Swing Shift

Swing Shift

Description

The Swing Shift is a NinjaTrader 8 reversal indicator that identifies significant trend shifts by analyzing market swings before detecting potential shifts. It requires a swing, defined using the Donchian Channel indicator, to occur before signaling a trend reversal. This indicator is particularly effective in pinpointing optimal entry and exit points by recognizing changes in market direction.

Traders have the flexibility to use the indicator's swing detection combined with the shift or focus solely on the shift component. This makes it ideal for integration with other indicators to create filtered signals, enhancing the precision of reversal strategies. The Swing Shift offers robust customization options, allowing it to adapt to various market conditions and trading styles.

Key Features

  • Swing and Impulse Tracking: Monitors swings and impulses in market price, providing insights into potential trend reversals.
  • Flexible Setup Types: Allows configuration using Donchian Channels or bar close setups to detect impulses and pullbacks.
  • Detailed Pullback Analysis: Tracks pullback conditions to refine the timing of entry signals, ensuring that traders capitalize on optimal conditions.
  • Fair Value Gaps (FVGs) Integration: Utilizes FVGs to confirm signal validity, adding an extra layer of precision to signal generation.
  • Entry and Exit Level Indications: Visually marks entry and exit levels on the chart, helping traders to easily interpret signals.

Tips for Implementation

  • Strategic Confirmation: Pair the Swing Shift indicator with key support and resistance levels to validate its signals before making trading decisions.
  • Volatility Assessment: Combine this indicator with volatility measures like Bollinger Bands to ensure its signals align with market conditions suitable for swing trading.
  • Parameter Customization: Adjust parameters such as the Donchian Channel period and pullback criteria to align the indicator’s signals with your trading strategy's time horizon.
  • Complementary Indicators: Use in conjunction with other indicators, such as the RSI or moving averages, to corroborate signals and improve decision-making accuracy.
  • Backtesting Necessity: Thoroughly backtest the indicator across various market conditions to fine-tune settings and ensure reliable performance within your trading system.

Parameters

DC Period

  • Type: int
  • Description: Defines the period for the Donchian Channel used to identify impulse signals.
  • Default Value: 5
  • Valid Values: 1 to any positive integer

Setup Type

  • Type: enum (DonchianChannel, BarClose)
  • Description: Determines the method used to detect setup conditions—either based on the Donchian Channel or the bar close.
  • Default Value: DonchianChannel

Pullback Close Mode

  • Type: bool
  • Description: When enabled, a pullback is confirmed if the bar closes lower/higher than the previous bar, offering a conservative entry criterion.
  • Default Value: false

Min Impulse Bars

  • Type: int
  • Description: Minimum number of bars required to form an impulse before a pullback can be considered.
  • Default Value: 1
  • Valid Values: 1 to any positive integer

Max Impulse Bars

  • Type: int
  • Description: Maximum number of bars allowed for an impulse phase.
  • Default Value: 10
  • Valid Values: 1 to any positive integer

Min FVGs

  • Type: int
  • Description: Minimum Fair Value Gaps required in the prior swing to validate a potential shift signal.
  • Default Value: 0
  • Valid Values: 0 to any positive integer

Min Pullback Bars

  • Type: int
  • Description: Minimum number of bars required to form a pullback after an impulse.
  • Default Value: 1
  • Valid Values: 1 to any positive integer

Max Pullback Bars

  • Type: int
  • Description: Maximum number of bars allowed for a pullback.
  • Default Value: 4
  • Valid Values: 1 to any positive integer

Min Pullback Percentage

  • Type: int
  • Description: Minimum percentage of the impulse range that must be retraced during a pullback.
  • Default Value: 40
  • Valid Values: 0 to 100

Impulse Extremes Break

  • Type: bool
  • Description: When enabled, the pullback must break the extreme level of the impulse bar to be considered valid.
  • Default Value: false

Enable Swing Before

  • Type: bool
  • Description: Activates the requirement that a prior swing must exist before a signal is valid.
  • Default Value: false

Swing DC Period

  • Type: int
  • Description: Defines the Donchian Channel period used to identify swings.
  • Default Value: 10
  • Valid Values: 1 to any positive integer

Swing Min Bars

  • Type: int
  • Description: Minimum number of bars required for a swing to be considered valid.
  • Default Value: 1
  • Valid Values: 1 to any positive integer

Swing Max Bars

  • Type: int
  • Description: Maximum number of bars allowed for a swing.
  • Default Value: 20
  • Valid Values: 1 to any positive integer

Min New Extremes

  • Type: int
  • Description: Minimum number of bars that create a new swing extreme.
  • Default Value: 4
  • Valid Values: 1 to any positive integer

Swing Min FVGs

  • Type: int
  • Description: Minimum Fair Value Gaps required within a swing to validate a signal.
  • Default Value: 0
  • Valid Values: 0 to any positive integer

Setup Within Min Percentage

  • Type: int
  • Description: Percentage range within which the setup must occur relative to the swing extreme.
  • Default Value: 30
  • Valid Values: 1 to 100

Setup Within Max Percentage

  • Type: int
  • Description: Maximum percentage distance from the swing extreme where the setup is considered valid.
  • Default Value: 50
  • Valid Values: 1 to 100

Entry Beyond Poc

  • Type: bool
  • Description: When enabled, the entry bar must close beyond the Point of Control (PoC) level.
  • Default Value: false

Entry Bar Touches Poc

  • Type: bool
  • Description: When enabled, the entry bar must touch the Point of Control (PoC) level.
  • Default Value: false
When using the parameters Entry Beyond Poc or Entry Bar Touches Poc, Tick Replay must be enabled.

Plot Offset

  • Type: int
  • Description: Adjusts the distance between the plotted signal and the bar's high or low, measured in ticks.
  • Default Value: 5
  • Valid Values: 1 to any positive integer

Plots

IndicatorSignalUp

  • Type: Plot
  • Style: Triangle Up
  • Color: Green
  • Description: Marks the point of an upward signal, typically at the low of the bar plus an offset.

SignalUpUpperLevel

  • Type: Plot
  • Style: Hash
  • Color: Green
  • Description: Indicates the upper boundary of the valid signal range for a bullish signal.

SignalUpLowerLevel

  • Type: Plot
  • Style: Hash
  • Color: Green
  • Description: Indicates the lower boundary of the valid signal range for a bullish signal.

IndicatorSignalDown

  • Type: Plot
  • Style: Triangle Down
  • Color: Red
  • Description: Marks the point of a downward signal, typically at the high of the bar minus an offset.

SignalDownUpperLevel

  • Type: Plot
  • Style: Hash
  • Color: Red
  • Description: Indicates the upper boundary of the valid signal range for a bearish signal.

SignalDownLowerLevel

  • Type: Plot
  • Style: Hash
  • Color: Red
  • Description: Indicates the lower boundary of the valid signal range for a bearish signal.