Trend Compass

About This Script

Trend Compass Pro is a multi-layered market analysis tool designed to unify three essential components of price behavior: momentum, trend strength, and directional structure.
It is built to provide traders with a clear and readable visualization of market conditions without relying on external scripts or unnecessary visual clutter.
How It Works
1. Momentum Layer — RSI

The script uses a fast-period Relative Strength Index (RSI) to measure short-term momentum sensitivity.
Its line is dynamically colored based on candle direction (bullish, bearish, neutral), which makes momentum shifts easy to interpret at a glance.

2. Strength Layer — ADX

The next layer applies a standard ADX calculation to measure the strength of the prevailing trend, independent of direction.
A threshold level marks when the trend becomes strong or meaningful.
The ADX line is also color-synchronized with candle direction to highlight moments when trend strength aligns with price momentum.

A visual fill between the RSI and ADX lines appears when both layers agree — green for bullish strength, red for bearish strength.
3. Direction Layer — Trend Compass (Original Logic)

This is the core component of the script and is fully original.
It works by comparing a fast EMA with a slow EMA across three separate internal timeframes, representing:

Short-term trend

Medium-term trend

Long-term trend

Each timeframe outputs a simple directional state based on EMA spread, displayed as three horizontal color-coded bands (levels 25, 50, 75).
These colors show when trend direction is aligned or mixed across different timescales.
Why These Elements Are Combined

The script is not a random combination of indicators.
Each layer solves a distinct analytical need:

RSI → short-term market mood

ADX → strength behind the move

Trend Compass → structural direction across multiple trend horizons

Together, they provide a consolidated and readable picture of how direction, strength, and momentum interact.
How to Use It

When all three layers show bullish agreement → strong and confirmed uptrend

When all three align bearish → strong downtrend

When mixed → transitional or weak environment

When Trend Compass is neutral → market lacks directional structure

This makes the script suitable for trend trading, breakout confirmation, and momentum-aligned entries.
Publishing Notes

A clean chart was used when publishing this script.
No additional indicators or unrelated drawings were included.
All visible elements originate directly from the script and serve the purpose of understanding its function.

Trend Compass combines momentum (RSI), trend strength (ADX), and multi-timeframe direction (EMA-based Trend Compass) into a single clean panel.
The script highlights periods when momentum and strength agree and shows trend direction across three internal time horizons.
It offers a clear way to confirm trend continuation, strength, and reversals without clutter.

Unlock a complete trend-reading system with Trend Compass — a smart fusion of RSI momentum, ADX strength, and a unique triple-layer trend engine.
Identify strong trends instantly, filter noise, and trade only when momentum, strength, and direction align.