Three-Indicator Suite

Q: Induction Candles

Red & Green Candles (Bright) Condition 1: >200% above average of 10-bar volume Red & Green Candles (Dim) Condition 2: Volume multiplied by the range of the candle is greater than the highest of that value from the last 10 bars. Blue & Violet >150% above average of 10-bar volume This theory is based on a Forex system by Trader At Home, PVSRA – Price Volume Support Resistance & Analysis. Tino from Traders Reality introduced this concept to Crypto trading as Vector Candles in his Hybrid System, a combination of PVSRA and MMM – Market Maker Method by Steve Mauro.

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The Tactical Analysis strategy evolved from TJ’s advanced understanding of the Hybrid System, originally created by Tino from Traders Reality.

The Hybrid System combines two forex strategies: Price Volume Support Resistance Analysis (PVSRA) by Trader At Home and Market Maker Method (MMM) by Steve Mauro.

TJ applied additional concepts to the Hybrid, such as Volume Profiles and Fibonacci retracements/extensions, with the goal of applying the strategy to Cryptocurrency trading. After countless hours of analyzing the charts and applying these concepts, the immensely profitable Tactical Analysis strategy emerged.

Part 1 - TVAR : Tactical Volume Recovery Analysis

Induction Candles

Red & Green Candles (Bright)
Condition 1: >200% above average of 10-bar volume

Red & Green Candles (Dim)
Condition 2: Volume multiplied by the range of the candle is greater than the highest of that value from the last 10 bars.

Blue & Violet
>150% above average of 10-bar volume

This theory is based on a Forex system by Trader At Home, PVSRA – Price Volume Support Resistance & Analysis.

Tino from Traders Reality introduced this concept to Crypto trading as Vector Candles in his Hybrid System, a combination of PVSRA and MMM – Market Maker Method by Steve Mauro.

Induction Recovery Zones™

The boxes that print to the right of induction candles represent areas that price is likely to return to. These areas are referred to as Liquidity Zones. The script erases these zones as price passes through, and once erased, that area is considered recovered.

The dimmer-colored candles may not necessarily have high volume, as the range of the candle is a factor in the calculation. For example, a candle with a big range moved fast but may have lower than average volume. Users can now spot the difference between these events.

Session - Future Lines

These are vertical lines to act as a reminder as to how close a new session open is.

There is often high volume and price volatility 30 minutes before and up to 1 hour after a session opening.

These lines disappear as price intersects them and at that precise moment, the Session High and Low horizontals begin.

Session - High & Low

These are horizontal lines that dynamically move with price to mark the high and low, as well as the start and end of each session.

The indicator tracks the five main sessions: Tokyo, Hong Kong, London, New York, and Sydney.

A note on Session Lines

Due to TradingView limitations, session times cannot be accurately drawn on timeframes greater than 30 minutes.

Session times cannot be accurately drawn on timeframes greater than 30 minutes. This is a TradingView limitation. For example, the NY session starts at 9:30 (EST). On a 1-hour chart, there is no 30-minute bar to represent 9:30 — there is only 9:00 am and 10:00 am. So, the session would inaccurately show the start time as 9:00 am. On an 8-hour chart, there are only three bars: 12am, 8am, and 4pm. Thus, the session lines will always be inaccurate on higher time frame charts, so the indicator will automatically hide them.

Here is a link to a table with links to explain the times we chose for this indicator.
[DisDev] – Market Session Times

Tactical Windows

The 30 minutes prior to the London (white dotted box on the chart) and the New York (orange dotted box) open.

As with the high volume and volatility described for Session openings, these time windows carry extra significance.

These windows were referred to as Brinks Boxes by Steve Mauro in Market Maker Method. They were named Brinks Boxes because according to his theory, if the 3:45 am EST (London Open) or 9:45 am EST (NY Open), was a hammer candle, you could reliably take the trade in the opposite direction and back the Brinks Truck up to collect your money.

EMA's

50 / 200 / 800 EMA’s

Exponential Moving Average

Investopedia – EMA’s

50 Trench

The trench is the Tactical Analysis name for what others call the Dragon or the Cloud. It is similar to a Bollinger Band.

Investopedia – Bollinger Bands

4hr - 50 EMA

The 4-hour timeframe plays a very important role as most Sessions open and close on the 4hr candles. The 4hr 50 EMA is a placed as a reminder of where price is in relation to it. The theory is that price will always return to the mean. TJ and many others rely on the 50 EMA as the mean.

Investopedia – Mean Reversion

Induction Table™

This table at the bottom of the chart tracks the top 12 coins from the Tactical Analysis list. The coin’s color reflects the current candle’s color on the same time frame as the main chart.

The border color around the table is in sync with the main chart’s current candle.

Note: The table is defaulted to None or Off to help with load time performance. Select the proper format on the input panel.

Part 2 - Levels

Daily / Weekly Open & Initial Balance

Daily Open
Since Crypto is traded 24 hours per day, the generally accepted open is 00:00 UTC, the Tokyo open. Please refer to Part 1 for more details on sessions, starting times, conversions, and Daylight Savings Time.

