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// This source code is subject to the terms of the Mozilla Public License 2.0 at https://mozilla.org/MPL/2.0/
// © ZenAndTheArtOfTrading / www.pinescriptmastery.com
// Dynamic Structure Indicator v2.0
// Last Updated: 8th January, 2021
// @version=4
study("Dynamic Structure Indicator v2.0", shorttitle="DSI", overlay=true)

// Get user input
atrMovement = input(title="ATR Movement Required", type=input.float, defval=1.0)
lookback = input(title="High/Low Lookback", type=input.integer, defval=25, step=5)
maxZoneSize = input(title="Max Zone Size (Compared to ATR)", type=input.float, defval=2.5, step=0.5)
newStructureReset = input(title="Zone Update Count Before Reset", type=input.integer, defval=25, step=5)
drawPreviousStructure = input(title="Draw Previous Structure", type=input.bool, defval=true)

// Get current ATR value
atr = atr(14)

// Get highest body and lowest body for the current candle
highestBody = open > close ? open : close
lowestBody = open > close ? close : open

// Set up our persistent S&R variables (1 = the wick and 2 = the body)
var res1 = 0.0
var res2 = 0.0
var sup1 = 0.0
var sup2 = 0.0
var lookForNewResistance = true
var lookForNewSupport = true

// Set up our *previous* support & resistance variables (for drawing support-turned-resistance etc)
var previousRes1 = 0.0
var previousRes2 = 0.0
var previousSup1 = 0.0
var previousSup2 = 0.0

// Set up our ATR variables (for identifying significant declines/rallies to validate S&R zones)
var atrSaved = 0.0
var potentialR1 = 0.0
var potentialR2 = 0.0
var potentialS1 = 0.0
var potentialS2 = 0.0

// Detect fractal swing highs for resistance
// We're looking for this pattern: .|.
if high[1] == highest(high, lookback) and high < high[1] and lookForNewResistance
    r1 = high[1]
    r2 = highestBody[2] > highestBody[1] ? highestBody[2] : highestBody > highestBody[1] ? highestBody : highestBody[1]
    if (r1 - r2) / atr <= maxZoneSize
        lookForNewResistance := false
        potentialR1 := r1
        potentialR2 := r2
        atrSaved := atr
    
// Detect fractal swing lows for support
// We're looking for this pattern: *|*
if low[1] == lowest(low, lookback) and low > low[1] and lookForNewSupport
    s1 = low[1]
    s2 = lowestBody[2] < lowestBody[1] ? lowestBody[2] : lowestBody < lowestBody[1] ? lowestBody : lowestBody[1]
    if (s2 - s1) / atr <= maxZoneSize
        lookForNewSupport := false
        potentialS1 := s1
        potentialS2 := s2
        atrSaved := atr
        
// Check if potential resistance zone has already been violated. If it has, reset our potential R1 & R2
if close > potentialR1 and barstate.isconfirmed
    potentialR1 := na
    potentialR2 := na
    
// Check if potential support zone has already been violated. If it has, reset our potential S1 & S2
if close < potentialS1 and barstate.isconfirmed
    potentialS1 := na
    potentialS2 := na
        
// Check if we've had a significant decline since detecting swing high
if potentialR1 - low >= (atrSaved * atrMovement)
    previousRes1 := na(previousRes1) ? potentialR1 : previousRes1 // Store previous resistance if we're not already drawing it
    previousRes2 := na(previousRes2) ? potentialR2 : previousRes2
    res1 := potentialR1
    res2 := potentialR2
    potentialR1 := na
    potentialR2 := na
        
// Check if we've had a significant rally since detecting swing low
if high - potentialS1 >= (atrSaved * atrMovement)
    previousSup1 := na(previousSup1) ? potentialS1 : previousSup1 // Store previous support if we're not already drawing it
    previousSup2 := na(previousSup2) ? potentialS2 : previousSup2
    sup1 := potentialS1
    sup2 := potentialS2
    potentialS1 := na
    potentialS2 := na
        
// Declare support & resistance update counters 
// This is used for forcing a zone reset if a zone is not violated within a reasonable period of time
var supCount = 0
var resCount = 0
    
// If the previous resistance high has been violated then begin searching for a new resistance zone
if close >= res1 and barstate.isconfirmed
    lookForNewResistance := true
    lookForNewSupport := true
    resCount := resCount + 1
    
