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Quad Rotation Stochastic

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Quad Rotation Stochastic

The Quad Rotation Stochastic is a powerful and unique momentum oscillator that combines four different stochastic setups into one tool, providing an incredibly detailed view of market conditions. This multi-timeframe stochastic approach helps traders better anticipate trend continuations, reversals, and momentum shifts with greater precision than traditional single stochastic indicators.

Why this indicator is useful:
  • Multi-layered Momentum Analysis: Instead of relying on one stochastic, this script tracks four independent stochastic readings, smoothing out noise and confirming stronger signals.
  • Advanced Divergence Detection: It automatically identifies bullish and bearish divergences for each stochastic, helping traders spot potential reversals early.
  • Background Color Alerts: When a configurable number (e.g., 3 or 4) of the stochastics agree in direction and position (overbought/oversold), the background colors green (bullish) or red (bearish) to give instant visual cues.
  • ABCD Pattern Recognition: The script recognizes "shield" patterns when Stochastic 4 remains stuck at extreme levels (above 90 or below 10) for a set time, warning of potential trend continuation setups.
  • Super Signal Alerts: If all four stochastics align in extreme conditions and slope in the same direction, the indicator plots a special "Super Signal," offering high-confidence entry opportunities.


Why this indicator is unique:
  • Quad Confirmation Logic: Combining four different stochastics makes this tool much less prone to false signals compared to using a single stochastic.
  • Customizable Divergence Coloring: Traders can choose to have divergence lines automatically match the stochastic color for clear visual association.
  • Adaptive ABCD Shields: Innovative use of bar counting while a stochastic remains extreme acts as a "shield," offering a unique way to filter out minor fake-outs.
  • Flexible Configuration: Each stochastic's sensitivity, divergence settings, and visual styling can be fully customized, allowing traders to adapt it to their own strategy and asset.


Example Usage: Trading Bitcoin with Quad Rotation Stochastic


When trading Bitcoin (BTCUSD), you might set the minimum count (minCount) to 3, meaning three out of four stochastics must be in agreement to trigger a background color.

If the background turns green, and you notice an ABCD Bullish Shield (Green X), you might look for bullish candlestick patterns or moving average crossovers to enter a long trade.

Conversely, if the background turns red and a Super Down Signal appears, it suggests high probability for further downside, giving you strong confirmation to either short BTC or avoid entering new longs.

By combining divergence signals with background colors and the ABCD shields, the Quad Rotation Stochastic provides a layered confirmation system that gives traders greater confidence in their entries and exits — particularly in fast-moving, volatile markets like Bitcoin.
Release Notes
There has been some interesting modifications in this update. Massive thanks to Maff for his excellent coding work.

The script has now been updated from Pinescript Version 5 to Pinescript Version 6.

The divergence line width can now vary based on the amount of divergence. The goal is to see if a "girthier" line which correlates with a stronger likelihood of a big price move (which I think you'd expect) - or at least to indicate *something* e.g. that price and momentum are just seriously out of whack.

The alert notifications for the ABCD Pattern Detection have been modified slightly to include the words 'Green X' and 'Red X' to make things clearer.
Release Notes
Very minor change: changed default background color to opacity=84, rather than 50.
I've also updated the screenshot
Release Notes
# Quad Rotation Stochastic Indicator

## Overview
The Quad Rotation Stochastic Indicator displays four stochastic lines to highlight convergence and divergence patterns, aiding in the identification of potential reversals or trend confirmations. This updated version introduces visual enhancements, including shaded areas and a weighted average line, to improve interpretability and aesthetic appeal.

## Key Features
- 🔹 **Four Stochastic Lines**: Visualizes four stochastic lines to track convergence and divergence.
- 🔹 **Shaded Convergence Zones**: Shading between the fastest stochastic (Stochastic 1) and the weighted average of all four stochastics highlights alignment strength.
- 🔹 **Weighted Average Line**: A new white line representing a weighted average of the four stochastics, emphasizing longer-term trends.
- 🔔 **Enhanced Signals**: Tight convergence in overbought/oversold zones signals potential reversals or confirmations.
- 📊 **Gradient Intensity**: Stronger shading indicates greater divergence between Stochastic 1 and the average.

## How It Works
The indicator plots four stochastic lines, with convergence and divergence as the core principle. The shaded area between the fastest stochastic (Stochastic 1) and the weighted average of all four stochastics visually represents their alignment. Tight convergence in overbought or oversold zones, especially with inward-curving lines, suggests strong reversal or confirmation signals. A new white line, calculated as a simple average of the four stochastic values (weighted toward longer-term stochastics), provides additional context for trend analysis.

