Filter rule down event
Marks when price drops a set percentage below its highest close of the last N bars.
For each bar it takes the highest close of the last k bars, the current bar included. The output is on while the close sits more than down below that high, where down is a fraction (0.01 is 1%). It is a level test, not a crossover, so it stays on for every bar the dip lasts.
How to read it
- Markers sit on the candles whose close is at least the set depth below the recent high.
- One dip usually shows as a run of consecutive markers, not a single one. The run ends when the close recovers to within the threshold of the high.
- At default settings (k 50, down 1%) it is rare: on the September 2026 SPY sample it was on for about 23 bars, in one dip.
- Read it as a pullback marker, not a reversal signal on its own.
What it outputs
- Dip below recent high
- On for each bar whose close is more than down below the highest close of the last k bars.
When it fires
The close is more than down below the highest close of the last k bars, the current bar included. It marks a pullback from a recent peak, not a confirmed reversal. Under default settings this happens rarely.
Settings
- k
- How many bars the peak is taken over, the current bar included. A longer window reaches a higher peak, so more bars drop far enough below it to qualify. At 1 the peak is the current close and it never fires with a positive down.
- down
- Depth of the dip as a fraction of the peak; 0.01 is 1% below it. Raising it makes the test stricter and rarer. At 0 it fires on nearly every bar that is not at the window high; below 0 it is always on, because the threshold sits above the peak.
Pitfalls
- The output is a state, not an event: one dip marks every bar that meets the test, so counting markers overstates how many dips occurred.
- At default settings it fired once in the September 2026 SPY sample (about 23 bars), so it will look almost empty; the try presets loosen it.
- The parameter range allows a negative down, which makes the output always on. Keep down at 0 or above.