Ichimoku Crosses_RSI_AITIchimoku Crosser_RSI_AIT
Overview
The "Ichimoku Cloud Crosses_AIT" strategy is a technical trading strategy that combines the Ichimoku Cloud components with the Relative Strength Index (RSI) to generate trade signals. This strategy leverages the crossovers of the Tenkan-sen and Kijun-sen lines of the Ichimoku Cloud, along with RSI levels, to identify potential entry and exit points for long and short trades. This guide explains the strategy components, conditions, and how to use it effectively in your trading.
1. Strategy Parameters
User Inputs
Tenkan-sen Period (tenkanLength): Default value is 21. This is the period used to calculate the Tenkan-sen line (conversion line) of the Ichimoku Cloud.
Kijun-sen Period (kijunLength): Default value is 120. This is the period used to calculate the Kijun-sen line (base line) of the Ichimoku Cloud.
Senkou Span B Period (senkouBLength): Default value is 52. This is the period used to calculate the Senkou Span B line (leading span B) of the Ichimoku Cloud.
RSI Period (rsiLength): Default value is 14. This period is used to calculate the Relative Strength Index (RSI).
RSI Long Entry Level (rsiLongLevel): Default value is 60. This level indicates the minimum RSI value for a long entry signal.
RSI Short Entry Level (rsiShortLevel): Default value is 40. This level indicates the maximum RSI value for a short entry signal.
2. Strategy Components
Ichimoku Cloud
Tenkan-sen: A short-term trend indicator calculated as the simple moving average (SMA) of the highest high and the lowest low over the Tenkan-sen period.
Kijun-sen: A medium-term trend indicator calculated as the SMA of the highest high and the lowest low over the Kijun-sen period.
Senkou Span A: Calculated as the average of the Tenkan-sen and Kijun-sen, plotted 26 periods ahead.
Senkou Span B: Calculated as the SMA of the highest high and lowest low over the Senkou Span B period, plotted 26 periods ahead.
Chikou Span: The closing price plotted 26 periods behind.
Relative Strength Index (RSI)
RSI: A momentum oscillator that measures the speed and change of price movements. It ranges from 0 to 100 and is used to identify overbought or oversold conditions.
3. Entry and Exit Conditions
Entry Conditions
Long Entry:
The Tenkan-sen crosses above the Kijun-sen (bullish crossover).
The RSI value is greater than or equal to the rsiLongLevel.
Short Entry:
The Tenkan-sen crosses below the Kijun-sen (bearish crossover).
The RSI value is less than or equal to the rsiShortLevel.
Exit Conditions
Exit Long Position: The Tenkan-sen crosses below the Kijun-sen.
Exit Short Position: The Tenkan-sen crosses above the Kijun-sen.
4. Visual Representation
Tenkan-sen Line: Plotted on the chart. The color changes based on its relation to the Kijun-sen (green if above, red if below) and is displayed with a line width of 2.
Kijun-sen Line: Plotted as a white line with a line width of 1.
Entry Arrows:
Long Entry: Displayed as a yellow triangle below the bar.
Short Entry: Displayed as a fuchsia triangle above the bar.
5. How to Use
Apply the Strategy: Apply the "Ichimoku Cloud Crosses_AIT" strategy to your chart in TradingView.
Configure Parameters: Adjust the strategy parameters (Tenkan-sen, Kijun-sen, Senkou Span B, and RSI settings) according to your trading preferences.
Interpret the Signals:
Long Entry: A yellow triangle appears below the bar when a long entry signal is generated.
Short Entry: A fuchsia triangle appears above the bar when a short entry signal is generated.
Monitor Open Positions: The strategy automatically exits positions based on the defined conditions.
Backtesting and Live Trading: Use the strategy for backtesting and live trading. Adjust risk management settings in the strategy properties as needed.
