Adaptive Support and Resistance Zones: A Cutting-Edge Technical Analysis Tool
The Adaptive Support and Resistance Zones [BigBeluga] is a revolutionary technical analysis tool designed to identify, manage, and visualize key supply and demand areas in the financial markets. This innovative script employs volatility-adjusted logic (ATR) to ensure that only the most significant structural levels are maintained, providing traders with a clearer picture of where institutional interest lies.
Key Concepts and Features
The Adaptive Support and Resistance Zones [BigBeluga] is built around several key concepts, including:
- Volatility-Aware Detection: This feature uses ATR-based filtering to qualify pivot points, ensuring that only significant price rejection is considered.
- Smart Level Merging: This function automatically consolidates levels that are too close to one another, preventing "line spaghetti" and identifying high-confluence zones.
- Dynamic Zone Rendering: This feature visualizes support and resistance as shaded boxes, with the width of these zones adapting to market volatility.
- Real-Time Breakout Tracking: The indicator monitors price action in real-time, detecting when a level is definitively breached and switching its status from "Active" to "Broken".
How it Works: An In-Depth Look
The Adaptive Support and Resistance Zones [BigBeluga] works by scanning for pivot highs and lows based on a user-defined pivot length. The strength filter applies a "Min ATR Strength" check to ensure that only significant pivots are considered. The script then merges levels that are too close to one another, effectively treating the existing zone as the dominant area of interest.
The indicator also features a dedicated on-screen table, known as the S/R Dashboard, which provides a birds-eye view of the current structural state. This dashboard displays the exact price of the closest active levels, the direction of the most recent volatility-confirmed breakout, and the number of structural levels being monitored by the system.
Key Features and Benefits
The Adaptive Support and Resistance Zones [BigBeluga] offers a range of key features and benefits, including:
- ATR-Based Zone Width: Zones expand and contract based on market volatility, ensuring that stop-loss or entry buffers are mathematically sound.
- Price Labels: Optional labels at the end of active lines provide the exact price for quick order entry.
- Customizable Break Sensitivity: Traders can define how much "daylight" price needs to show above or below a level before a breakout is confirmed.
- Historical Record: The indicator retains a specific number of recently broken levels to identify long-term historical confluence.
Using the Adaptive Support and Resistance Zones
The Adaptive Support and Resistance Zones [BigBeluga] can be used in a variety of ways, including:
- Trading the Rejection: Look for price to enter a shaded Support or Resistance Zone, and wait for a reversal candle within the zone for a high-probability entry back toward the mean.
- Trading the Breakout: When the "< Break" label appears, it confirms that price has closed beyond the zone with enough momentum to overcome the "Break Sensitivity" threshold.
- The S/R Flip: Monitor "Broken" (dotted) levels, and look for price to return to a dotted Resistance line and treat it as Support, confirming a structural shift in the market.
Conclusion
The Adaptive Support and Resistance Zones [BigBeluga] is a powerful technical analysis tool that transforms raw price action into an organized, data-driven roadmap. By automating the detection and management of key levels, and accounting for the ever-changing nature of market volatility, this indicator allows traders to focus on execution rather than manual charting. Whether you're a seasoned trader or just starting out, the Adaptive Support and Resistance Zones [BigBeluga] is an essential tool for anyone looking to improve their trading performance.
Source Code
PINE SCRIPT
// This work is licensed under Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International
// https://creativecommons.org/licenses/by-nc-sa/4.0/
// © BigBeluga
//@version=6
indicator("Adaptive S/R Zones [BigBeluga]", shorttitle="Adaptive S/R [BigBeluga]", overlay=true, max_lines_count=500, max_labels_count=200, max_boxes_count=200)
// ＩＮＰＵＴＳ ――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――{
var grpSwing = "Swing Detection"
pivotLen = input.int(5, "Pivot Length", minval=2, maxval=50, group=grpSwing, tooltip="The number of bars on each side of a high or low to confirm a pivot point.")
minStrength = input.float(0.1, "Min ATR Strength", minval=0.0, maxval=5.0, step=0.05, group=grpSwing, tooltip="Minimum distance required between the pivot and its neighbors.")
maxAgeBars = input.int(300, "Max Level Age (bars)", minval=20, maxval=2000, group=grpSwing, tooltip="Maximum bars a level exists before removal. Also used to calculate longevity scaling.")
