Reversal Arrows (formerly called HOLB/LOHB)

Available On: ThinkorSwim, TradeStation, TradingView

How Do We Use It?

The Reversal Arrows pinpoint reversals and breakouts in almost any timeframe. Whether you use these precision arrows as an entry or an exit tool, you will be able to catch dramatic moves in this volatile market with the potential for exponential gains and limited risk.

The Reversal Arrows have the robust calculations behind it to display areas where you can expect price to pull a reversal as it is potentially extended from its moving average. When price gets far enough away from it’s comfort zone, you will typically see an arrow appear and then notice a trend change back to or beyond the moving average. This indicator provides key opportunities to take advantage of extended price levels and helps to time entries in trend markets.

What does it do:
The Reversal Arrow Indicator:

  • provides key opportunities to take advantage of extended price levels and helps to time entries in trend markets,
  • display areas where you can expect price to pull a reversal as it is potentially extended from its moving average,

How to read the indicator:

When price gets far enough away from it’s ‘comfort zone’, you can exptypically see an arrow appear and then notice a trend change back to or beyond the moving average. Once you have the indicator installed and loaded onto your charts, you will notice two pieces of key information. There is a price channel tracking a moving average and there are arrows indicator opportunities for trend reversals.

  • Price Channel – Tracks your moving average as a way to determine if price is extended and due for a potential reversion to the mean.
  • Moving Average – Level where price tends to revert back to when price is extended.
  • Green Arrows – Signals you that the price is near a point in time where it will experience a bullish trend change.
  • Red Arrows – Signals you that the price is near a point in time where it will experience a bearish trend change.