Conclusion
The "Ichimoku Cloud Crosses_AIT" strategy uses Ichimoku Cloud crossovers and RSI to generate trading signals. This strategy aims to capture market trends and potential reversals, providing a structured way to enter and exit trades. Make sure to backtest and optimize the strategy parameters to suit your trading style and market conditions before using it in a live trading environment.
相對強弱比較(RSC)
Relative Strength and MomentumRelative Strength and Momentum Indicator
Unlock deeper market insights with the Relative Strength and Momentum Indicator—a powerful tool designed to help traders and investors identify the strongest stocks and sectors based on relative performance. This custom indicator displays essential information on relative strength and momentum for up to 15 different symbols, compared against a benchmark index, all within a clear and organized table format.
Key Features:
1. Customizable Inputs: Choose up to 15 symbols to compare, along with a benchmark index, allowing you to tailor the indicator to your trading strategy. The 'Lookback Period' input defines how many weeks of data are analyzed for relative strength and momentum.
2. Relative Strength Calculation: For each selected symbol, the indicator calculates the Relative Strength (RS) against the chosen benchmark. This RS is further refined using an exponential moving average (EMA) to smooth the results, providing a more stable trend overview.
3. Momentum Analysis: Momentum is determined by analyzing the rate of change in relative strength. The indicator calculates a momentum rank for each symbol, based on its relative strength’s improvement or deterioration.
4. Percentile Ranking System: Each symbol is assigned a percentile rank (from 1 to 100) based on its relative strength compared to the others. Similarly, momentum rankings are also assigned from 1 to 100, offering a clear understanding of which assets are outperforming or underperforming.
5. Visual Indicators:
a. Green: Signals improving or stable relative strength and momentum.
b. Red: Indicates declining relative strength or momentum.
c. Aqua: Highlights symbols performing well on both relative strength and momentum—ideal candidates for further analysis.
6. Two Clear Tables:
a. Relative Strength Rank Table: Displays weekly rankings of relative strength for each symbol.
b. Momentum Table: Shows momentum trends, helping you identify which symbols are gaining or losing strength.
7. Color-Coded for Easy Analysis: The tables are color-coded to make analysis quick and straightforward. A green color means the symbol is performing well in terms of relative strength or momentum, while red indicates weaker performance. Aqua marks symbols that are excelling in both areas.
Use Case:
a. Sector Comparison: Identify which sectors or indexes are showing both relative strength and momentum to pick high-potential stocks. This allows you to align with broader market trends for improved trade entries.
b. Stock Selection: Quickly compare symbols within the same sector to find the stronger performers.
RSI TreeRSI Tree is a simple way to compare the strength of several different instruments against each other.
The default is to compare MSFT, NVDA, TSLA, GOOG, META, AMZN, AAPL and NASDAQ. You could do the same for currency pairs and any other instruments available in Trading View. However, it makes the most sense to compare seven instruments to an eighth underlying instrument. As you can see in the default values, we included the NASDAQ as the eighth instrument since the other seven are part of the NASDAQ composite index. If you were to trade major currency pairs, then your eighth instrument would most likely be the U.S. Dollar (DXY).
The chart setup is important as well. You need to split your chart horizontally into 4 plots. Each plot would be at a different timing interval. The example shows 4 hr, 1 hr, 15 min and 5 min (left to right) charts. Now not only can we compare the instruments against each other, but we can do it across time to get an idea of the motion of each instrument.
Note, the instrument used on the chart is somewhat important. If the chart is set to a currency pair, but you have the RSI Tree setup for equities (as in the default) then you will get some odd behavior due to the times when these are open. Equities are 0930 to 1600 EST, whereas something like a currency would be open 24 hours a day.
Layout for default settings: www.tradingview.com
Bugs?
Kindly report any issues and I'll try to fix them promptly.
Thank you!
Saral Relative StrengthRelative Strength Indicator
### Overview
The Relative Strength (RS) Indicator is a robust tool designed to measure the performance of a security relative to a benchmark or another security. Unlike traditional indicators, this RS Indicator calculates the outperformance or underperformance in percentage terms, providing a clear and concise comparison.
