Ultra Trend Alerts

Based on UT Bot Alerts idea

Ultra Trend Alerts is a volatility-based trend-following indicator designed to capture market reversals and manage position exits. This tool creates a dynamic trailing stop based on the Average True Range (ATR), effectively filtering out market noise while highlighting significant trend directions.

Attribution:

This indicator is a specialized implementation of the popular "UT Bot Alerts" strategy originally developed by QuantNomad. The code has been optimized for the TakeProfit platform to ensure maximum execution speed and code cleanliness.

Core Logic:

The indicator calculates a trailing stop line at a specific distance from the price, determined by the ATR multiplied by a sensitivity factor.

• Bullish Trend: When price closes above the trailing stop, the line turns green and a "Buy" signal is generated.
• Bearish Trend: When price closes below the trailing stop, the line turns red and a "Sell" signal is generated.

Key Features:

• Adaptive Stops: The stop-loss level adjusts automatically to current market volatility. It tightens during consolidation and widens during high-volatility moves to prevent premature stop-outs.
• Clean Signals: Provides clear visual markers for entry and exit points, reducing analysis paralysis.
• Optimized Performance: This version removes redundant calculations found in legacy versions, ensuring raw price action is processed with zero unnecessary lag.

Configuration:

• Key Value (Sensitivity): Controls the distance of the trailing stop.
• Lower values (e.g., 1.0): Tighter stops, more frequent signals (scalping).
• Higher values (e.g., 2.0 - 3.0): Wider stops, fewer signals, better for sustaining long trends (swing trading).
• ATR Period: The lookback window for volatility calculation (Default: 10).

Risk Warning:

Like all trend-following tools, this indicator performs best in trending markets. In sideways or chopping markets, it is recommended to use additional confirmation tools to filter false signals.