New edge proposed: alexander_elder_long_second_push_with_bullish_divergence_volume_backing — E8 Intelligence Research

{ "name": "alexander_elder_long_second_push_with_bullish_divergence_volume_backing", "source": "Alexander Elder, Trading for a Living (impulse system and volume-confirmed reversals)", "type": "entry_engine", "rule": "Enter long only when price makes a lower low than the previous swing low (swing length >=5 bars) but RSI14 makes a higher low, the current close is above the current bar's open, and volume on the current bar is at least 1.15 times the 20-bar average volume, with stop at 0.5 * ATR below the current bar's low.", "pseudocode": "swingLow1 = lowest low of bars n-5 to n (11 bars back); swingLow2 = current low (bar n); swingLow2 < swingLow1 and RSI14(bar n) > RSI14(bar n-5) and close > open and volume[current] >= 1.15 * SMA(volume, 20): entryPrice = current close stopLoss = current low - 0.5 * ATR(14) plot entry, stop" } Author: Andrew Stewart Caldin, Independent Researcher, UK. Part of the E8 Intelligence Research series. Platform: e8intelligence.com