Logic Trendline

1. What is Logic Trendline?

The Logic Trendline Indicator is a tool for TradingView that automatically draws trendlines on financial charts. These trendlines are generated based on an algorithm designed to identify lines that are likely to be respected by market prices. The idea is that these trendlines can indicate significant market movements, especially when prices break through them, suggesting potential trading opportunities. This tool aims to reduce subjectivity and confusion in drawing trendlines by automating the process.

Logic Trendline Indicator will draw a trendline for you that prices will respect:

Logic Trendline Indicator will also give you an instant alert should the trendline breaks and presents a reversal trading opportunity:

2. Indicator settings:

Strength: evaluates the significance of a trendline. This is usually determined by factors like the number of times the trendline has been tested or touched by price, its duration, and the sharpness of its angle. A higher strength value implies that a trendline is more significant and might act as a stronger level of support or resistance in the market, hence fewer trendlines will be drawn.

Trendline count: the number of trendlines that the indicator identifies and displays on a chart at any given time. 

Bar distance between trendlines:  the number of bars/candles that separate two adjacent trendlines.

Various Color settings: customize these colors to differentiate between up trend/down trend texts, and arrows.

Max back bars: the maximum count of past candlesticks considered by the indicator for its analysis.

3. Alert set-up:

To stay updated on potential trading opportunities, you can set up alerts within the Logic Trendline indicator.

Step 1: From the indicator settings, customize your alerts by defining your desired parameters for buy and sell signals. The selected configurations will be used for notifications in Step 2.

Step 2: To receive notifications through the app, pop-ups, alert emails, Webhook URL, sound alerts, or email-to-SMS, enable these features by clicking on TradingView's Alert icon.

Step 3: Select Logic Trendline from the” Condition” dropdown list.

Step 4: A pop-up will appear as follows. Click on“Notification”.

Step 5: Choose the types of notifications you'd like to receive, and click the “Create” button.