Liquidity ROC Z-Score (Composite) — kWhDealer_

Developed by kWhDealer_, this indicator tracks the rate-of-change and standard-deviation momentum of U.S. system liquidity by combining key Federal Reserve and Treasury data:

Composite Liquidity
=
WALCL
−
WTREGEN
−
RRPONTSYD
+
MTSDS133FMS
Composite Liquidity=WALCL−WTREGEN−RRPONTSYD+MTSDS133FMS

It measures the flow of liquidity available to markets—integrating monetary policy (Fed balance sheet, reverse repo, TGA) with fiscal policy (Treasury deficit spending).

The script converts this composite into a Rate-of-Change (ROC) oscillator and expresses it as a Z-Score, with ±1 σ / ±2 σ bands to highlight over- and under-injection regimes.

Z > +1 σ → expanding liquidity → risk-on bias

Z < –1 σ → contracting liquidity → risk-off bias

Crosses of 0 often precede equity index inflections by ~1–2 months

This oscillator serves as a leading macro gauge for shifts in liquidity-driven risk appetite across equities, credit, and crypto.