Inside Bar Breakout Script

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-- SPDX-License-Identifier: MIT
-- IQOptionWiki QCS Library
-- IQOW Inside Bar Breakout v1.0.0
--
-- An inside bar is a candle whose range sits fully inside the previous
-- candle (the "mother bar"). It shows a pause. This script marks the first
-- close beyond the mother bar within a few candles, in the direction of the
-- EMA 50 side, so the breakout agrees with the wider trend.
--
-- HIGHER: within 3 candles after an inside bar, a candle closes above the
--         mother bar's high and the close is above EMA 50.
-- LOWER:  within 3 candles after an inside bar, a candle closes below the
--         mother bar's low and the close is below EMA 50.
--
-- Markers use the previous completed candle: they appear after the next candle
-- opens and are shifted back one bar onto the candle that qualified.
-- Educational chart tool only. It does not place trades, choose an expiry,
-- predict outcomes, or guarantee results. Test on a Practice balance first.

instrument {
    name = "IQOW Inside Bar Breakout",
    short_name = "IQOW INSIDE",
    overlay = true
}

input_group {
    "1. Pattern",
    max_wait_bars = input (3, "Candles allowed for the breakout", input.integer, 1, 10)
}

input_group {
    "2. Trend filter",
    ema_period = input (50, "EMA period", input.integer, 2, 300)
}

input_group {
    "Display and advice",
    ema_visible = input { default = true, type = input.plot_visibility },
    mother_visible = input { default = true, type = input.plot_visibility },
    signals_visible = input { default = true, type = input.plot_visibility },
    advice_enabled = input { default = false, name = "Enable platform advice", type = input.boolean }
}

input_group {
    "Colors",
    ema_color = input { default = "#FFB800", type = input.color },
    mother_color = input { default = rgba(86, 206, 255, 0.8), type = input.color },
    line_width = input { default = 1, type = input.line_width },
    higher_color = input { default = "#25E154", type = input.color },
    lower_color = input { default = "#FF6C58", type = input.color },
    signal_text_color = input { default = "#FFFFFF", type = input.color }
}

ema_value = ema (close, ema_period)

local high_now = get_value (high, nil)
local low_now = get_value (low, nil)
local high_previous = get_value (high [1], nil)
local low_previous = get_value (low [1], nil)
local close_now = get_value (close, nil)
local close_previous = get_value (close [1], nil)
local ema_now = get_value (ema_value, nil)

local data_is_ready =
    high_now ~= nil and
    low_now ~= nil and
    high_previous ~= nil and
    low_previous ~= nil and
    close_previous ~= nil and
    ema_now ~= nil

-- Inside bar: high below and low above the previous candle (the mother bar).
local is_inside_bar = data_is_ready and high_now < high_previous and low_now > low_previous

-- Remember the latest mother bar range and how many candles ago it was set.
mother_high = iff (is_inside_bar, high [1], mother_high [1])
mother_low = iff (is_inside_bar, low [1], mother_low [1])
bars_since_inside = iff (is_inside_bar, 0, nz (bars_since_inside [1]) + 1)

local mother_high_now = get_value (mother_high, nil)
local mother_low_now = get_value (mother_low, nil)
local age = get_value (bars_since_inside, 0)
local inside_is_recent = mother_high_now ~= nil and mother_low_now ~= nil and
    age >= 1 and age <= max_wait_bars

-- Breakout candle: the close is beyond the mother bar for the first time
-- (the previous close was still inside or at the mother bar's edge).
local broke_up = data_is_ready and inside_is_recent and
    close_now > mother_high_now and close_previous <= mother_high_now
local broke_down = data_is_ready and inside_is_recent and
    close_now < mother_low_now and close_previous >= mother_low_now

higher_setup = conditional (broke_up and close_now > ema_now)
lower_setup = conditional (broke_down and close_now < ema_now)

-- Confirm only a new setup on the previous completed candle.
confirmed_higher = conditional (
    get_value (higher_setup [1], false) and
    not get_value (higher_setup [2], false)
)

confirmed_lower = conditional (
    get_value (lower_setup [1], false) and
    not get_value (lower_setup [2], false)
)

if ema_visible then
    plot (ema_value, "EMA", ema_color, line_width)
end

if mother_visible then
    plot (mother_high, "Mother bar high", mother_color, line_width, 0, style.points)
    plot (mother_low, "Mother bar low", mother_color, line_width, 0, style.points)
end

if signals_visible then
    plot_shape (
        confirmed_higher,
        "Inside Bar HIGHER",
        shape_style.triangleup,
        shape_size.small,
        higher_color,
        shape_location.belowbar,
        -1,
        "HIGHER",
        signal_text_color
    )

    plot_shape (
        confirmed_lower,
        "Inside Bar LOWER",
        shape_style.triangledown,
        shape_size.small,
        lower_color,
        shape_location.abovebar,
        -1,
        "LOWER",
        signal_text_color
    )
end

-- QCS advice is a platform notification state only; it does not place trades.
if advice_enabled and
    get_value (confirmed_higher, false) and
    not get_value (confirmed_lower, false) then
    advise (advice.buy)
elseif advice_enabled and
    get_value (confirmed_lower, false) and
    not get_value (confirmed_higher, false) then
    advise (advice.sell)
else
    advise (advice.neutral)
end