The Parabolic SAR (Stop and Reverse) is a technical indicator used to identify trends and potential reversal points. The indicator consists of a series of points that are plotted either above or below the price. These points are calculated using the extreme price (the highest or lowest price during a trend) and an acceleration factor that increases each time a new extreme price is reached. If the SAR points are below the price, the market is considered bullish. If they are above, the market is considered bearish. The moment the indicator switches from bearish SAR to bullish SAR and vice versa is called a reversal.

The Stochastic RSI indicator is extremely similar to the RSI indicator. It also indicates overbought and oversold zones. However, instead of focusing on a single RSI value, it relates the current RSI value to the minimum and maximum RSI values over a specific period. As a result, you typically find similar thresholds to the RSI: A StochRSI above 0.8 (or 80) is generally considered overbought. A StochRSI below 0.2 (or 20) is generally considered oversold.

The RSI indicator is a fundamental tool in any trader's toolkit. It helps to understand the strength of a trend over a given period. The RSI Crossover indicator, on the other hand, allows you to calculate two RSIs using the same method but over different periods, enabling you to assess whether the strength of the prevailing trend is increasing or decreasing.

The Stochastic RSI indicator is extremely similar to the RSI indicator. It also indicates overbought and oversold zones. However, instead of focusing on a single RSI value, it relates the current RSI value to the minimum and maximum RSI values over a certain period. The purpose of this indicator is to compare the evolution of two stochastic RSIs, primarily over different periods.

The MACD (Mean Average Convergence Divergence) indicator is a classic tool in traders' toolkits. It provides insights into the strength, momentum, and duration of a trend. The indicator consists of three main components: the MACD line (the difference between two moving averages), the Signal line (an exponential average of the MACD line), and the histogram, which represents the difference between the MACD line and the Signal line. In this indicator, we focus on the differences between two MACD lines derived from two different pairs of moving averages.

The Marubozu is the exact opposite of the Doji. It indicates a clear dominant force within a candle: either bullish or bearish. It is characterized by a large body with nearly nonexistent wicks. There are two types of Marubozu: bullish and bearish.

The Doji is one of the most well-known chart patterns. It is also extremely simple, defined by a single candlestick that indicates strong indecision. The buying and selling forces in this candle are nearly balanced, resulting in a very small candle body.

The Vortex Indicator is a relatively recent tool compared to other technical indicators, having been developed only in 2010. It’s an essential for traders, as it is both simple and powerful. It consists of two lines: VI+, which represents the bullish strength of the market (accounting for volatility), and VI-, which is similar but measures the bearish strength of the market.

The MACD (Mean Average Convergence Divergence) indicator is a classic tool in traders' arsenals. It provides insights into the strength, momentum, and duration of a trend. The indicator consists of three main components: the MACD line (the difference between two moving averages), the Signal line (an exponential average of the MACD line), and the histogram, which represents the difference between the MACD line and the Signal line.

The target block allows progression to the next block only after the price or position profit has changed by a certain percentage. The advantage of this block is its flexibility, as it can calculate price variation from multiple points: the entry position, the last block, etc. This makes it particularly useful for creating trailing stop losses or other advanced methods.

This block is one of the simplest to understand. As you know, a trading robot’s flowchart is read sequentially. This means you cannot move to the next block without validating the current block. When one of the indicator or group blocks is validated, we want to set the allocation we desire for our robot on the chosen asset. This method is very useful because it’s adaptable. For instance, you can open a position with this block by changing the allocation from 0% (indicating "no position") to any value between -500% and 500% (details explained further). Additionally, you can close your trade by setting the allocation back to 0%.

A strategy created with a single indicator is good, but with multiple indicators, it's even better! This block allows you to create a condition that combines different indicator blocks. This way, you can create more refined conditions to sharpen your entry or exit signals.

The Ichimoku Cloud indicator, also known as Ichimoku Kinko Hyo, is a very comprehensive tool that helps traders identify trends as well as support and resistance levels in the market. This indicator is one of the most complete and can be used in multiple strategies: trend following, reversal strategies, and more. However, it is also one of the indicators with the most parameters to configure.

The Bollinger Bands indicator is widely known and a classic in technical analysis. This indicator helps assess if a price is deviating abnormally from its average price, either to the upside or downside. To achieve this, the price of a financial asset is framed within two Bollinger bands that consider the asset’s volatility. Interpretation is straightforward: if the price moves above the upper band, it indicates an overbought condition, while a move below the lower band suggests an oversold condition. Based on the asset's tendency to revert to the mean or the timeframe used, two strategies may emerge. If the asset is assumed to be stationary, a short position might be taken when the price is above the upper band. Conversely, if the asset shows strong momentum, such as during a bull run, a long position might be taken when the price is above the upper band, expecting that the upward movement will continue. The opposite applies to the lower band.

The SuperTrend indicator is a technical tool used to identify the dominant trend of a financial asset. One of the advantages of this indicator is that it takes market volatility into account through the ATR (Average True Range). Simplicity is one of the major strengths of the SuperTrend. It only requires the period used to calculate the indicator and the multiplier applied to the ATR in the SuperTrend calculation. Due to its simplicity, it is often combined with other indicators to enhance the quality of signals

The RSI (Relative Strength Index) is a technical indicator that assesses the strength of a trend in the price of a financial asset. The goal is to identify overbought or oversold conditions in a market. Without going into the calculation details, the indicator uses the average of gains and losses over the last N candles to understand which force is more dominant: bullish or bearish. The RSI value ranges between 0 and 100. If the RSI is above 70, it is considered an overbought condition. Conversely, if the RSI is below 30, it indicates an oversold condition. Additionally, it is important to note that the RSI is often combined with other indicators to obtain more precise market entry and exit signals.

A moving average is a technical indicator that smooths prices by creating an updated average price (for each candle). Simply put, for each candle, we take the previous N candles and calculate the average. This gives us one point per candle, and once they are aggregated, we obtain a moving average. An important thing to mention is that you can calculate the average using different methods: simple average, exponential average, smoothed average, etc. Typically, we combine two MAs (Moving Averages) calculated over different periods (the number of candles we look back to calculate the average) to gain insight into the price trend. The moving average calculated over the shorter period is called the fast moving average, and the one calculated over the longer period is called the slow moving average. When the fast moving average is above the slow moving average, we assume we are in an uptrend, and if the fast moving average is below the slow moving average, we assume we are in a downtrend.

BullTrading is an innovative platform that allows you to create trading bots without programming. In this detailed guide, we will explore step by step how to create your first automated trading robot.

In an environment where over 80% of retail traders lose money according to the SEC (2023), a deep understanding of trading volumes becomes a crucial competitive advantage. While most traders focus solely on price, studies show that volume analysis can increase prediction accuracy by 45%. This often-neglected dimension of trading deserves special attention, particularly in the era of algorithmic markets.