The equation for calculation can be found in the code itself. This equation compares how much a security's price has changed over a given period (len) relative to the change in price of a benchmark over the same period. The result is expressed as a percentage, showing whether the security has outperformed or underperformed the benchmark. A positive RS value indicates outperformance, while a negative value signals underperformance.
Basically, this indicator is an enhanced version of 'Relative Strength' indicator of 'BharatTrader' Sir with added features like automatic divergence plotting, color-coded filled area and sector names for NSE F&O securities. Default values for some of the parameters are based on discussion by Subhadip Nandy Sir in Trader's Talk with Mr. Rohit Katwal.
### Input Parameters:
Source: The price of a security used in the calculation, with the default being the 'close' price.
Comparative Symbol: Ticker ID of the comparative security, with the default set to NIFTY 50.
Period-RS: The period for calculating the RS line, with a default of 22. The RS line measures the relative performance of the security against the benchmark, helping to identify outperformance or underperformance over time.
Period-MA: The period for calculating the Simple Moving Average (SMA) overlay on the RS line, with a default of 11. The SMA provides a smoothed view of the RS line, helping to identify trends more clearly.
Lookback - Zero Line Trend: Zero Line Trend look-back period, used to determine the angle of the RS line, with a default of 5. This parameter influences the color of the Zero Line based on whether the RS line’s angle is positive or negative.
Lookback - Divergence: Divergence look-back period, with a default of 2, used to detect divergence between the price and the RS line.
Display MA Line: Controls the display of the SMA line. When enabled, the SMA line is plotted over the RS line to indicate trend strength.
Toggle RS Color on MA Crossovers: Controls the color of the RS line. If disabled, the RS line is purple. If enabled, the RS line changes color based on its position relative to the SMA: green for RS > MA, red for RS < MA.
Display Zero Line Trend: Controls the display of the Zero Line. If disabled, the Zero Line is black. If enabled, the Zero Line’s color changes to green or maroon based on the RS line’s angle over time.
Display Divergence: Controls the display of divergence dots on the RS line, indicating potential reversal points.
Display Filled Area: Controls whether the area between the Zero Line and the RS line is filled with color. The fill color changes based on the relationship of the RS line with the SMA & Zero Line as given below.
- Dark Green: RS > 0 and RS > MA, indicating strong outperformance.
- Light Green: RS > 0 and RS < MA, indicating weakening outperformance.
- Dark Red: RS < 0 and RS < MA, indicating strong underperformance.
- Light Red: RS < 0 and RS > MA, indicating weakening underperformance.
Display Sector Name: Controls the display of sector names for NSE F&O securities, helping to plot RS with sectoral indices.
### Key Features:
RS Line:
The RS line represents the relative performance of a security against a benchmark over a specified period (default 22). It helps traders identify whether the security is outperforming or underperforming the benchmark.
SMA Overlay:
A Simple Moving Average (SMA) line is plotted over the RS line, with a default period of 11. The SMA provides a smoothed trend of the RS, making it easier to identify consistent performance trends.
Trend-Sensitive Zero Line:
The Zero Line’s color adapts based on the RS line’s trend:
- Green: Positive angle of the RS line, indicating upward momentum.
- Maroon: Negative angle, indicating downward momentum.
The color can be toggled, with an option to display the Zero Line in black.
Divergence Detection:
Automatically detects and highlights divergences.
- Positive Divergence: RS line rises while the price falls, marked by blue dots.
- Negative Divergence: RS line falls while the price rises, marked by black dots.
Color-Coded Fill Area:
The area between the RS line and the Zero Line is filled with color to visually distinguish different market conditions, with Dark and Light colors providing insight into the strength of the performance:
- Dark Green: Indicates strong outperformance (RS > 0 and RS > MA), suggesting the security is showing significant strength compared to the benchmark.
- Light Green: Indicates weakening outperformance (RS > 0 and RS < MA), signaling that while the security is still outperforming, its strength is diminishing.
