Fractal-Based Zigzag Indicator with Alternating Swing Points

Summary

This ProOrder indicator draws a zigzag by identifying local highs and lows over a symmetric window and connecting alternating turning points. Its configurable depth parameter determines how many bars are considered around a candidate fractal: increasing the setting selects more pronounced peaks and valleys. The default depth given is 20 bars.

The code marks high and low fractals, records their bar locations and prices, then draws a segment when a point of the opposite type follows the previous one. This describes an indicator for visualizing price swings, not a complete entry-and-exit strategy. Because a candidate is assessed using bars on both sides, the turning point is confirmed only after later data is available; users should account for this delay when using it in automated trading. The document gives no backtest, performance evidence, market-specific validation, or treatment of edge cases such as repeated highs or lows.

Key ideas

• The indicator identifies local highs and lows within a configurable bar window.\nIt connects alternating high and low fractal points to create a zigzag.\nA larger depth setting is intended to capture more pronounced swings.\nThe code marks swing locations but does not define a trading strategy or provide performance evidence.\nConfirmation depends on later bars, which can delay recognition of a turning point.

Tags

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