The Start Bots Signal category describes signals and indicators that can start a trading bot. One of the technical indicators is TD Sequential.
When creating or editing any bot, there is a Start signal builder block at the bottom of settings. You can choose individual indicators, ready-made presets, and their combinations. Conditions are grouped: AND inside a group, OR between groups. The same indicator can be configured in different ways - for Long and Short, for breakouts and bounces, for level comparisons and for crosses.
What is TD Sequential
TD Sequential is Tom DeMark’s indicator for spotting trend exhaustion and potential reversals. Unlike oscillators, it does not measure overbought conditions as a percentage - it counts a sequence of bars that meet strict rules comparing the current close to the close four bars ago.
The core idea is the Setup phase: when the market confirms one-sided pressure nine times in a row (for Buy Setup - closes less than or equal to the close four bars ago; for Sell Setup - greater than or equal), impulse is considered exhausted and a bounce or reversal may follow. In the ELIXOAI start signal builder, TD Sequential triggers automatic bot starts on Setup completion, Flip signals, or output state changes.
The indicator has no adjustable parameters in TAAPI: logic is fixed per DeMark’s methodology. That makes it predictable but calls for filters - trend (EMA), oscillator (RSI), or higher timeframe - especially in ranges where Setups form often without a strong reversal.
TD Sequential vs RSI and Supertrend
All three tools help catch reversals, but with different logic:
- RSI normalizes move strength into a 0–100 scale and signals overbought/oversold at fixed levels (30/70). RSI reacts to price speed but does not count bar sequences by DeMark rules.
- Supertrend trails price via ATR and shows current trend mode Long/Short. Supertrend suits holding in a trend; TD Sequential better marks the end of a series of one-sided closes - a potential turn after the 9th Setup bar.
- TD Sequential delivers discrete events: Buy/Sell Setup completion (bool), Flip signals (bullishFlip/bearishFlip), and current counters (buySetupIndex/sellSetupIndex from 1 to 9). Ideal for “buySetup eq true” or “bullishFlip changed_to true” - a clear event moment, not a continuous level.
Tom DeMark Setup logic
The calculation compares the current candle Close with Close[4] - the close four bars ago:
- Buy Setup - on each bar Close ≤ Close[4]. Counter buySetupIndex rises from 1 to 9. When the ninth bar qualifies, buySetup = true - classic potential bottom signal after a series of bearish closes.
- Sell Setup - on each bar Close ≥ Close[4]. Counter sellSetupIndex rises to 9. On the ninth bar sellSetup = true - potential top after a series of bullish closes.
- Flip (bullishFlip / bearishFlip) - additional boolean reversal signals in TD Sequential logic: bullishFlip points to a bullish turn after Setup, bearishFlip to a bearish turn. Useful for more precise entries than Setup completion alone.
In the builder you set a comparison condition on the chosen output: “buySetup equals true,” “sellSetup changed to true,” “bullishFlip eq true,” and so on. The system fetches values from the exchange via TAAPI on your timeframe - default 15m, check at bar close. TD Sequential has no period or multiplier parameters.
Indicator outputs
TD Sequential has six outputs in the builder - pick the one you need:
- buySetup (bool): true when Buy Setup completes (9th bar). Main output of preset tdseq_buy_setup. Long after a series of bearish closes.
- sellSetup (bool): true when Sell Setup completes. Main output of preset tdseq_sell_setup. Short after a series of bullish closes.
- bullishFlip (bool): bullish Flip signal - potential upward reversal moment. Use eq true or changed_to true for entry on the turn.
- bearishFlip (bool): bearish Flip - potential downward reversal. Fits Short entries or Long exits.
- buySetupIndex (number): current Buy Setup counter (1–9). Early filters possible - e.g. buySetupIndex eq 8 as “almost complete” Setup (caution: false triggers).
- sellSetupIndex (number): current Sell Setup counter (1–9). Same for bearish Setup - track progress before sellSetup = true.
Ready-made presets in the builder
The builder offers two TD Sequential presets with default settings. Each can be fully customized: different output (Flip, Index), changed_to operator, or timeframe. The indicator has no configurable parameters.
TD Sequential Buy Setup (tdseq_buy_setup)
Default condition: buySetup equals true (eq) on the selected timeframe (15m interval, check at bar close).
Long signal on Buy Setup completion: nine consecutive bars with Close ≤ Close[4] - the market “tired” of falling, bounce or upward reversal possible. Unlike bullishFlip, the preset fires on the Setup’s final bar. For a one-time start use changed_to true instead of eq true - the bot won’t restart while buySetup stays true on following candles.
TD Sequential Sell Setup (tdseq_sell_setup)
Default condition: sellSetup equals true (eq) on the selected timeframe (15m interval, check at bar close).
Short signal on Sell Setup completion: nine bars with Close ≥ Close[4] - bullish impulse exhausted, correction or downward reversal possible. Symmetric to Buy Setup. For Short on Flip, set output bearishFlip eq true or changed_to true.
Available operators- Equals (eq): output strictly equals true (or false if target false). Preset classic - buySetup eq true, sellSetup eq true, bullishFlip eq true.
