Trend Speed Analyzer (Zeiierman)

4 天前

█ Overview
The Trend Speed Analyzer by Zeiierman is designed to measure the strength and speed of market trends, providing traders with actionable insights into momentum dynamics. By combining a dynamic moving average with wave and speed analysis, it visually highlights shifts in trend direction, market strength, and potential reversals. This tool is ideal for identifying breakout opportunities, gauging trend consistency, and understanding the dominance of bullish or bearish forces over various timeframes.



█ How It Works
The indicator employs a Dynamic Moving Average (DMA) enhanced with an Accelerator Factor, allowing it to adapt dynamically to market conditions. The DMA is responsive to price changes, making it suitable for both long-term trends and short-term momentum analysis.

Key components include:

• Trend Speed Analysis: Measures the speed of market movements, highlighting momentum shifts with visual cues.
  
• Wave Analysis: Tracks bullish and bearish wave sizes to determine market strength and bias.
  
• Normalized Speed Values: Ensures consistency across different market conditions by adjusting for volatility.
  

⚪ Average Wave and Max Wave
These metrics analyze the size of bullish and bearish waves over a specified Lookback Period:

• Average Wave: This represents the mean size of bullish and bearish movements, helping traders gauge overall market strength.
  
• Max Wave: Highlights the largest movements within the period, identifying peak momentum during trend surges.
  

⚪Current Wave Ratio
This feature compares the current wave's size against historical data:

• Average Wave Ratio: Indicates if the current momentum exceeds historical averages. A value above 1 suggests the trend is gaining strength.
  
• Max Wave Ratio: Shows whether the current wave surpasses previous peak movements, signaling potential breakouts or trend accelerations.
  

⚪Dominance
Dominance metrics reveal whether bulls or bears have controlled the market during the Lookback Period:

• Average Dominance: Compares the net difference between average bullish and bearish wave sizes.
  
• Max Dominance: Highlights which side had the stronger individual waves, indicating key power shifts in market dynamics.
  

Positive values suggest bullish dominance, while negative values point to bearish control. This helps traders confirm trend direction or anticipate reversals.

█ How to Use
Identify Trends: Leverage the color-coded candlesticks and dynamic trend line to assess the overall market direction with clarity.


Monitor Momentum: Use the Trend Speed histogram to track changes in momentum, identifying periods of acceleration or deceleration.


Analyze Waves: Compare the sizes of bullish and bearish waves to identify the prevailing market bias and detect potential shifts in sentiment. Additionally, fluctuations in Current Wave ratio values should be monitored as early indicators of possible trend reversals.


Evaluate Dominance: Utilize dominance metrics to confirm the strength and direction of the current trend.



█ Settings

• Maximum Length: Sets the smoothing of the trend line.
  
• Accelerator Multiplier: Adjusts sensitivity to price changes.
  
• Lookback Period: Defines the range for wave calculations.
  
• Enable Table: Displays statistical metrics for in-depth analysis.
  
• Enable Candles: Activates color-coded candlesticks.
  
• Collection Period: Normalizes trend speed values for better accuracy.
  
• Start Date: Limits calculations to a specific timeframe.
  
• Timer Option: Choose between using all available data or starting from a custom date.
  

-----------------
Disclaimer

The information contained in my Scripts/Indicators/Ideas/Algos/Systems does not constitute financial advice or a solicitation to buy or sell any securities of any type. I will not accept liability for any loss or damage, including without limitation any loss of profit, which may arise directly or indirectly from the use of or reliance on such information.

All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, backtest, or individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs.

My Scripts/Indicators/Ideas/Algos/Systems are only for educational purposes!