A Non-Repainting ZigZag for Detecting Price Swings
Summary
This document describes a simplified ZigZag indicator intended to identify local price highs and lows and connect them into refined upward and downward swings. Such swing points can support chart constructions including trend lines, channels, and Fibonacci grids, and the article highlights Fibonacci corrections as one possible basis for an automated trading system. The proposed indicator uses one configurable pass-length parameter, which the author says can be set differently for different timeframes.
The design is presented as an alternative to the standard MetaTrader ZigZag, which the article says repaints, uses nested loops, and requires tuning three interacting parameters. The simplified version is described as calculating on new price data without nested loops and retaining detected reversals. These are design claims; the document supplies no comparative benchmark, trading results, or detailed explanation of how reversals are confirmed. It therefore explains an indicator concept and intended use, but does not establish that strategies built on it are profitable.
Key ideas
- The indicator marks local highs and lows and connects them as price swings.
- Its single parameter is a pass length that can vary by timeframe.
- The author presents it as faster to optimize and non-repainting compared with the standard ZigZag.
- Swing points can support trend, channel, and Fibonacci-correction constructions.
- No benchmark or trading-performance evidence is provided.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.