Pine Script is a powerful programming language for creating custom technical indicators and automated trading strategies on the TradingView platform. It allows traders to backtest strategies using historical data, optimize them before live trading, and automate trades to capitalize on market opportunities. The language is easy to learn for beginners, yet offers advanced features for experienced traders. With numerous online resources and a supportive community, mastering Pine Script can help traders develop and refine strategies tailored to their specific needs.
Standard charting indicators, while useful, are limited and not customizable leaving the trader in the back seat of their trades. On the other hand, parametric trading is about having full control over your trade parameters, adjustments and management. Your trade execution is no longer decided for you by a generic indicator trigger. Building your own tools allows you to not only decide which indicators/analysis you’d like to apply to your chart but do so with granularity and control over *how* the indicators and analysis are applied. For trade management this becomes paramount as you can automate and control trading decisions according to your rules as the trade progresses in response to real time price action, not your theoretical analysis before the trade started.
“The first effective feedback system is measurement. The things we measure are the things we improve. This holds true for the number of pages we read, the number of pushups we do, the number of sales calls we make, and any other task that is important to us. It is only through measurement that we have any proof of whether we are getting better or worse.”
I’m a firm believer that if you want to improve something, start by measuring it. For traders this means journaling. Record each of your trades BEFORE you enter. Screenshot both the timeframe of the trade and high timeframes. Explain why you are entering the trade – list the pros and cons. Note your mental state. Then when the trade is complete add a screenshot of the finished trade. Note your win or loss amount. Note the maximum run up of the trader before you exited. A journal like this allows you to track your trades, measure your successes and your challenges, and begin to identify patterns to your trading style.
Ed Jordan
Ed Jordan
Ed Jordan
