generating-trading-signals

# Generating Trading Signals

## Overview

Multi-indicator signal generation system that analyzes price action using 7 technical indicators and produces composite BUY/SELL signals with confidence scores and risk management levels.

**Indicators Used:**
- RSI (Relative Strength Index) - Overbought/oversold
- MACD (Moving Average Convergence Divergence) - Trend and momentum
- Bollinger Bands - Mean reversion and volatility
- Trend (SMA 20/50/200 crossovers) - Trend direction
- Volume - Confirmation of moves
- Stochastic Oscillator - Short-term momentum
- ADX (Average Directional Index) - Trend strength

## Prerequisites

Install required dependencies:

```bash
pip install yfinance pandas numpy
```

Optional for visualization:
```bash
pip install matplotlib
```

## Instructions

### Step 1: Quick Signal Scan

Scan multiple assets for trading opportunities:

```bash
python {baseDir}/scripts/scanner.py --watchlist crypto_top10 --period 6m
```

Output shows signal type (STRONG_BUY/BUY/NEUTRAL/SELL/STRONG_SELL) and confidence for each asset.

### Step 2: Detailed Signal Analysis

Get full indicator breakdown for a specific symbol:

```bash
python {baseDir}/scripts/scanner.py --symbols BTC-USD --detail
```

Shows each indicator's contribution:
- Individual signal (BUY/SELL/NEUTRAL)
- Indicator value
- Reasoning (e.g., "RSI oversold at 28.5")

### Step 3: Filter and Rank Signals

Find the best opportunities:

```bash
# Only buy signals with 70%+ confidence
python {baseDir}/scripts/scanner.py --filter buy --min-confidence 70 --rank confidence

# Rank by most bullish
python {baseDir}/scripts/scanner.py --rank bullish

# Save results to JSON
python {baseDir}/scripts/scanner.py --output signals.json
```

### Step 4: Use Custom Watchlists

Available predefined watchlists:

```bash
python {baseDir}/scripts/scanner.py --list-watchlists
python {baseDir}/scripts/scanner.py --watchlist crypto_defi
```

Watchlists: `crypto_top10`, `crypto_defi`, `crypto_layer2`, `stocks_tech`, `etfs_ma