// If the previous support low has been violated then begin searching for a new support zone
if close <= sup1 and barstate.isconfirmed
    lookForNewSupport := true
    lookForNewResistance := true
    supCount := supCount + 1
    
// If our current resistance zone has been violated, store its values to draw new *potential* support zone
// The idea being that once a major resistance zone is violated it often becomes future support
// But we only save previous S&R if we don't already have one saved (or our zone update count exceeds newStructureReset)
if (close > res1 and na(previousRes1) and barstate.isconfirmed) or previousRes1 == 0.0 or supCount >= newStructureReset
    previousRes1 := res1
    previousRes2 := res2
    supCount := 0
    
// If our current support zone has been violated, store its values to draw new *potential* resistance zone
// The idea being that once a major support zone is violated it often becomes future resistance
// But we only save previous S&R if we don't already have one saved (or our zone update count exceeds newStructureReset)
if (close < sup1 and na(previousSup1) and barstate.isconfirmed) or previousSup1 == 0.0 or resCount >= newStructureReset
    previousSup1 := sup1
    previousSup2 := sup2
    resCount := 0
    
// If our resistance-turned-support zone has been violated, reset our saved resistance variables
if close < previousRes2 and barstate.isconfirmed
    previousRes1 := na
    previousRes2 := na
    
// If our support-turned-resistance zone has been violated, reset our saved support variables
if close > previousSup2 and barstate.isconfirmed
    previousSup1 := na
    previousSup2 := na

// Draw our current resistance zone
r1 = plot(res1 == res1[1] ? res1 : na, color=close >= res1 ? color.green : color.red, style=plot.style_linebr, title="R1")
r2 = plot(res1 == res1[1] ? res2 : na, color=close >= res1 ? color.green : color.red, style=plot.style_linebr, title="R2")
fill(r1, r2, color=close > res1 ? color.green : color.red, transp=50, title="Resistance Zone")

// Draw our current support zone
s1 = plot(sup1 == sup1[1] ? sup1 : na, color=close < sup1 ? color.red : color.green, style=plot.style_linebr, title="S1")
s2 = plot(sup1 == sup1[1] ? sup2 : na, color=close < sup1 ? color.red : color.green, style=plot.style_linebr, title="S2")
fill(s1, s2, color=close < sup1 ? color.red : color.green, transp=50, title="Support Zone")

// Draw our previous support zone (turned potential resistance)
ps1 = plot(previousSup1 == previousSup1[1] and previousSup1 != sup1 and drawPreviousStructure ? previousSup1 : na, color=color.red, style=plot.style_linebr, title="PS1")
ps2 = plot(previousSup1 == previousSup1[1] and previousSup1 != sup1 and drawPreviousStructure ? previousSup2 : na, color=color.red, style=plot.style_linebr, title="PS2")
fill(ps1, ps2, color=color.red, transp=10, title="Previous Support Zone")

// Draw our previous resistance zone (turned potential support)
pr1 = plot(previousRes1 == previousRes1[1] and previousRes1 != res1 and drawPreviousStructure ? previousRes1 : na, color=color.green, style=plot.style_linebr, title="PR1")
pr2 = plot(previousRes1 == previousRes1[1] and previousRes1 != res1 and drawPreviousStructure ? previousRes2 : na, color=color.green, style=plot.style_linebr, title="PR2")
fill(pr1, pr2, color=color.green, transp=10, title="Previous Resistance Zone")

// Check alert conditions
alertResistance = high >= res2
alertSupport = low <= sup2
alertResistanceBO = close >= res1
alertSupportBO = close <= sup1

// Trigger alerts
alertcondition(alertResistance or alertSupport or alertResistanceBO or alertSupportBO, title="[DSI] Alert!", message="DSI alert for {{ticker}}")
alertcondition(alertResistance, title="[DSI] Resistance Alert", message="Price has entered current potential resistance zone for {{ticker}}")
alertcondition(alertSupport, title="[DSI] Support Alert", message="Price has entered current potential support zone for {{ticker}}")
alertcondition(alertResistanceBO, title="[DSI] Resistance Breakout", message="Price has broken past potential resistance zone for {{ticker}}")
alertcondition(alertSupportBO, title="[DSI] Support Breakout", message="Price has broken past potential support zone for {{ticker}}")