Overview of the StochCandles Indicator
The StochCandles indicator visually enhances standard price candles using Stochastic values and optional Heiken Ashi logic. It paints candlesticks based on momentum direction and overbought/oversold conditions, helping traders recognize potential reversals or trend strength more intuitively.
By blending classic Stochastic signals with color-coded candles, this tool makes it easier to identify trade setups without needing to constantly reference a separate oscillator window.
How to Use It in Practice
In live trading, the StochCandles indicator can be used to:
- Spot overbought or oversold zones directly on the chart without a separate Stochastic window.
- Visually confirm entries when color shifts align with price structure.
- Use Heiken Ashi mode for smoother trend visualization and noise reduction.
- Combine with other price action or moving average strategies for better confirmation.
This indicator is especially helpful for discretionary traders who prefer clean charts but still want to include momentum-based confirmation in their strategy.
Parameter Explanations
Stoch_K
Defines the %K period for the Stochastic calculation, controlling how reactive the indicator is to price movement.
Stoch_D
Sets the smoothing period for the %D line of the Stochastic. Affects the smoothness of signals.
Stoch_Slowing
Applies an additional slowing factor to reduce choppiness in the Stochastic output.
Overbought
Specifies the upper threshold where prices are considered overbought. Candle colors may change when price crosses this level.
Oversold
Specifies the lower threshold where prices are considered oversold. Candle colors may reflect potential reversal areas.
BarWidth
Controls the thickness of the candle outlines for better visibility.
CandleWidth
Adjusts the body width of each candle bar drawn on the chart.
HeikenAshi
Enables or disables Heiken Ashi smoothing for the candle drawing logic.
HeikenAshiMA
Option to apply a moving average to the Heiken Ashi data for additional smoothing effect.
HAMA_Method
Sets the moving average method used when Heiken Ashi MA is enabled (e.g., Simple, Exponential).
HAMA_Period
Defines the period length for the Heiken Ashi moving average calculation.
