OPEN-SOURCE SCRIPT

Z score by Edwin K

73


**What it does:**
It highlights **price extremes using a Z-score** and colors the histogram when thresholds are crossed.

**How it works:**

1. **Inputs:**

* `Length` for SMA and standard deviation.
* `StdDevs` and `StdDevs_` as threshold levels.
* `src` = price source (default close).
2. **Calculations:**

* `basis` = SMA of price.
* `zscore` = (price − SMA) ÷ standard deviation.
3. **Threshold Cross Detection:**

* Detects first bars crossing above/below ±2 or ±1 Z-score.
4. **Candle/Histogram Coloring:**

* Yellow → crosses ±2 threshold.
* Blueish → crosses ±1 threshold.
* Default grayish → all other bars.
5. **Plots:**

* Histogram columns of Z-score.
* Dotted horizontal lines at ±2 and ±1 levels for reference.

**Result:**
You get a clear visual of extreme price moves and early signals when price crosses statistical thresholds.

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