var grpLevels = "Levels"
showSupport = input.bool(true, "Show Support Levels", group=grpLevels)
showResist = input.bool(true, "Show Resistance Levels", group=grpLevels)
maxLevels = input.int(5, "Max Active Levels Each", minval=1, maxval=20, group=grpLevels)
mergeThresh = input.float(0.5, "Merge Threshold (ATR x)", minval=0.0, maxval=3.0, step=0.05, group=grpLevels)
showZones = input.bool(true, "Show Level Zones", group=grpLevels)
zoneWidth = input.float(0.25, "Zone Width (ATR x)", minval=0.05, maxval=2.0, step=0.05, group=grpLevels)
var grpBreak = "Breakouts"
showBroken = input.bool(true, "Show Broken Levels", group=grpBreak)
breakSens = input.float(0.1, "Break Sensitivity (ATR x)", minval=0.0, maxval=2.0, step=0.05, group=grpBreak)
showBreakLbl = input.bool(true, "Show Break Labels", group=grpBreak)
maxBroken = input.int(4, "Max Broken Levels Shown", minval=0, maxval=20, group=grpBreak)
var grpVis = "Visuals"
supColor = input.color(color.new(#22bac5, 0), "Support Color", group=grpVis)
resColor = input.color(color.new(#ff6f43, 0), "Resistance Color", group=grpVis)
brokenColor = input.color(color.new(#94a3b8, 0), "Broken Level Color", group=grpVis)
lineWidth = input.int(2, "Base Line Width", minval=1, maxval=5, group=grpVis, tooltip="Used when Longevity Scaling is OFF.")
// NEW LONGEVITY INPUTS
useDynamicWidth = input.bool(true, "Enable Longevity Width", group=grpVis, tooltip="When enabled, older levels become thicker over time.")
maxLineWidth = input.int(7, "Max Longevity Width", minval=1, maxval=10, group=grpVis, tooltip="The maximum thickness an old level can reach.")
showDash = input.bool(true, "Show Dashboard", group=grpVis)
showPriceLbl = input.bool(true, "Show Price Labels on Active Levels", group=grpVis)
var grpDash = "Dashboard"
dashPos = input.string("Bottom Right", "Dashboard Position", options=["Top Right","Bottom Right","Top Left","Bottom Left"], group=grpDash)
// }
// ＣＡＬＣＵＬＡＴＩＯＮＳ――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――{
type SRLevel
float price
int barStart
int levelType
bool active
bool broken
int breakBar
bool retested
line mainLine
box zoneBox
label breakLabel
label priceLabel
var array activeLevels = array.new()
var array brokenLevels = array.new()
var string lastBreakDir = "—"
var int lastBreakBar = na
atrVal = ta.atr(14)
atrSafe = na(atrVal) or atrVal == 0 ? syminfo.mintick * 10 : atrVal
ph = ta.pivothigh(high, pivotLen, pivotLen)
pl = ta.pivotlow(low, pivotLen, pivotLen)
f_isTooClose(_price, _type) =>
bool tooClose = false
int sz = array.size(activeLevels)
if sz > 0
for i = 0 to sz - 1
lvl = array.get(activeLevels, i)
if lvl.levelType == _type and lvl.active
if math.abs(lvl.price - _price) < mergeThresh * atrSafe
tooClose := true
break
tooClose
f_addLevel(_price, _type, _barIdx) =>
if not f_isTooClose(_price, _type)
int sz = array.size(activeLevels)
int cnt = 0
if sz > 0
for i = 0 to sz - 1
lvl = array.get(activeLevels, i)
if lvl.levelType == _type and lvl.active
cnt += 1
if cnt < maxLevels
_baseColor = _type == 1 ? resColor : supColor
_zoneTop = _price + zoneWidth * atrSafe * 0.5
_zoneBot = _price - zoneWidth * atrSafe * 0.5
newLine = line.new(
x1 = _barIdx,
y1 = _price,
x2 = _barIdx + 1,
y2 = _price,
extend = extend.right,
color = color.new(_baseColor, 0),
width = lineWidth,
style = line.style_solid
)
newBox = showZones ? box.new(
left = _barIdx,
top = _zoneTop,
right = _barIdx + 1,
bottom = _zoneBot,
border_color = color.new(_baseColor, 90),
bgcolor = color.new(_baseColor, 88),
extend = extend.right
) : na
newPriceLbl = showPriceLbl ? label.new(
x = bar_index + 20,
y = _price,
text = str.tostring(_price, format.mintick),
style = label.style_label_center,
textcolor = _baseColor,
color = color.new(chart.bg_color, 0),
size = size.small
) : na
array.push(activeLevels, SRLevel.new(
price = _price,
barStart = _barIdx,
levelType = _type,
active = true,
broken = false,
breakBar = na,
