The Pullback Indicator defines how much a stock has retraced off of its low or high (depending on if it’s an up day or down day). The retracement is expressed in terms of a percent of the stock’s total movement for the day. So if it opens at 9.75, reaches a high at 10, then a low at 9, before climbing back up to 9.50 to close, then the retracement off the low of $0.50 is 1/2 the daily range of $1, or a 50% pullback from the extreme of the move (a reading of .5 on the indicator). The reverse would be true if it were an up day: the retracement would be the percent of the daily range that it has pulled back from the high, which on an up day is considered the extreme of the move.
This indicator can be used either as a lower study on a chart, or as a custom quote column in a watchlist or scan.
Hi guys, I’m Josiah, and I’m a trader/programmer from the Nashville, TN area. I recently finished up both a bachelor’s and a master’s degree in Computer Information Systems at a local university and have been self-employed since then, trading and developing projects with Ruby on Rails on the side. Since I was already familiar with a certain amount of programming, and had an active interest in trading and investing, learning ThinkScript — the scripting language for the ThinkOrSwim platform — made a lot of sense, and helped me develop a platform configuration that really streamlined my trading workflow.
About the ThinkScripts
These basically came about because I got so frustrated with the limited built-in capabilities in TOS, and standalone subscription services that charge $99+/month. So I decided to learn ThinkScript so I could develop indicators and scans for myself. I still use most of these thinkscripts every day while trading.
Email me here or leave a comment below!