OPEN-SOURCE SCRIPT
Updated Candle Gaps
What This Indicator Does
A Gap As Defined By This Indicator
The Intention Of This Indicator
Inputs
Both inputs are for aesthetic preferences.
A maximum of 50 Gaps will be drawn on the chart at one time.
This indicator is not guaranteed to be 100% accurate.
- This indicator shows you where the 'Gaps' are in the market ( as defined by this indicator ). The indicator draws a box that extends indefinitely to the right, this is the 'Gap'. This box will be 'Filled In' when price comes back and overlaps the box.
A Gap As Defined By This Indicator
- A candle creates a 'Gap' in the area where there is no price action in front of, or behind ( up to 1 candle ) that area.
- A 'Up Gap' is created when the close of a candle is above the high of the previous candle.
- A 'Down Gap' is created when the close of a candle is below the low of the previous candle.
- Both types of Gaps are coloured with the same colour.
- Gaps are 'filled in' and disappear when price action crosses over them.
- This indicator does not show gaps where there are no candlesticks.
The Intention Of This Indicator
- The intention of this indicator is to make it possible to instantly identify Gaps in the market.
- Gaps can be used as a confluence for a variety of different strategies.
Inputs
- Gap Colour ( This changes the colour of the Gaps )
- Draw Gaps From Wicks ( This changes whether the Gap begins to be drawn from the previous candles high/low, or from the candle the Gap occurs on )
Both inputs are for aesthetic preferences.
A maximum of 50 Gaps will be drawn on the chart at one time.
This indicator is not guaranteed to be 100% accurate.
Release Notes
Refactoring Update- Added detailed comments to each line of code
- Changed study name from "Standard Gaps" to "Candle Gaps"
- Changed input variable from "draw_Gaps_To_Wick" to "draw_Gap_From_Wick"
- Added functions for Drawing Gaps and Filling Gaps
- Removed gap_Low and gap_High variables and moved the value directly into the if statement
Release Notes
Graphics Update- Added separate color inputs for bullish gaps and bearish gaps.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.