retested = false,
mainLine = newLine,
zoneBox = newBox,
breakLabel = na,
priceLabel = newPriceLbl
))
f_pivotStrong(_price, _type) =>
bool strong = true
if minStrength > 0
if _type == 1
nearHigh = math.max(high[pivotLen - 1], high[pivotLen + 1])
if (_price - nearHigh) < minStrength * atrSafe
strong := false
else
nearLow = math.min(low[pivotLen - 1], low[pivotLen + 1])
if (nearLow - _price) < minStrength * atrSafe
strong := false
strong
// Prune old levels
int pruneSize = array.size(activeLevels)
if pruneSize > 0
for i = pruneSize - 1 to 0
if i < array.size(activeLevels)
lvl = array.get(activeLevels, i)
if lvl.active and (bar_index - lvl.barStart) > maxAgeBars
line.delete(lvl.mainLine)
if not na(lvl.zoneBox)
box.delete(lvl.zoneBox)
if not na(lvl.priceLabel)
label.delete(lvl.priceLabel)
array.remove(activeLevels, i)
// Add new pivots
if not na(ph) and showResist
if f_pivotStrong(ph, 1)
f_addLevel(ph, 1, bar_index - pivotLen)
if not na(pl) and showSupport
if f_pivotStrong(pl, -1)
f_addLevel(pl, -1, bar_index - pivotLen)
// Breakout logic
int activeSize = array.size(activeLevels)
if activeSize > 0
for i = activeSize - 1 to 0
if i >= array.size(activeLevels)
continue
lvl = array.get(activeLevels, i)
if not lvl.active
continue
breakBuffer = breakSens * atrSafe
if lvl.levelType == 1 and close > lvl.price + breakBuffer
lvl.active := false
lvl.broken := true
lvl.breakBar := bar_index
lastBreakDir := "Bullish"
lastBreakBar := bar_index
if not na(lvl.priceLabel)
label.delete(lvl.priceLabel)
lvl.priceLabel := na
line.set_color(lvl.mainLine, color.new(brokenColor, 0))
line.set_style(lvl.mainLine, line.style_dotted)
line.set_width(lvl.mainLine, 1)
line.set_extend(lvl.mainLine, extend.none)
line.set_x2(lvl.mainLine, bar_index)
if not na(lvl.zoneBox)
box.set_bgcolor(lvl.zoneBox, color.new(brokenColor, 93))
box.set_border_color(lvl.zoneBox, color.new(brokenColor, 100))
box.set_extend(lvl.zoneBox, extend.none)
box.set_right(lvl.zoneBox, bar_index)
mid = math.avg(lvl.zoneBox.get_top(), lvl.zoneBox.get_bottom())
lvl.zoneBox.set_top(mid + breakBuffer)
lvl.zoneBox.set_bottom(mid - breakBuffer)
if showBreakLbl
lvl.breakLabel := label.new(
x = bar_index,
y = lvl.price,
text = "< Break",
style = label.style_label_left,
textcolor = supColor,
color = color.new(#22c55e, 100),
size = size.small
)
if showBroken
array.push(brokenLevels, lvl)
if array.size(brokenLevels) > maxBroken and array.size(brokenLevels) > 0
old = array.shift(brokenLevels)
if not na(old.mainLine)
line.delete(old.mainLine)
if not na(old.zoneBox)
box.delete(old.zoneBox)
if not na(old.breakLabel)
label.delete(old.breakLabel)
else
line.delete(lvl.mainLine)
if not na(lvl.zoneBox)
box.delete(lvl.zoneBox)
array.remove(activeLevels, i)
else if lvl.levelType == -1 and close < lvl.price - breakBuffer
lvl.active := false
lvl.broken := true
lvl.breakBar := bar_index
lastBreakDir := "Bearish"
lastBreakBar := bar_index
if not na(lvl.priceLabel)
label.delete(lvl.priceLabel)
lvl.priceLabel := na
line.set_color(lvl.mainLine, color.new(brokenColor, 0))
line.set_style(lvl.mainLine, line.style_dotted)
line.set_width(lvl.mainLine, 1)
line.set_extend(lvl.mainLine, extend.none)
line.set_x2(lvl.mainLine, bar_index)
if not na(lvl.zoneBox)
box.set_bgcolor(lvl.zoneBox, color.new(brokenColor, 93))
box.set_border_color(lvl.zoneBox, color.new(brokenColor, 100))
box.set_extend(lvl.zoneBox, extend.none)
box.set_right(lvl.zoneBox, bar_index)
mid = math.avg(lvl.zoneBox.get_top(), lvl.zoneBox.get_bottom())
lvl.zoneBox.set_top(mid + breakBuffer)
lvl.zoneBox.set_bottom(mid - breakBuffer)
if showBreakLbl
lvl.breakLabel := label.new(
x = bar_index,
y = lvl.price,
text = "< Break",
style = label.style_label_left,
textcolor = resColor,
color = color.new(#ef4444, 100),
size = size.small
)
if showBroken
array.push(brokenLevels, lvl)
if array.size(brokenLevels) > maxBroken and array.size(brokenLevels) > 0
old = array.shift(brokenLevels)
