Multi-Factor Alerts Overview

What are Multi-Factor Alerts?

Multi-Factor Alerts make it easy to mix-and-match conditions from different indicators and timeframes into a single powerful alert without any programming. Our platform automatically monitors these complex conditions and sends an alert via SMS or email.

Multi-Factor Alerts for indicators with multiple time frames enable you to:

  1. Combine entities (indicators or candles) across different time frames.
  2. Have more than a single condition in the alert.

For example, you could create an alert that triggers when the Relative Strength Index (RSI) to be below 40 on the 5-minute, 1-hour and daily timeframes, at the same time. The same alert could also look for two moving averages that cross on a fourth time frame. TrendSpider makes it trivial to create these kinds of complex alerts that enable advanced trading strategies.

MTFA Overview

It’s going to work in a straightforward manner, but there are couple things you need to know.

Extended Sessions

Multi-Factor alerts never use extended market session data. In order to check the conditions, Multi-Factor alerts “build the chart” under the hood, then add all the necessary indicators and then check if your criteria is true.

When Multi-Factor Alerts Fire

Under the hood, our alerts check out the market on a regular basis. “How often” — depends on time frames involved in yoru conditions. I.e., if the smallets time frame in your alert is 15min, then the alert will be catching up with the market every once in 15 minutes: precisely, when 15min candle closes.

Special case: X Crossed Y

TrendSpider uses the last calculated data point on the larger time frame for the alert. For example, when you create an alert for a SMA crossover, such as the 15-min SMA 5 and the 1-hour SMA 15. The alert will go off when the SMA 15 crosses the last know data point for the 1-hour SMA 15.

Note: This may cause some issues when adding multiple conditions on smaller time frames alongside extremely large ones. For example, the alert below fires when the 5-min Stochastic K has crossed above the 5-min Stochastic D. In addition, the 5-min Stochastic D needs to be less than 20 and the 1-hour SMA 5 needs to greater then the 1-hour SMA 15. The alert in this picture appears to have misfired, but upon closer inspection, the algorithm works.

The alert correctly because it used an old data point from the 1-hour SMA 15 and 1-hour SMA 5. At the time the alert went off, the SMA 5 was greater then the SMA 15. Upon the closing of the 1-hour candle, the condition became untrue, which led to the apparent miss fire of the alert. This issue does not happen very often, but it is something to be aware of when creating these types of alerts.