- Dark Red: Indicates strong underperformance (RS < 0 and RS < MA), showing the security is significantly weaker than the benchmark.
- Light Red: Indicates weakening underperformance (RS < 0 and RS > MA), suggesting the security is still underperforming but may be regaining some strength.
Sectoral Strength:
Displays sector names for NSE F&O securities, helping users to compare the RS of individual securities with their respective sectoral indices. Comparative Security can be changed easily based on this sector name. Users need not to remember sector names for individual securities.
If any security is not categorized in a specific sector, CNX500 has been considered as a default sector for NSE F&O securities. For other securities, NIFTY50 has been considered as a default sector.
Comparative Relative Strength - HongQuanTraderThis script is designed to enhance your trading strategy by comparing the current symbol with another comparative symbol. The goal is to trade a symbol only when its Relative Strength (RS) value surpasses the long moving average of the RS value, ensuring more informed and strategic trading decisions.
Default Mode
In the default mode, the RS value is calculated by simply dividing the base symbol by the comparative symbol:
RS_SIMPLE = baseSymbol / comparativeSymbol
Period Mode
When you enable the “use period” option, the script uses the RS_PERIOD equation. This mode is particularly useful for comparing multiple symbols against the same comparative symbol, with the output normalized around 1.0 for easier comparison:
RS_PERIOD = baseSymbol / baseSymbol / (comparativeSymbol / comparativeSymbol )
By leveraging these calculations, you can gain deeper insights into the relative performance of different symbols, allowing you to make more precise and confident trading decisions. Whether you’re comparing stocks, currencies, or any other assets, this script provides a robust framework for enhancing your trading strategy.
Relative Strength NSE:Nifty for TF CommunityThis is a modified version of the Relative Strength Indicator (No confusion with RSI) originally by in.tradingview.com/u/modhelius/ based on The indicator calculates the relative strength between a selected stock and a comparative symbol (typically a market index like NSE:NIFTY).
Relative strength (RS) compares the performance of two assets, typically a stock and a market index, by dividing their percentage changes over a specific period. This indicator oscillates around zero:
- Greater than 0: Indicates the stock has outperformed the comparative symbol.
- Less than 0: Indicates the stock has underperformed the comparative symbol.
Key Enhancements:
This Relative Strength Indicator offers practical features to automatically adjusts the comparison period based on the chart’s timeframe, whether daily, weekly, or monthly, so you don’t have to make manual changes.
Secondly, if the selected stock has fewer bars than the comparison period, the indicator uses the shorter period to ensure accurate results. The default colors are hardcoded so they look fine for both dark and white themes, but of course can be changed.
You can customise the settings to fit your needs. The default period is set to 50/52, and the comparative symbol is NSE:NIFTY, but both can be changed. There’s also an option to toggle a moving average on or off, providing a smoother visual representation.
Relative Strength (Volatility Adjusted)The volatility adjusted relative strength indicator offers a more precise approach to traditional RS indicators by incorporating volatility adjustments into its calculations. This will provide traders with a more nuanced view of relative performance between a selected instrument and a comparison index.
Identifying Relative Strength (RS) and Weakness (RW) against a benchmark like the SPY is crucial for traders, as it highlights institutional activity in an equity, which retail traders rarely achieve on their own. However, the traditional method of simply comparing the rate of change of a stock to the rate of change for the SPY can be flawed. This method often fails to account for the inherent volatility of each stock, leading to misleading RS/RW readings.
Consider two stocks that both move in response to SPY's movements. If SPY moves significantly more than its average (measured by its ATR), and the stock does the same, traditional RS calculations might show strength when, in fact, the stock is just mirroring SPY's increased volatility. For instance, if SPY typically moves $0.25 an hour but suddenly moves $1, and a stock typically moves $0.50 but moves $2, the stock's apparent RS might be overstated, when in reality there is no relative strength for the stock.