## Settings
| Parameter | Default Value | Description |
|----------------------|---------------|------------------------------------------|
| Stochastic 1 Period | 14 | Period for the fastest stochastic |
| Stochastic 2 Period | 21 | Period for the second stochastic |
| Stochastic 3 Period | 28 | Period for the third stochastic |
| Stochastic 4 Period | 35 | Period for the slowest stochastic |
| Weighting Factor | 1.5 | Weighting for longer-term stochastics in average calculation |
| Shading Opacity | 0.3 | Opacity level for convergence shading |

## Best Practices
- Use on higher timeframes (e.g., 1H, 4H) for more reliable signals.
- Focus on tight convergence in overbought/oversold zones for trade entries.
- Combine with price action or support/resistance levels for confirmation.
- Adjust shading opacity to balance visibility and chart clarity.

## What's New
- **Organized Grouping**: Stochastic lines are grouped for a tidier, less cluttered display.
- **Weighted Average Line**: Added a white line representing a simple average of the four stochastics, with heavier weighting on longer-term values.
- **Visual Shading**: Shading between Stochastic 1 and the weighted average enhances readability, with gradient intensity reflecting divergence strength.

## Notes
- The indicator may be less effective in choppy or low-volatility markets.
- Backtest thoroughly before using in live trading.
- Ensure sufficient chart space to avoid visual clutter from multiple lines and shading.
Release Notes
The original version of the Quad Rotation Stochastic Indicator showed 4 separate stochastic lines. The convergence and divergence of these lines is the underlying principle of the indicator. Although it is useful to see each of these lines, in day-to-day use they proved to be confusing and distracting.

This update makes the indicator easier to interpret and more appealing visually. The previous, “classic” view is still available via the settings.

The shading between the stochastic lines visually represents the convergence or divergence between the fastest stochastic (
Pine Script®
Stochastic 1
) and a weighted average of all four stochastics.

  • The shaded area shows how tightly the fast stochastic (Stoch 1) and the average of all stochastics are aligned.
  • Tight convergence in overbought/oversold zones is a strong signal, especially if the lines start to curve inward, suggesting a reversal or confirmation.
  • The gradient intensity encodes disagreement: stronger shading → more divergence.


Here’s what else has changed in this version:

The settings have been organised into groups, to tidy things up and make them clearer

A new “Averages” line (in white). It's a simple average of the 4 stochastic values, but weighted in favour of the longer-term ones

Bullish/bearish divergence lines have been removed entirely. Their usefulness was diminished as they show up several bars after the time when the signal is relevant. Removing them has allowed us to simplify the code and the settings.

Please note there was an Alert based on the divergence, which we’ve also removed. If you still require this functionality, it’s still available in the previous version of the indicator.

Thanks to Maff for providing this update.
Release Notes
Updated screenshot. I also made a mess of the release notes, so here they are for June 16, 2025, please ignore the above notes from this date above:

The original version of the Quad Rotation Stochastic Indicator showed 4 separate stochastic lines. The convergence and divergence of these lines is the underlying principle of the indicator. Although it is useful to see each of these lines, in day-to-day use they proved to be confusing and distracting.

This update makes the indicator easier to interpret and more appealing visually. The previous, “classic” view is still available via the settings.

The shading between the stochastic lines visually represents the convergence or divergence between the fastest stochastic (Stochastic 1) and a weighted average of all four stochastics.

  • The shaded area shows how tightly the fast stochastic (Stoch 1) and the average of all stochastics are aligned.
  • Tight convergence in overbought/oversold zones is a strong signal, especially if the lines start to curve inward, suggesting a reversal or confirmation.
  • The gradient intensity encodes disagreement: stronger shading → more divergence.


Here’s what else has changed in this version:

The settings have been organised into groups, to tidy things up and make them clearer

A new “Averages” line (in white). It's a simple average of the 4 stochastic values, but weighted in favour of the longer-term ones

Bullish/bearish divergence lines have been removed entirely. Their usefulness was diminished as they show up several bars after the time when the signal is relevant. Removing them has allowed us to simplify the code and the settings.

Please note there was an Alert based on the divergence, which we’ve also removed. If you still require this functionality, it’s still available in the previous version of the indicator.

Thanks to Maff for providing this update.

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.