// This Pine Script® code is subject to the terms of the Mozilla Public License 2.0 at https://mozilla.org/MPL/2.0/
// © AI_PIPS

//@version=6
indicator("AIPIPS Dynamic Risk Model", overlay=true)

atrLen = input.int(14, "ATR length", minval=1)
rangeLookback = input.int(20, "Dealing range lookback", minval=5)
riskMultiple = input.float(2.0, "Target multiple", step=0.25)
baseRiskPct = input.float(0.5, "Base risk % of ADR", step=0.05)

atr = ta.atr(atrLen)
adr = ta.sma(ta.tr(true), 20)
rangeHigh = ta.highest(high, rangeLookback)
rangeLow = ta.lowest(low, rangeLookback)
rangeMid = (rangeHigh + rangeLow) / 2.0

stopBuffer = math.max(atr, adr * baseRiskPct * 0.01)
recommendedStopLong = close - stopBuffer
recommendedStopShort = close + stopBuffer

recommendedTargetLong = close + stopBuffer * riskMultiple
recommendedTargetShort = close - stopBuffer * riskMultiple

plot(recommendedStopLong, title="Long stop", style=plot.style_linebr, color=color.new(color.red, 0))
plot(recommendedStopShort, title="Short stop", style=plot.style_linebr, color=color.new(color.green, 0))
plot(recommendedTargetLong, title="Long target", style=plot.style_linebr, color=color.new(color.green, 70))
plot(recommendedTargetShort, title="Short target", style=plot.style_linebr, color=color.new(color.red, 70))
plot(rangeMid, title="Range mid", color=color.new(color.gray, 60), style=plot.style_dotted)

var label info = na
if barstate.islast
    text = "AI PIPS dynamic risk\nATR:" + str.tostring(atr, format.mintick) + " | ADR:" + str.tostring(adr, format.mintick)
    if na(info)
        info := label.new(bar_index, high, text=text, style=label.style_label_left, color=color.new(color.blue, 80), textcolor=color.white)
    else
        label.set_xy(info, bar_index, high)
        label.set_text(info, text)