OPEN-SOURCE SCRIPT
Price Channel Marker
This indicator identifies a dynamic price channel based on the most relevant recent price action. It draws two horizontal lines:
* 🔴 Red Line – Marks the high of the most recent red candle (bearish) whose high is just below the current price. It selects the red candle with the high closest in price to the current close, and ensures it is from a valid historical context (ignoring recent highs above the current price).
* 🟢 Green Line – Marks the low of the most recent green candle (bullish) whose low is just above the current price, also selected based on proximity to the current price.
Together, these two lines define a potential price compression zone or "trap" area — showing where price may currently be trading between recent supply (red candle) and demand (green candle). The lines update dynamically and extend into the future to help visualize breakout or rejection levels.
Use Cases:
* Spot potential breakout zones.
* Define short-term support and resistance.
* Filter for entries in range-bound or squeeze conditions.
Customization:
* Adjustable lookback range (up to 5000 bars).
* Colors and line style are easily customizable.
* 🔴 Red Line – Marks the high of the most recent red candle (bearish) whose high is just below the current price. It selects the red candle with the high closest in price to the current close, and ensures it is from a valid historical context (ignoring recent highs above the current price).
* 🟢 Green Line – Marks the low of the most recent green candle (bullish) whose low is just above the current price, also selected based on proximity to the current price.
Together, these two lines define a potential price compression zone or "trap" area — showing where price may currently be trading between recent supply (red candle) and demand (green candle). The lines update dynamically and extend into the future to help visualize breakout or rejection levels.
Use Cases:
* Spot potential breakout zones.
* Define short-term support and resistance.
* Filter for entries in range-bound or squeeze conditions.
Customization:
* Adjustable lookback range (up to 5000 bars).
* Colors and line style are easily customizable.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.