Support and Resistance Finder
Overview
The Support and Resistance Finder displays support and resistance zones on the chart. It is an accepted concept in Technical Analysis that changes in trend (highs and lows) form zones of support and resistance. It is also accepted that former zones of resistance can also become zones of support, and vice versa.
This tool will search the chart for price zones (within a user-defined tolerance level) where a minimum number of trend changes have occurred. It will then highlight those zones, so zones of possible future support and resistance are highlighted. How many zones are displayed for support and resistance is also configurable.
It is important to remember that these zones are calculated from the last closing price on the chart. Support zones will show beneath the last closing price and resistance zones will show above the last closing price.
The user can determine the turning points based on Gann Swings, Percent Swings, Pivot Labels, or Volatility Swings.
To add the tool to your chart, select the tool from the Levels tool group, and left-click on the chart or indicator on which you wish to add the tool. Optuma will then draw the tool using the default settings.
Scripting Function: SRF()
Actions & Properties
Actions
Copy Data to Clipboard: Will copy the tool’s values to the clipboard which can then be inserted into a spreadsheet, for example, allowing for further analysis.
Add to Toolbar: Adds the selected tool to your custom toolbar.
Apply Settings to All: When multiple tools have been applied to a chart, page or workbook, this action can be used to apply the settings of the one selected to other instances of the tool. This is a great time saver if an adjustment is made to the tool - such as line colour - as this allows all the other tools in the chart, page or entire workbook to be updated instantly.
Copy Tool: Allows you to copy the selected tool, which can then be pasted onto a different chart window.
Move to Back: If the tool is displaying in front of other tools or indicators clicking this action will move the tool view to the background.
Move to Front: If the tool is displaying behind other tools or indicators on the chart, clicking this action will bring the tool to the forefront.
Restore Default Settings: Click this action if you have adjusted the default settings of the tool, and wish to return to the standard properties originally installed with Optuma.
Save Settings as Default: If you have adjusted any of the tool’s properties (colour, for example) you can save the adjustments as your new default setting. Each time you apply a new tool to a chart, the tool will display using the new settings.
Delete: Deletes the tool from the chart.
Properties
Tool Name: Allows you to adjust the name of the tool, as it’s displayed in the Structure Panel.
Levels to Display: Allows you to display the number of levels to display, with one level being the closest, 2 being the next zone, etc.
Calculation Style: The turning points used to calculate the levels can be based on Gann Swings, Percentage Swings, Pivot Labels, or Volatility Swings.
Swing Properties: Set the rules for the swings, eg 3 Bar Gann Swing, 5% Percentage Swings, or 10 bar pivots.
Look Back Type: Use to set how far back you wish to look for the levels, eg Years, Months, or Bars.
Look Back Amount: Set the numerical value of the Look Back Type, eg 2 Years, 6 Months, 200 Bars.
Touches Required: How many times do the turning points have to occur at the same level to be shown? Three touches would be more significant than two.
Tolerance (%): The turning points will never occur at the same price, but if they are within a tolerance (eg 5%) then they are treated the same.
Support Level Style: Change the colour and transparency of the support levels.
Resistance Level Style: Change the colour and transparency of the resistance levels.
Tool Transparency: Moving the slider to the left will increase the transparency of the tool.
Offset: This provides the option to offset the Average True Range from the chart, to adjust the offset value use the blue up and down arrows.
Tool Transparency: Use this slider bar to adjust the transparency of the tool. Moving the slider to the left will increase the transparency of the tool.
Visible: Un-tick this checkbox to hide the tool from the chart.
Show In Price Scale:** When selected the level values will be displayed in the Price Scale.