Concentric Circles are used to draw circles that are probable values of support and resistance. Like the single Circle tool, the Concentric Circles tool uses the chart's time/price ratio in its calculation.
The circles are calculated by specifying a starting point in the market, and then moving the cursor to the right until the base circle is the desired size. The other circles are then calculated as a percentage of the original circle (which can be set to custom levels).
In this example, the initial (green) circle was drawn 16 bars wide, using a time/price ratio of 7.1049 and repeated at 100%, 200% etc.
To add the Concentric Circles to a chart:
1. Select the Concentric Circles tool from the Levels tool group. The mouse pointer will change into a pencil.
2. Left-click on a point where you wish to start drawing the Concentric circles.
3. Move your mouse pointer to the second desired point and left-click to place the Concentric circles on the chart.
4. Change the tool's Price Unit property to match the time/price ratio value in the bottom right corner of the screen.
Actions & Properties
Add New Level: Allows you to add a new level or edit existing levels in the tool.
Add to Toolbar: Click this action to add the selected custom Concentric Circles tool to your custom toolbar.
Apply Settings to All: When multiple Concentric Circles 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 a change in colour - as this allows all the other Concentric Circles tools in the chart, page or entire workbook to be updated instantly.
Copy Tool: Allows you to copy the selected Concentric Circles, 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 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 Concentric Circles, and wish to return to the standard properties originally installed with Optuma.
Save Settings as Default: If you have adjusted any of the Concentric Circles properties (colour, for example) you can save the adjustments as your new default setting. Each time you apply a new Concentric Circles to a chart, the tool will display using the new settings.
Delete: Delete the Concentric Circles from the chart.
Tool Name: Allows you to adjust the name of the tool, as it's displayed in the Structure Panel.
Levels: Click on this option to display the different percentage levels of the circles.
To add a new level to the chart, left-click on the blue + button and enter the values as needed.
- Value - Sets the value for the concentric circle. To change the value amount, click in the field and enter the new value.
- Line Style - Sets the line type, thickness, colour and transparency of the Retracement lines.
- Visible - To hide a level, deselect the check box with the green tick.
Use Chart's Price Unit: Tick this box to set the price unit for the tool calculation equal to that of the chart.
Price Unit: The value in this field determines what one unit of price is equal to. This may require adjustment depending on the data file that the Concentric Circles is applied to. To change the value, simply click in the field and enter a new value.
Repeats: This enables Concentric Circle to be repeated if required.
Line Style: The Line Style property allows you to adjust the type of line displayed. There are 8 options available: Solid, Dots, Dash, Dash Dots, Long Dash, Long Dash Dot, Long Dash Dot Dot, Stippled.
Line Width: Allows you to adjust the width of the lines. Moving the slider bar to the right increases the thickness of the line.
Line Colour: Allows you to select the colour of the line. Clicking on the drop down arrow will display a colour swatch. Locate the desired colour and left-click it once to select it.
Tool Transparency: Use this slider bar to adjust the transparency of the tool. Moving the slider to the left will decrease the transparency of the tool.
Visible: When unchecked, the tool is hidden from the chart.