chandelier_exit_strategy.pine

// Chandelier Exit Strategy
//
// This script implements the Chandelier Exit strategy, which uses a trailing stop
// based on the Average True Range (ATR) to set the exit price for a long or short 
// position.
//
// Parameters:
//  - atr_periods: number of periods for ATR calculation (default = 22)
//  - atr_multiple: multiple of ATR for stop price calculation (default = 3)

// @version=5
// @author=Dean Grant

indicator(title="Chandelier Exit Stop Technique", shorttitle="Chandelier Exit", overlay=true)

// Set default values for input parameters
atr_periods = input.int(defval=22, minval=1, title="ATR Periods")
atr_multiple = input.int(defval=3, minval=0, title="ATR Multiple")

// Calculate ATR and stop price
atr = ta.atr(atr_periods)
long_stop = ta.highest(high, atr_periods) - atr_multiple * atr
short_stop = ta.lowest(low, atr_periods) + atr_multiple  * atr

// Plot stop line
plot(long_stop, color=color.green, linewidth=2, title="Buy/Long")
plot(short_stop, color=color.red, linewidth=2, title="Sell/Short")