This is a trading item or a component that was created using QuantShare by one of our members.
This item can be downloaded and used by QuantShare Trading Software.
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Here is how this technical analysis indicator works:
- Calculates support and resistance for each trading bar (support and resistance are calculated based on the period you provide and using the "AutoSR" function of QuantShare)
- Detects whether a security breaks its support or resistance
- Returns the percentage of increase (one bar) from the resistance or the percentage of decrease from the support
Interpretation:
(Value = 0): No support or resistance breakout detected
(Value > 0): Resistance breakout, the value returned is the one-bar percentage of increase of the security from the resistance level.
(Value < 0): Support breakout, the value returned is the one-bar percentage of decrease of the security from the support level.
Example of use in a trading system:
a = SRBreakoutR(100);
buy = a > 10;
// Enters long if a security crosses its resistance and rise by more than 10% during the crossover.
Trading financial instruments, including foreign exchange on margin, carries a high level of risk and is not suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in financial instruments or foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with trading and seek advice from an independent financial advisor if you have any doubts.