- Not equal (neq): output does not equal target - filter “sellSetup neq true” on higher TF to avoid Long against active Sell Setup on 4h.
- Changed to (changed_to): output just became true - one-shot trigger: buySetup changed_to true, bullishFlip changed_to true. Fewer repeat starts than eq true across multiple candles.
- Changed from (changed_from): output stopped being the previous value - fine-tuning transitions, e.g. sellSetup changed_from true after bearish Setup ends.
gt/lt/cross operators are not available for TD Sequential: all outputs are bool (Setup, Flip) or Index counters. Index can use eq 9 in custom conditions, but presets focus on bool outputs and changed_to.
General builder settings
- Timeframe (interval): 1m, 5m, 15m, 30m, 1h, 4h, 1d. Shorter intervals give more signals but more noise. Swing bots often use 1h–4h; scalping uses 5m–15m.
- Check mode: At candle close checks after the candle closes - fewer false triggers. Every minute checks inside the current candle - faster reaction, higher false-start risk.
- Operator: greater than, less than, crosses above, crosses below, greater or equal, and others define how the indicator value is compared to the target.
- Target value: a number (e.g. 30 for RSI), an indicator line (e.g. %D for Stochastic), or price (for Bollinger Bands).
- Condition groups: up to 3 groups with up to 5 conditions each. Example: group 1 - RSI < 30 AND price < lower band; group 2 - Stochastic < 20. The bot starts if group 1 OR group 2 is satisfied.
Setup examples for different strategies
Classic Long: Buy Setup on 15m
Goal: start the bot on Buy Setup completion.
Long: preset tdseq_buy_setup, buySetup eq true, 15m, check at bar close.
Alternative: buySetup changed_to true - one start on the 9th bar without repeats.
Classic counter-trend entry after extended decline.
Classic Short: Sell Setup on 15m
Goal: Short after bullish impulse exhaustion.
Short: preset tdseq_sell_setup, sellSetup eq true, 15m, check at close.
Alternative: sellSetup changed_to true for one-shot trigger.
Fits short grids at local tops.
Bullish Flip - precise Long
Goal: enter on Flip instead of or after Setup.
Long: bullishFlip changed_to true on 15m.
Filter: buySetup eq true on same 15m OR buySetupIndex gte 7 - Flip near completed Setup.
Flip often gives a clearer reversal moment than the 9th Setup bar alone.
Bearish Flip - Short on the turn
Goal: Short on bearish Flip.
Short: bearishFlip changed_to true on 15m.
Filter: sellSetup eq true AND RSI > 55 - Flip after overbought.
Sell Setup + bearishFlip combo reduces false shorts in strong uptrends.
changed_to instead of eq - one-time start
Long: buySetup changed_to true on 1h - bot starts once when Setup appears, not every candle while flag stays true.
Short: sellSetup changed_to true on 1h.
On some feeds buySetup may stay true several bars - changed_to avoids duplicate starts.
TD Sequential + EMA
Long: buySetup changed_to true on 15m AND close price above EMA 200 on 4h - Setup bounce only in global bullish context.
Short: sellSetup changed_to true AND price below EMA 200 on 4h.
EMA filters counter-trend Setups against strong trends.
TD Sequential + RSI
Long: buySetup eq true on 15m AND RSI < 35 on 15m - Setup aligned with oversold.
Short: sellSetup eq true AND RSI > 65.
RSI confirms the close series truly overextended the market.
Multi-timeframe: Setup on 4h + Flip on 15m
Long: buySetup eq true on 4h AND bullishFlip changed_to true on 15m.
Short: sellSetup eq true on 4h AND bearishFlip changed_to true on 15m.
Higher TF sets exhaustion context; lower TF times entry via Flip.
Swing: Setup on 4h
Goal: rare but meaningful reversal points.
Long: buySetup changed_to true on 4h, check at close.
Short: sellSetup changed_to true on 4h.
Setup on higher TF forms less often and often maps to larger cycles.
Scalping: Flip on 5m with filter
Long: bullishFlip changed_to true on 5m AND sellSetup neq true on 15m - quick Flip without active Sell Setup on higher interval.
Short: bearishFlip changed_to true on 5m AND buySetup neq true on 15m.
Flip fires more often on 5m - neq filter is essential.
DCA on Buy Setup
Long: buySetup changed_to true on 1h AND price > EMA 50 on 1h - Setup bounce within medium-term uptrend.
Short: sellSetup changed_to true AND price < EMA 50.
For DCA bots, 1h Setup balances frequency and signal quality.
Condition groups: practical example
Bot with two Long scenarios:
Group 1: buySetup changed_to true on 15m AND RSI < 40 - classic counter-trend.
Group 2: bullishFlip changed_to true on 15m AND buySetup eq true on 4h - Flip with higher-TF Setup confirmation.
Groups combined with OR. Configure Short symmetrically (sellSetup, bearishFlip).
Tip
Completed Setup does not mean instant reversal: in a strong trend Sell Setup on 15m may appear while price keeps rising. Use changed_to instead of eq for one-time starts, combine with higher-TF EMA and bullishFlip/bearishFlip to refine entries. In ranges Setups form often - add RSI or neq on the opposite Setup. Check at bar close reduces false triggers on unfinished candles.