if not na(old.mainLine)
line.delete(old.mainLine)
if not na(old.zoneBox)
box.delete(old.zoneBox)
if not na(old.breakLabel)
label.delete(old.breakLabel)
else
line.delete(lvl.mainLine)
if not na(lvl.zoneBox)
box.delete(lvl.zoneBox)
array.remove(activeLevels, i)
// }
// ＰＬＯＴ ――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――――{
// Extend visuals on active levels
int extSize = array.size(activeLevels)
if extSize > 0
for i = 0 to extSize - 1
lvl = array.get(activeLevels, i)
if lvl.active
// DYNAMIC LONGEVITY WIDTH CALCULATION
if useDynamicWidth
age = bar_index - lvl.barStart
// Scale width from 1 to maxLineWidth based on maxAgeBars
calcWidth = math.min(maxLineWidth, 1 + math.floor((age / maxAgeBars) * (maxLineWidth - 1)))
line.set_width(lvl.mainLine, int(calcWidth))
else
line.set_width(lvl.mainLine, lineWidth)
line.set_x2(lvl.mainLine, bar_index + 1)
if not na(lvl.zoneBox)
box.set_right(lvl.zoneBox, bar_index + 1)
if showPriceLbl and not na(lvl.priceLabel)
label.set_x(lvl.priceLabel, bar_index + 10)
var float nearestSup = na
var float nearestRes = na
nearestSup := na
nearestRes := na
// Dashboard scanning
int dashScanSize = array.size(activeLevels)
if dashScanSize > 0
for i = 0 to dashScanSize - 1
lvl = array.get(activeLevels, i)
if not lvl.active
continue
if lvl.levelType == -1 and lvl.price < close
if na(nearestSup) or lvl.price > nearestSup
nearestSup := lvl.price
if lvl.levelType == 1 and lvl.price > close
if na(nearestRes) or lvl.price < nearestRes
nearestRes := lvl.price
// Draw Dashboard
var table dashTable = na
if showDash
tablePos = switch dashPos
"Top Right" => position.top_right
"Bottom Right" => position.bottom_right
"Top Left" => position.top_left
"Bottom Left" => position.bottom_left
=> position.bottom_right
if barstate.isfirst
dashTable := table.new(
position = tablePos,
columns = 2,
rows = 5,
bgcolor = color.new(#0d1117, 5),
border_color = color.new(#30363d, 40),
border_width = 1,
frame_color = color.new(#30363d, 20),
frame_width = 1
)
if barstate.islast and not na(dashTable)
table.cell(dashTable, 0, 0, "S/R Dashboard", text_color=color.new(#f0f6fc, 0), text_size=size.normal, bgcolor=color.new(#161b22, 0), text_halign=text.align_center)
table.merge_cells(dashTable, 0, 0, 1, 0)
table.cell(dashTable, 0, 1, "Resistance", text_color=color.new(#8b949e, 0), text_size=size.normal, bgcolor=color.new(#0d1117, 10), text_halign=text.align_left)
table.cell(dashTable, 1, 1,
na(nearestRes) ? "—" : str.tostring(nearestRes, format.mintick),
text_color = na(nearestRes) ? color.new(#484f58, 0) : resColor,
text_size = size.normal,
bgcolor = color.new(#0d1117, 10),
text_halign = text.align_right
)
table.cell(dashTable, 0, 2, "Support", text_color=color.new(#8b949e, 0), text_size=size.normal, bgcolor=color.new(#0d1117, 10), text_halign=text.align_left)
table.cell(dashTable, 1, 2,
na(nearestSup) ? "—" : str.tostring(nearestSup, format.mintick),
text_color = na(nearestSup) ? color.new(#484f58, 0) : supColor,
text_size = size.normal,
bgcolor = color.new(#0d1117, 10),
text_halign = text.align_right
)
table.cell(dashTable, 0, 3, "Last Break", text_color=color.new(#8b949e, 0), text_size=size.normal, bgcolor=color.new(#0d1117, 10), text_halign=text.align_left)
breakDirColor = lastBreakDir == "Bullish" ? supColor : lastBreakDir == "Bearish" ? resColor : color.new(#484f58, 0)
table.cell(dashTable, 1, 3, lastBreakDir, text_color=breakDirColor, text_size=size.normal, bgcolor=color.new(#0d1117, 10), text_halign=text.align_right)
activeCnt = array.size(activeLevels)
table.cell(dashTable, 0, 4, "Active Levels", text_color=color.new(#8b949e, 0), text_size=size.normal, bgcolor=color.new(#0d1117, 10), text_halign=text.align_left)
table.cell(dashTable, 1, 4, str.tostring(activeCnt), text_color=color.new(#f0f6fc, 0), text_size=size.normal, bgcolor=color.new(#0d1117, 10), text_halign=text.align_right)
// }
Source: TradingView