By adjusting for volatility using the ATR (Average True Range), we normalize these movements and get a clearer picture of true RS/RW. For example, if SPY moves 5 times its average rate and a stock moves the same multiple of its own ATR, the RS should be considered neutral rather than strong. Similarly if a stock in absolute terms moves $1 while the SPY also moves $1 but the stock usually moves at twice the rate of the SPY, the stock should be considered relatively weak - not neutral.
Usage
Use this to identify stocks with actual strength or weakness compared to the market.
When the RS line is above 0 and above the moving average it indicates a stock with relative strength that is still gaining more strength.
When the RS line is above 0 but above the moving average it indicates a stock with relative strength that is currently losing strength.
When the RS line is below 0 and below the moving average it indicates a stock with relative weakness that is still losing strength.
When the RS line is below 0 but above the moving average it indicates a stock with relative weakness that is starting to gain back some strength.
AT RatioAT Ratio
This indicator plots a ratio chart of 2 symbols, calculated as symbol1/symbol2.
The current chart symbol is used as symbol1.
A ratio chart allows to determine the relative strength of an asset compared to another asset.
It can be used for example to compare two stocks or a stock to its benchmark index, thus showing,
- if a stock has strength on its own (climbing ratio chart)
- if a stock just moves with the index (sideways ratio chart)
- if a stock is weaker than the index (falling ratio chart)
Inputs:
Style:
Plain: Only the ratio chart is plotted
MAs: Additional Moving Averages of the ratio chart are plotted
Perdiod Long: The period for the long MA
Perdiod Short: The period for the long MA
MA Type Long:
Simple: A simple MA is used
Expo: An exponential MA is used
MA Type Short:
Simple: A simple MA is used
Expo: An exponential MA is used
Ratio Symbol: The symbol to be used for symbol2
Factor: A factor the ratio value is multiplied by
Open-source script
ZORZOR (Zone of Outperformance Ratio) with Supporting Indicators
This custom indicator introduces an approach to measuring asset performance through the Zone of Outperformance Ratio (ZOR), complemented by two supporting indicators for comprehensive market analysis.
1. ZOR (Zone of Outperformance Ratio)
The ZOR is the cornerstone of this indicator, offering a unique perspective on an asset's performance across multiple time zones:
Measures the degree of an asset's outperformance against a benchmark (default: NSE:NIFTY) across different time zones
Utilizes a weighted multi-timeframe approach for a holistic performance view
Combines performance ratios from 63, 126, 189, and 252-day zones and results in a score between 0-99, with higher scores indicating stronger outperformance across zones
Key Features:
Fully configurable weights for each timeframe (63, 126, 189, 252 days)
Customizable benchmark symbol
Color-coded display: Blue for scores ≥60 (strong performance), Red for scores <60 (weaker performance)
2. Supporting Indicators
To enhance analysis and provide context to the ZOR score, two additional indicators are included:
a) Distance to 52-week High:
Calculates the percentage distance between current price and 52-week high
Color-coded for quick interpretation:
Yellow-green when price is above 52-week high
Dark green when price is below 52-week high
Helps identify potential overbought conditions or breakout scenarios
b) Distance to EMA:
Shows percentage distance from current price to a user-defined EMA (default: 21-day)
Helps gauge short-term momentum relative to the trend
Useful for identifying potential mean reversion opportunities
Originality and Usefulness
The ZOR indicator offers a fresh perspective on relative performance by:
Combining multiple timeframes into a single, easy-to-interpret score
Applying a non-linear transformation to emphasize recent performance
Providing a flexible framework for comparing assets against any chosen benchmark
The supporting indicators complement the ZOR by offering additional context:
Distance to 52-week High helps identify potential trend strength and breakout scenarios
Distance to EMA provides insights into short-term momentum and potential mean reversion
This combination allows traders to:
Quickly identify outperforming assets across multiple timeframes
Assess whether an asset is extended from its long-term highs or short-term average
Make more informed decisions by considering relative performance, trend strength, and momentum in a single view
How to Use
1. Add the indicator to your chart
2. Customize settings in the indicator properties:
- Set benchmark symbol
- Toggle visibility of supporting indicators
- Customize EMA length for Distance to EMA
- Adjust ZOR calculation weights(Optional)
3. Interpret the color-coded labels:
- ZOR: Blue (strong performance) or Red (weaker performance)
- Distance to High: Yellow-green (above 52-week high) or Dark green (below)
- Distance to EMA: Purple label showing percentage
4. Use in conjunction with other technical and fundamental analysis for comprehensive trading decisions
This indicator provides a unique, multi-faceted approach to performance analysis, combining relative strength measurement with trend and momentum indicators for a holistic market view.