Weekly Open

The weekly open is Monday at 00:00.

Initial Balance (IB)

In Crypto trading, it is generally accepted that the High and Low of the first hour of each day, 00:00 – 01:00 UTC, is the Initial Balance. It is generally thought of as a zone to set the tone for the rest of the trading session; it is often a time of high volume and volatility, with Stop Hunts at the highs and lows of a range before price moves in one direction or the other. The IB is a Market Profile concept introduced by Peter Steidlmayer. There are several theories on how to trade or whether to trade the IB at all and to use other session opens for IB’s. There is plenty of information on the internet to learn more about IB’s; please do your own research.

Pivot Points - Support & Resistance

Pivot Points (Support & Resistance)

This indicator calculates the pivot levels based on a tested formula involving looking at past and subsequent bars or candles. It displays the two closest to price pivot levels. The pivot formula takes a window of left bars and right bars and finds the highest or lowest value in that window, and that window marches across the bar-set to discover the pivots.

We coded the script to label the levels and colors dynamically, either Support (Green) or Resistance (Red), depending on whether they are above or below price. The primary level line stays with the same color scheme:

Blue = Daily / Yellow = Weekly / Violet = Monthly

As price crosses the level:

1 – The label will switch from Support to Resistance and Resistance to Support

2 – The extender line will switch from Green to Red and Red to Green

3 – The same changes will take place in the Tactical Coordinates Table

VWAP's - Yearly, Monthly, Weekly, Daily

Volume Weighted Average Price (VWAP’s)

VWAP’s are important areas on a chart. Institutional traders generally do not want to move price too far as they enter large buy or sell orders. So they wait for price to reach a tight zone around the VWAP where the majority of transactions occur on the Daily, Weekly or Monthly time frames. In these areas there will be plenty of supply and demand for the institutional trader to execute their trades.

Investopedia – VWAP’s

Average Daily & Weekly Ranges

Average Daily Range (ADR) & Average Weekly Range (AWR)

In Forex, the International Monetary Fund (IMF) controls the allowable weekly swings of a currency’s price. The AWR and ADR perform calculations and dynamically adjust until the range is exceeded, at which time the levels will lock into place for the remainder of the day or week. The accepted theory is that price (even in Stocks and Crypto) will adhere to these and remain within and, if exceeded, revert back.

Psychological Levels

A weekly range established each Saturday evening, that can be thought of as a weekly IB or initial balance.

DisDev Level by Level Table™

We designed this table to provide the user with a view of the levels in the proper price sequence on the chart at all times since, depending on the resolution and zoom levels, it would typically not be possible. The levels are equidistant and do not align with the actual price.

The current price will move vertically through the table according to the actual price and its relative position to the various levels. The levels will change price and lines styles dynamically as well.

The current price rectangle and the border can be in sync with Induction Candle colors to draw more attention to the chart during TVAR events.

The DisDev Level Reducer™

The Level Reducer gives you the ability to declutter your chart but still have the indicator track all the selected levels.

With 4 Lines selected as in the example below, the indicator will give you the nearest four lines above price and the nearest four below price. The Table runs independently of the chart, so if you want to see 8 as in the example, the Table will show eight above and eight below price.

As the current price changes, the lines will dynamically change accordingly.

Part 3 - Oscillators

Oscillators Explained

Oscillators are chart indicators that can assist a trader in determining overbought or oversold conditions in ranging (non-trending) markets.
Many traders use multiple oscillators to confirm range extremes and to determine important entry and exit points.
RSI is a popular oscillator that measures the extent of recent price changes to determine overbought or oversold conditions in an instrument’s price.

Investopedia – Oscillators

Oscillators Combined

The Oscillators indicator completes the Disruptive Developers Tactical Analysis three-part indicator suite. For Part 3, we took the two oscillator indicators used in the Tactical Analysis strategy, looked for areas to improve them based on the strategy, and then combined them into one indicator.

TDI Pro™ by Dean Malone

Dean Malone created this TDI indicator in the early 2000s, and although designed for trading Forex, many have experienced incredible results in all markets. It is a hybrid indicator developed to show market conditions related to trend direction, momentum, and market volatility.

Use the TDI Pro to:

Determine Positive or Negative Sentiment
Confirm Entry and Exit Conditions
Look for Bullish and Bearish Divergence
Look for a favorable trade in the direction of price when Price and Market’s Sentiment align

When Price and Market’s Sentiment diverge, look for a favorable trade in the direction of Sentiment.

WMV - Wave Money VWAP's™

The Wave Money VWAPS is a customized hybrid of four of the most-used oscillators:

WaveTrend Oscillator (WTO)

Money Flow Index (MFI)

Moving Average Convergence Divergence (MACD)

Volume Weighted Average Price (VWAP)

Alerts & Signals

We have designed the oscillator to give off many alerts or signals when certain conditions are present.

Regular and Hidden Divergences
TDI Cross (Price crosses Signal)
MBL Cross(Price crosses the Market Base Line)
TDI Hook – Price goes outside of volatility band and hooks back in
Overbought and Oversold
Money Flow crossing the zero line
VWAP Crossing the zero with Money Flow