Signal Chart

Signal Chart is one of the key features in the Pine Algo [Psyll] strategy structure, responsible for visually presenting entry and exit points as well as the overall dynamics of the signal generated by the indicator. It allows users to easily track the algorithm’s behavior in real time and analyze its decisions during backtesting.

Elements of the chart:

Signal line (orange line) - the main signal line representing the raw output of the algorithm. It shows market movement dynamics over time and highlights potential buy or sell signals. Its fluctuations reflect the rhythm of the strategy, and crossings with the baseline often indicate a trend reversal.

Signal validator line (white line) - a filtered version of the signal line that incorporates additional conditions and filters (e.g., plugins, confirmations, trade direction). Its purpose is to eliminate false signals and display only those moments accepted by the strategy. It can be treated as a confirmation filter for actual entries and exits.

Entry Signal (blue dots) - moments when the strategy can opens a position (entry signal). Each dot represents a confirmed bullish signal in line with the strategy’s direction, e.g., a long entry after trend confirmation.

Exit Signal (pink dots) - signals for closing positions (exit). They indicate points where the strategy determined that the signal was negated or a defined exit level was reached.