Reversal Indicators

🔄 Top and Bottom Reversals

Reversal signals help identify potential turning points in the market.

The Reversal indicators in EZ Trend can help indicate max opportunities for reversals, In stronger uptrend / downtrend conditions, they can also warn of price stalls (losing momentum), its best to use these in combination with other indicators to verify signals

⚖️ Settings:

• Top Reversals: Toggle to enable/disable top reversal signals

• Bottom Reversals: Toggle to enable/disable bottom reversal signals

• Tops/Bottoms Reversals Set 2: Alternative detection method with less noise

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🧠 How to Interpret:

• "T" Symbol: Appears above candles at potential market tops

• "B" Symbol: Appears below candles at potential market bottoms

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🛠️ Practical Usage:

• Use as potential exit signals for existing positions

• Can indicate countertrend entry opportunities

• For increased reliability, wait for confirmation from EZ Trend line

• When both Set 1 and Set 2 signals align, reversal probability increases

• Consider reducing position size when trading against the main trend

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🕯️ Exhaustion Candles

Exhaustion signals identify potential trend exhaustion points after extended moves.

⚙️ Settings:

• Exhaustion High Candles: Toggle to enable/disable exhaustion top signals

• Exhaustion Low Candles: Toggle to enable/disable exhaustion bottom signals

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🧠 How to Interpret:

• "H" Symbol: Appears at potential exhaustion points after uptrends

• "L" Symbol: Appears at potential exhaustion points after downtrends

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🛠️ Practical Usage:

• Use as warning signs for potential trend reversals

• Can serve as exit signals for trend-following positions

• Most reliable when they appear after extended trends

• Consider partial profit-taking when exhaustion signals appear

• Combining with reversal signals provides stronger confirmation