Ratio Chart with GMMA■About this indicator
This indicator divides the selected stocks by any stocks you specify and plots the result in a new pane.
At the same time, it plots the GMMA against the result of the division.
This allows you to see the relative chart and trend of the selected stock and the arbitrary stock.
Quote Symbol: Specify the denominator of the division. The default is TOPIX. Feel free to change it.
EMA Days: 5 to 30 days are indicated in green, and 75 to 200 days in red. Change the number of days and color freely.
Explanation of Effective Usage
It is recommended to enter an index for stocks specified in the Quote Symbol.
By entering the index, you can check the superiority of the selected issue and the index at a glance.
Example: By dividing AAPL by SP500, you can see on the chart whether AAPL is stronger or weaker relative to SP500.
(Similar concept to the Relative Strength Comparison RSC.)
At the same time, by plotting GMMA, you can confirm the trend of strength or weakness of the selected issue divided by the index. This is useful for swing trading and mid- to long-term trading.
The greater the distance between the short-term and long-term EMAs of the GMMA, the more the selected stocks outperform the index, and when the short-term and long-term EMAs cross, the trend ends and the stock underperforms the index.
■About the Chart
The screen below shows a chart plotted using this indicator.
For comparison with the regular chart, the upper screen shows only the GMMA plotted for the selected stocks.
From the red circle in the lower screen, a trend begins where the selected stocks outperform the index, and the trend ends at the blue circle.
When the trend ends, the selected stocks will underperform the index and it can be determined that it is more efficient to invest in another stock.
■このインジケーターについて
このインジケーターは選択している銘柄を、指定した任意の銘柄で割り算し、その結果を新規ペインにプロットします。
同時に、割り算の結果に対してGMMAをプロットします。
これにより選択した銘柄と、任意の銘柄の相対チャートとトレンドを把握することが出来ます。
Quote Symbol：割り算の分母を指定します。デフォルトはTOPIXです。自由に変更して下さい。
EMA日数：5～30日が緑、75～200日を赤で表記しています。日数と色は自由に変更して下さい。
■有効な使い方の説明
Quote Symbolで指定する銘柄は、指数を入力することを推奨します。
指数を入力することによって、選択した銘柄と指数の優位性を一目で確認出来ます。
例）AAPLをSP500で割ることで、SP500に比べてAAPLが相対的に強いのか、弱いのかをチャートで把握できます。
（相対力比較RSCと似たような考え方です。）
同時にGMMAをプロットすることで、選択した銘柄÷指数の強弱のトレンドを確認できます。これはスイングトレードや中長期トレードに役立ちます。
GMMAの短期EMAと長期EMAの距離が開いていくほど、指数より選択した銘柄がアウトパフォームしていると考えられ、短期EMAと長期EMAが交わるとトレンドは終了し、指数をアンダーパフォームします。
■チャートについて
下の画面がこのインジケーターを使用してプロットしたチャートです。
通常のチャートとの比較のため、上画面には選択した銘柄にGMMAだけをプロットしたものを表示しています。
下の画面の赤い丸から、選択した銘柄が指数をアウトパフォームするトレンドが始まり、青い〇でトレンドは終了します。
トレンドが終了した場合、選択した銘柄は指数をアンダーパフォームするので、別の銘柄に投資する方が効率的と判断できます。
RvB ( relative strength vs BTC ) Overview
The "Coin vs BTC" indicator is designed to compare the performance of a selected cryptocurrency against Bitcoin (BTC) using Exponential Moving Averages (EMAs). By plotting the difference in EMA values as a percentage, this indicator helps traders visualize the relative strength of a cryptocurrency compared to Bitcoin over specified periods.
