FADE

The base signal. An overextension ends while price is still in the zone and the trend is strong against the signal.

Applies to Meanward Revert Signals v1.10Open app

FADE is an entry against an exhausted move. Labels: S-FADE above the bar, L-FADE below it. It's also the anchor of CONSENSUS.

How it works

Three conditions on the same bar:

The overextension just ended. Price had pushed into the far end of the channel with momentum at an extreme. That state was on for the previous bar and is off on this one (see the highlight below).
Price is still in the zone. The bar's close is past the edge of the selected zone, moved further out by Zone edge offset (%).
The trend is strong against the signal. S-FADE needs a strong bullish trend, the move it proposes to fade; L-FADE needs a strong bearish one. Strong means the moving averages, the directional movement and ADX all agree.

On top of that, the signal has to pass the anti-spam.

The trend check always uses the manual periods from Trend filters: Fast MA period, Slow MA period, ADX period and ADX trend strength level (20, 50, 14 and 25 by default). The timeframe auto-periods don't touch it, and MACD isn't part of it. Only Use trend filters switches it off.

FADE events are computed whether or not the labels are shown. CONSENSUS and the alerts are built on the events.

Overextension highlight

Red and green fills across the channel while an overextension holds

The fill covers the channel between the deep zone edges for as long as the overextension holds: red for an overextension up (an S-FADE is maturing), green for one down (L-FADE). The fill is the armed state. The signal comes on the bar where the fill breaks off while the close is still in the zone.

Settings

Group ⚡ FADE — base signal.

Input	Default	What it does
Show FADE signals	on	Shows the `S-FADE` / `L-FADE` labels. Events for CONSENSUS are computed either way.
FADE zone	`Off`	FADE's own depth zone, on the same scale as General. `Off` means the general zone is used.
Zone edge offset (%)	0.0	Moves the zone edge N% further from the mean, so the close has to go deeper. Higher: stricter, fewer signals.
Price filter	on	Lets a repeat signal through before the bar pause if price moved far enough from the previous one. See Anti-spam.
Price filter threshold (%)	1.0	The price move from the previous signal needed for that early pass.
Min bars between signals	5	The minimum pause between FADE signals: the next one can fire only after strictly more than N bars. Lower: more frequent.
Highlight overextension	on	Shows the overextension fill. Visual only.
Highlight transparency	80	0 is a solid fill, 100 is invisible.

Notes

The label sits 0.6 × (high − low) above or below the bar.
Turn the trend filters off and FADE fires against any trend, including a quiet one. That's more labels and a different signal, not a looser version of the same one.