TD Sequential Setup and Countdown Reversal Signals

Summary

This document outlines a rule-based implementation of the TD Sequential indicator, designed to identify possible turning points against an existing trend. A setup phase counts qualifying consecutive price comparisons until a nine-bar condition is reached. A further perfection check marks a potential buy or sell setup. The code then tracks a countdown based on qualifying comparisons that need not occur consecutively; its thirteenth occurrence can produce an additional signal, subject to a comparison with the eighth countdown bar.

The description says the indicator can be applied to intraday or daily charts and mentions forex, commodities, and options. It supplies indicator code and the conditions used to draw arrows, but no historical test, return data, or evidence that the signals predict reversals. The rules are presented as indicator logic, not a complete trading system: there are no entry execution details, exits, position sizing rules, or risk controls. Signals should therefore be evaluated in the intended market and timeframe before being used as trades.

Key ideas

• The setup phase counts consecutive qualifying price comparisons and completes after nine bars with a perfection condition.
• A completed setup starts a countdown that can include nonconsecutive qualifying bars.
• A thirteenth countdown occurrence may generate an additional signal after a check against the eighth occurrence.
• The indicator is described for intraday and daily use across several asset classes.
• The document provides no backtest results or complete trade and risk management rules.

Tags

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