Indicators - Free Alpha

Scalper’s Volatility Filter

Spot elevated volatility immediately. Know when to focus on trend following or mean reverting systems. Increase your profitability.

Introduction

The inherent decrease in the signal-to-noise ratio when trading on lower timeframes can significantly lower scalpers’ win rates. It gets increasingly challenging to spot the dominant market condition – trending or ranging.

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Trying to trade with indicators or systems focused on mean reversion in a trending environment can quickly wipe out positions. This costs time, opportunity, and money.

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To shield your funds, the 𝒮𝒸𝒶𝓁𝓅𝑒𝓇'𝓈 𝒱𝑜𝓁𝒶𝓉𝒾𝓁𝒾𝓉𝓎 𝐹𝒾𝓁𝓉𝑒𝓇 (𝒮𝒱𝐹) signals which market condition is dominant.

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Your Benefits
  • Solve the first principle problem: Decide between a trending or ranging market.
  • See a token’s relative volatility right away, know when to trade and when not to.
  • The 𝒮𝒱𝐹 shows quickly, use it to skim through your lists of tokens rapidly to find what you need even quicker.

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While the 𝒮𝒱𝐹 is not meant to trade alone with, this filter should not be missing in any complete toolset. Your additional edge is the signal of when or where to trade and when to avoid a specific token – for better opportunities on another.

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You can click below to add this filter to your toolbox and screen your entries – all for free!

Performance Highlights
In combination with Quantra’s 𝐍𝐍𝐓 𝐑𝐒𝐈 our 𝒮𝒱𝐹 confirmed an entry, so that we realized a Risk/Reward Ratio of 3. Afterwards it does what it does best: Improve our win ratio. Here we used the 𝒮𝒱𝐹 to filter out two trades - which would have become losing trades without it!

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Improve your winratio as well and add the 𝒮𝒱𝐹 to your toolbox!

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How to use