recommend this tool to be used alone or solely for real time applications.

.LUXALGO does not have data supporting the performance of this tool just yet, over more classical
bands/ envelope /channels indicators.
 2.Pivot Based Trailing Maxima & Minima: (FREE)

.This indicator returns trailing maximums/minimums and their average resetting at the occurrence of a
pivot point high/low.

.Thus allowing the highlighting of past and current support and resistance levels.

.Determines the pivot high/low lookback, with higher values allowing to detect longer term tops and
bottoms.

.This indicator can highlight points of support and resistances.

.These are points where price bounced of the average line.

.These points can eventually be used to draw trendlines or boxes.

.The trailing maximum/minimum and their average extends to the most recent bar, allowing real time
applications of the indicator.

.Additionally, users can easily analyze past trends and determine their type by observing the trailing
maximum/minimum behavior.

.For example, trailing maximums/minimums not making new higher high/lower low would indicate a
ranging market.

.The frequency of new higher high/lower low can also help determine how bullish /bearish a trend was.
 3.RSI Multi Length: (FREE)

.The following indicator aims to return information over RSIs using multiple periods, including the
percentage of RSIs of different periods being overbought/oversold, as well as the average between
these multiple RSIs.

.The percentage of RSIs of different periods being overbought/oversold is additionally used to return
adaptive overbought/oversold levels.

.The main element of the indicator is given by the multi-length RSI average, returning an oscillator
similar to a fixed-length RSI . Because of its multiple length nature, the indicator can reflect shorter to
longer-term price variations depending on the Maximum/Minimum length range defined by the user.

.The green area indicates the percentage of RSIs over the user-defined overbought level. The red area
indicates the percentage of RSIs under the user-defined oversold level, this percentage is inverted for
ease of visualization. Additionally, a dashboard at the top right of the indicator pane indicates these
percentages for the most recent bar.

4.Trend Volume Accumulation: TVA (FREE)

Deeply inspired by the Weiss wave indicator, the following indicator aims to return the accumulations of
rising and declining volume of a specific trend. Positive waves are constructed using rising volume while
negative waves are using declining volume.

The trend volume accumulations (TVA) indicator allows determining the current price trend while taking
into account volume , with blue colors representing an uptrend and red colors representing a
downtrend.

The first motivation behind this indicator was to see if movements mostly made of
declining volume were different from ones made of rising volume .

Waves of low amplitude represent movements with low trading activity.

Using higher values of Linearity allows giving less importance to individual volumes values, thus
returning more linear waves as a result.

The indicator includes two levels, the upper one is derived from the cumulative mean of the waves
based on rising volume , while the lower one is based on the cumulative mean of the waves based on
declining volume , when a wave reaches a level we can expect the current trend to reverse. You can use
differrent values of mult to control the distance from 0 of each level.

5.Rainbow Adaptive RSI: Lux (FREE)

The following oscillator uses an adaptive moving average as an input for another RSI oscillator and aims
to provide a way to minimize the impact of retracements over the oscillator output without introducing
significant lag.

An additional trigger line is present in order to provide entry points from the crosses between the
oscillator and the trigger line.

The indicator can be used like any normalized oscillator, but unlike a classical RSI , it does not converge
toward 50 with higher length values. This is caused by the RSI using a smooth input.

The trigger line is a smoothed RSI using an EMA as input, and it won't remain as near to 100 and 0 as the
main oscillator. Using a moving average of the main oscillator as a trigger line would create faster
crosses, but this approach allows us to have no crosses when a retracement is present.

As previously discussed the main oscillator uses an adaptive moving average as input; this adaptive
moving average is computed using a smoothing factor derived from an RSI oscillator, a similar adaptive
moving average known as ARSI, but unlike ARSI which uses a classical RSI of the closing price for the
calculation of the smoothing factor, our smoothing factor makes use of RSI on the adaptive moving
average error, which provides a higher level of adaptiveness.
 Bill Williams 3 lines With RSI Multi Length and Horns Pattern Identifier.

What Is the Williams Alligator Indicator and How Do You Trade It?
Legendary trader Bill Williams, an early pioneer of market psychology, developed the
trend-following Alligator indicator, which follows the premise that financial markets and
individual securities trend just 15% to 30% of the time while grinding
through sideways ranges the other 70% to 85% of the time. Williams believed that
individuals and institutions tend to collect most of their profits during strongly trending
periods.
KEY TAKEAWAYS

 The Williams Alligator indicator is a technical analysis tool that uses smoothed
moving averages.
 The indicator uses a smoothed average calculated with a simple moving
average (SMA) to start.
 It uses three moving averages, set at five, eight, and 13 periods. The three
moving averages comprise the Jaw, Teeth, and Lips of the Alligator. The
indicator applies convergence-divergence relationships to build trading signals,
with the Jaw making the slowest turns and the Lips making the fastest turns.
The Alligator indicator uses three smoothed moving averages, set at five, eight, and 13
periods, which are all Fibonacci numbers. The initial smoothed average is calculated
with a simple moving average (SMA), adding additional smoothed averages that slow
down indicator turns.

Calculation of the Alligator Indicator

Simple moving average (SMA):

1. SUM1 = SUM (CLOSE, N)

2. SMMA1 = SUM1/N
3. Subsequent values are:
4. PREVSUM = SMMA(i-1) *N
5. SMMA(i) = (PREVSUM-SMMA(i-1)+CLOSE(i))/N

Where:

 SUM1 - the sum of closing prices for N periods;

 PREVSUM - smoothed sum of the previous bar;
 SMMA1 - smoothed moving average of the first bar;
 SMMA(i) - smoothed moving average of the current bar (except for the first one);
 CLOSE(i) - current closing price;
 N - the smoothing period.

 The indicator applies convergence-divergence relationships to build trading

signals, with the Jaw making the slowest turns and the Lips making the fastest
turns. The Lips crossing down through the other lines signals a short
sale opportunity while crossing upward signals a buying opportunity. Williams
refers to the downward cross as the alligator "sleeping" and the upward cross as
the alligator "awakening.”

 The three lines stretched apart and moving higher or lower denote trending
periods in which long or short positions should be maintained and managed.
This is referred to as the alligator "eating with mouth wide open." Indicator lines
converging into narrow bands and shifting toward a horizontal direction denote
periods in which the trend may be coming to an end, signaling the need
for profit-taking and position realignment. This indicates the alligator is "sated."

The indicator will flash false positives when the three lines are crisscrossing each other
repeatedly, due to choppy market conditions. According to Williams, the alligator is
"sleeping" at this time. Remains on the sidelines until it wakes up again.2 This exposes
a significant drawback of the indicator because many awakening signals within
large ranges will fail, triggering whipsaws.
Send your feedback to Drat on discord.

Each indicator was tested with profit on exit, rate of 87% over a period of 5 trading days.

https://www.instagram.com/reel/Cg-ArqslZaB/?igshid=NDRkN2NkYzU=
https://www.instagram.com/reel/ChWjE54lmIb/?igshid=NDRkN2NkYzU=
https://www.instagram.com/reel/CgtXD34FXpH/?igshid=NDRkN2NkYzU=

Don’t forget to check out Lux Algo | Advanced Stock, Crypto & Forex Tools and its Guide
https://docs.luxalgo.com/getting-started/what-is-lux-algo/

What Is the Williams Alligator Indicator and How Do You Trade It? (investopedia.com)