//@version=4
strategy("Hammer Strategy", shorttitle="HS", overlay=true, initial_capital=10000)
//Determine up or down trend
TEMA(length) =>
    if (length > 0)
        ema1 = ema(close, length)
        ema2 = ema(ema1, length)
        ema3 = ema(ema2, length)
        (3 * ema1) - (3 * ema2) + ema3
    else
        na
        
temaVal1 = TEMA(200)
uptrend = (close > temaVal1) and (temaVal1 > temaVal1[1])
//Patterns
bodyheight = abs(close[0] - open[0])
shadowlength = 1.5*bodyheight
hammer = not uptrend and bodyheight > 0 and low[0]<(open[0] - shadowlength) and high[0] < (close[0] + bodyheight/2)
hanging_man = uptrend and bodyheight > 0 and low[0]<(close[0] - shadowlength) and high[0] < (open[0] + bodyheight/2)
SignalUp = hammer
SignalDown = hanging_man
var longStopPrice=0.0
var shortStopPrice=0.0
//Trailing Stoploss Factor
factor = 0.0002
//GOING LONG
if(SignalUp and strategy.position_size == 0)
    atr = atr(40)
    longStopPrice := close[0] * (1-factor)
    //max 1% loss per trade
    //divide by 100 to get 1% max loss and divide again for leverage
    qty = ((strategy.equity / 100) / 100)  / (close - longStopPrice)
    strategy.entry("long", true, qty=qty)
//GOING SHORT
if(SignalDown and strategy.position_size == 0)
    atr = atr(40)
    shortStopPrice := close[0] * (1+factor)
    //max 1% loss per trade
    //divide by 100 to get 1% max loss and divide again for leverage
    qty = ((strategy.equity / 100) / 100)  / (shortStopPrice - close[0])
    strategy.entry("short", false, qty=qty)
//TRAILING STOP LOSS LONG
longStopPrice := if (strategy.position_size > 0)
    stopValue = close * (1 - factor)
    max(stopValue, longStopPrice[1])
else
    0
shortStopPrice := if (strategy.position_size < 0)
    stopValue = close * (1 + factor)
    min(stopValue, shortStopPrice[1])
else
    999999
    
    // Plot stop loss values for confirmation
plot(series=(strategy.position_size > 0) ? longStopPrice : na,
     color=color.fuchsia, style=plot.style_cross,
     linewidth=2, title="Long Trail Stop")
plot(series=(strategy.position_size < 0) ? shortStopPrice : na,
     color=color.red, style=plot.style_cross,
     linewidth=2, title="Short Trail Stop")
if (strategy.position_size > 0)
    strategy.exit("TP or SP", "long", stop=longStopPrice)
if (strategy.position_size < 0)
    strategy.exit("TP or SP", "short", stop=shortStopPrice)