STARC Bands Reversal Script

The download and this preview resolve to the same reviewed file. SHA-256: 8acb4ab3d54351b5658156db1eb36bbcba346269d9858c3589c909e976391289

-- SPDX-License-Identifier: MIT
-- IQOptionWiki QCS Library
-- IQOW STARC Bands Reversal v1.0.0
--
-- STARC Bands (Stoller Average Range Channel) are a simple moving average
-- with bands a multiple of ATR above and below it. A close outside a band
-- shows price stretched; a close back inside with a reversal candle marks
-- the first sign of a return towards the average.
--
-- HIGHER: the previous close was below the lower band, this candle closes
--         back inside the bands and is bullish.
-- LOWER:  the previous close was above the upper band, this candle closes
--         back inside the bands and is bearish.
--
-- 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 STARC Bands Reversal",
    short_name = "IQOW STARC",
    overlay = true
}

input_group {
    "1. STARC Bands",
    ma_period = input (6, "SMA period", input.integer, 2, 100),
    atr_period = input (15, "ATR period", input.integer, 2, 100),
    band_multiplier = input (2, "ATR multiplier", input.double, 0.5, 6, 0.1, false)
}

input_group {
    "Display and advice",
    bands_visible = input { default = true, type = input.plot_visibility },
    middle_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",
    band_color = input { default = "#DBCF0D", type = input.color },
    middle_color = input { default = rgba(219, 207, 13, 0.6), type = input.color },
    band_fill_color = input { default = rgba(219, 207, 13, 0.05), 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 }
}

-- Bands as in the official library: SMA of close +/- multiplier x ATR.
middle_band = sma (close, ma_period)
atr_value = rma (tr, atr_period)
upper_band = middle_band + band_multiplier * atr_value
lower_band = middle_band - band_multiplier * atr_value

local upper_now = get_value (upper_band, nil)
local lower_now = get_value (lower_band, nil)
local upper_previous = get_value (upper_band [1], nil)
local lower_previous = get_value (lower_band [1], nil)
local close_now = get_value (close, nil)
local close_previous = get_value (close [1], nil)
local open_now = get_value (open, nil)

-- The ATR needs its full period of candles before the bands mean anything.
local data_is_ready =
    get_value (close [atr_period], nil) ~= nil and
    upper_now ~= nil and lower_now ~= nil and
    upper_previous ~= nil and lower_previous ~= nil and
    close_now ~= nil and close_previous ~= nil and open_now ~= nil

local closes_inside = data_is_ready and close_now > lower_now and close_now < upper_now

higher_setup = conditional (
    closes_inside and close_previous < lower_previous and close_now > open_now
)

lower_setup = conditional (
    closes_inside and close_previous > upper_previous and close_now < open_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 bands_visible then
    fill (upper_band, lower_band, "STARC area", band_fill_color)
    plot (upper_band, "Upper STARC", band_color, line_width)
    plot (lower_band, "Lower STARC", band_color, line_width)
end

if middle_visible then
    plot (middle_band, "STARC middle", middle_color, line_width)
end

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

    plot_shape (
        confirmed_lower,
        "STARC 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