DC Signals: Combining DCOS and BullsPower/BearsPower Patterns

Summary

The indicator combines patterns observed across price charts, DCOS, BullsPower, and BearsPower to generate probable buy and sell directions. It marks signals on the prior bar: blue indicates a buy and yellow a sell. A red dot must be enclosed by a square for the signal to count as confirmed.

The author says an earlier version was used in an automated strategy during the 2008 ATS Championship and showed “decent results,” but supplies no statistics or evaluation details. Signals may be canceled, so the document advises waiting rather than entering immediately, comparing signals across timeframes—especially H1, H4, and D1—and using Fractals as an additional indicator. These recommendations are informal, and the post provides no rules for position sizing, exits, or systematic validation.

Key ideas

• The generator derives directional signals from patterns involving price, DCOS, BullsPower, and BearsPower.
• Blue marks buy signals and yellow marks sell signals on the previous bar.
• A red dot enclosed by a square indicates confirmation.
• Signals can be canceled, so the author advises against immediate entry.
• The author suggests comparing H1, H4, and D1 charts and consulting Fractals.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.