Trading in financial markets demands precision, timing, and reliable tools. One such powerful tool gaining attention among traders is the Buy/Sell Signals indicator by LossTronaut—a dynamic technical analysis script built on a robust combination of Supertrend, RSI, and EMA crossovers. This indicator is designed to identify high-probability entry and exit points across various asset classes, including stocks, forex, and cryptocurrencies.
Whether you're a scalper, swing trader, or position trader, understanding how to effectively use this indicator can significantly improve your trading accuracy and confidence.
How to Use the Buy/Sell Signals Indicator
The indicator offers two primary approaches for trade execution:
1. Immediate Entry on Signal
When a buy or sell signal appears:
- Enter the trade immediately
- Set stop loss at the low (for longs) or high (for shorts) of the signal candle, with a small buffer to account for market noise
This method suits aggressive traders who prioritize speed and early entry into trends.
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2. Confirmation-Based Entry
For higher accuracy:
- Wait for additional confirmation from complementary indicators such as volume, RSI, or moving averages
- Only enter when multiple signals align
This conservative approach reduces false signals and enhances risk-reward ratios—ideal for day traders and those managing larger capital.
Key Features and Enhancements
The Buy/Sell Signals indicator has undergone multiple refinements to boost performance and usability.
ATR-Based Signal Confirmation
The Average True Range (ATR) is now integrated to filter signals based on volatility:
- Helps confirm whether a price move has enough momentum
- Avoids entering during choppy or low-volatility periods
TEMA and EMA with HMA Smoothing
Originally using TEMA (Triple Exponential Moving Average) for confirmation:
- If price closes above TEMA + buy signal → go long
- If price closes below TEMA + sell signal → go short
Later updates replaced TEMA with EMA smoothed by Hull Moving Average (HMA) for cleaner visuals and reduced lag—ideal for traders seeking a clutter-free chart.
Dynamic Moving Average (SR) – Period 21 with Reversal Option
A new 21-period Dynamic Moving Average (SR) includes a reversal detection feature:
- Highlights potential turning points in the market
- Works best when combined with higher timeframes (HTF) for validation
Pivot-Based Signals (Replacement for Scalping)
Scalping-focused signals have been removed in favor of pivot-based entries, which offer:
- More reliable reversal zones
- Better alignment with support/resistance levels
- Improved performance on daily and 4-hour charts
Use additional confirmation tools like Price Action Confirmation (PAC) to validate these pivot signals before entry.
Stock-Specific Signal Settings
A dedicated configuration has been introduced for stocks and stock options:
- Always set stop loss at the nearest swing point
- Use PAC (Price Action Confirmation) for filtering entries
- Avoid trading against major trend direction
Additionally, a Possible Reversal Signal has been added to alert traders of impending trend changes—especially useful in range-bound or overextended markets.
Visual and Functional Upgrades
Several visual improvements enhance clarity and reduce confusion:
Horizontal Reference Lines
To solve the common challenge of when and where to enter, the indicator plots:
- Green horizontal line at the high of a buy signal candle
- Red horizontal line at the low of a sell signal candle
Entry Rule: Wait for price to close above (for buys) or below (for sells) the line before executing.
This simple rule increases discipline and avoids premature entries.
Strong Candle Detection
Highlights strong momentum candles directly on the chart:
- Identifies breakout or exhaustion patterns
- Assists in distinguishing real moves from fakeouts
Stop Loss Step Lines
Visual step lines help track optimal stop loss placement:
- Adjusts dynamically as price progresses
- Keeps risk management visible and structured
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Advanced Filtering & Accuracy Improvements
Recent updates focus on reducing noise and increasing signal reliability:
VWAP Signal Filter
Integration with Volume Weighted Average Price (VWAP) allows:
- Filtering signals that occur below/above fair value
- Confirming trend strength based on volume-weighted benchmarks
- Achieving greater accuracy in Supertrend + ATR setups
Non-Repainting Signals
Critical for trust and backtesting:
- Signals do not repaint or disappear after formation
- Ensures historical accuracy and execution reliability
Simplified Settings Panel
A streamlined interface makes customization easier:
- Toggle features like blast candles, reversal bars, or ATR filters
- Adjust sensitivity without technical complexity
Open Source Transparency
True to the collaborative spirit of TradingView, this script is open-source, allowing traders to:
- Review the underlying logic
- Verify performance independently
- Customize parameters to suit individual strategies
While free to use, redistribution must comply with community guidelines.
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These terms reflect what active traders search for when seeking reliable, data-driven tools.
Frequently Asked Questions (FAQ)
Q: Is this indicator suitable for beginners?
Yes, but beginners should first understand basic concepts like Supertrend, RSI, and moving averages. Start by using confirmation filters like VWAP or volume to avoid false signals.
Q: Can I use this for cryptocurrency trading?
Absolutely. The indicator works across all liquid markets, including crypto. Just ensure you adjust settings according to volatility—especially important in Bitcoin or altcoin pairs.
Q: Does the indicator repaint?
No. The latest version features non-repainting signals, meaning once a signal appears, it remains constant—critical for live trading and backtesting accuracy.
Q: What timeframe works best?
The indicator performs well on 1-hour, 4-hour, and daily charts. For scalping, combine with HTF confirmation to avoid whipsaws.
Q: How do I confirm a reversal signal?
Use higher timeframe alignment, volume spikes, strong candle closes beyond key levels, or PAC confirmation. Never act on reversal signals alone.
Q: Why were scalping signals removed?
Scalping setups generated too many false entries. Pivot-based signals offer better accuracy and are more aligned with institutional trading zones.
Final Thoughts: Precision Over Speed
While many indicators promise instant profits, the real value lies in consistency, clarity, and control. The Buy/Sell Signals indicator by LossTronaut stands out by combining proven technical methods—Supertrend, RSI, EMA—with smart enhancements like ATR filtering, VWAP confirmation, and non-repainting logic.
By focusing on clean entries, visual guidance, and robust risk management tools like stop loss step lines and horizontal reference zones, it empowers traders to act with confidence—not guesswork.
👉 Start applying precision strategies today—explore powerful tools trusted by global traders.