STC Trading Guide

The Schaff Trend Cycle is a quantitative technical analysis tool. STC - Schaff Trend Cycle Logic: 1. MACD = EMA(Fast) - EMA(Slow)

What does the indicator show?

• Market Structure & Momentum: Visualizes prevailing trend directions and key reversal zones.
• BUY / SELL Signals: Highlights confirmed entry and exit opportunities based on quantitative rules.
• Dynamic Boundaries: Provides adaptive levels for managing trade risk and reward expectations.

Key Settings

• Cycle Length (cycle): Controls the calculation period and sensitivity for market detection.
• Fast EMA Length (fast): Controls the calculation period and sensitivity for market detection.
• Slow EMA Length (slow): Controls the calculation period and sensitivity for market detection.
• STC (stc): Controls the calculation period and sensitivity for market detection.
• STC Line (_stc): Controls the calculation period and sensitivity for market detection.
• Signal (signal): Controls the calculation period and sensitivity for market detection.
• Upper Level (upper): Controls the calculation period and sensitivity for market detection.
• Lower Level (lower): Controls the calculation period and sensitivity for market detection.
• STC Value (stc): Controls the calculation period and sensitivity for market detection.
• Signal (signal): Controls the calculation period and sensitivity for market detection.

How to use Strategy Parameters (Condition Source)

Within the Strategy Tester module, this indicator can be used both as a direct signal source and as a market-state filter.

1. Signal Events

• buySignal - Fires when a bullish market condition is confirmed.
• sellSignal - Fires when a bearish market condition is confirmed.
• signalDir - Outputs 1 for bullish, -1 for bearish, and 0 when neutral.

2. Filters and Trade Levels

• cycle - Cycle Length value used for structural qualification or thresholds.
• fast - Fast EMA Length value used for structural qualification or thresholds.
• slow - Slow EMA Length value used for structural qualification or thresholds.
• stc - STC value used for structural qualification or thresholds.
• _stc - STC Line value used for structural qualification or thresholds.
• signal - Signal value used for structural qualification or thresholds.
• upper - Upper Level value used for structural qualification or thresholds.
• lower - Lower Level value used for structural qualification or thresholds.
• stc - STC Value value used for structural qualification or thresholds.
• signal - Signal value used for structural qualification or thresholds.

Strategy Example: Enter Long when buySignal is true and trendFilter == 1, ensuring trades align with dominant momentum.