A 20-day simple moving average indicator that plots profit target labels at various percentage levels above a custom buy price, helping traders visualize potential profit zones.
Explore complementary indicator rolesHow it works
The indicator calculates a 20-day simple moving average (SMA) and plots it directly on the price chart to provide a trend baseline. Users can input a custom buy price, and the script automatically generates profit target labels at predefined percentage levels of 10%, 20%, 30%, and 50% above the initial entry point.
These profit target labels are strategically positioned on the last bar of the chart, offset to the right to prevent overlap with price action. Each label represents a specific profit milestone, allowing traders to visualize potential exit points and profit scenarios based on their initial buy price.
Why it may be useful
This indicator provides traders with a clear visual representation of potential profit levels, helping them set realistic expectations and develop disciplined trading strategies. By mapping out specific percentage-based targets, traders can make more informed decisions about potential trade outcomes and manage their risk more effectively.
The combination of the 20-day moving average and profit target labels offers a comprehensive view of both trend direction and potential profit zones. This approach helps traders maintain a structured approach to trade management, reducing emotional decision-making and promoting a more systematic trading methodology.
When to explore it
This indicator is most effective in trending markets where price movements are relatively consistent and predictable. It works particularly well for traders who prefer a systematic approach to setting profit targets and want a visual guide for potential trade outcomes.
Traders can utilize this tool across various timeframes, though it is especially useful for day trading and swing trading strategies. It is particularly beneficial for traders who want to establish clear profit objectives before entering a trade and maintain a disciplined approach to trade management.
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What we’ve verified
Access, alerts and repainting behaviour have not been independently verified for this indicator. Check the creator’s current publication and settings.
General descriptions and classifications are recovered research. Verified details above identify the specific checks we have completed. Check the creator’s current publication for later changes.