How It Works
EMA Calculation: The indicator calculates two EMAs (lengths specified by the user) for both the selected cryptocurrency and Bitcoin (BTC).
Length 1: Fast EMA (default: 9)
Length 2: Slow EMA (default: 21)
Score Calculation:
For both the selected coin and Bitcoin, it computes a score representing the percentage difference between the fast and slow EMAs relative to the previous closing price. This is done using the following steps:
Calculate the difference between the fast and slow EMAs.
Compute the percentage of this difference relative to the previous closing price.
Round the percentage to two decimal places for clarity.
Plotting: The scores for both the selected cryptocurrency and Bitcoin are plotted on the same chart:
Coin Score: Displayed in blue.
BTC Score: Displayed in orange.
Potential Uses
Relative Strength Analysis:
This indicator helps traders compare the strength of a cryptocurrency against Bitcoin. A higher score for the selected coin compared to Bitcoin indicates it is performing better relative to its moving averages.
Trend Confirmation:
By observing the EMA differences, traders can confirm trends and potential reversals. Consistently higher scores may indicate a strong upward trend, while lower scores could suggest a weakening trend.
Market Comparison:
This tool is particularly useful for those looking to understand how their selected cryptocurrency is performing in the broader market context, especially in relation to Bitcoin, which is often considered a market benchmark.
Correlated Movement Indicator V2Hello!
This script was briefly known as as Bing Chilling. I converted this to Pine Script V5 to ensure compliance with publishing requirements.
This script tracks RSI and inserts an indicator when correlated movement is detected. Proximity of current tick to indicator origin tick determines freshness of the indicator.
DO NOT sit on the indicator for a long time. This is not a magic solution. It is very accurate but, not always precise. Ensure that you use other factors to determine the relevance of the indicator on current tick. This script can technically be used on any security/commodity/currency. Your Mileage May Vary! Proceed with caution as always.
General Workflow:
Look at proximity to where the flag is placed, general volatility, and other indicators and you can potentially determine the direction/strength. Not always the duration. The indicator could be for 30s, 1hr, 1 day, or whatever the market feels like. It depends on precision/quantity of pricing data. ex. 30min tick rate pricing vs. 1 day tick rate pricing will change the scope.
So if the time scope shows all sell from 1 week -> 3 months except for a couple recent buy indicators on the day, then it may be a bad call long term but, might be good for a short term play. Very volatile. Careful.
If it was all green with long term indicators such as 1 month -> 1 year, then it looks more like a buy and forget type strategy.
If it's all green with a recent red then you can try and figure out what the relative the bottom is so you can buy for long term at a slightly more favorable price.
Flip all that for shorting. I highly recommend AGAINST shorting since the stakes are very different and usually involves taking out what is essentially a loan to bet against the market.
This script pairs nicely with the top pick indicator when you search "Heiken Ashi". I use that to determine peaks and pits to better guess a good time to open a position.
This should be used alongside other indicators. Good for short term day trading and long term hold and forget. (Don't actually forget. Set some alerts periodically.)
Please use caution. Please do not take what I've said here as fact and diamond pepe hands bet all on green to the moon. This, like all the other strategies and indicators on this site, are used as tools to inform you about potential and to categorize/depict data in a more human recognizable way. If you have access to a paper account try there first.
Happy trading!
- Zetsu
Relative Strength Universal
Relative strength is a ratio between two assets, generally it is a stock and a market average (index). RS implementation details are explained here .
This script automatically decides benchmark index for RS calculation based on market cap input values and input benchmark indices values.
Relative strength calculation:
"To calculate the relative strength of a particular stock, divide the percentage change over some time period by the percentage change of a particular index over the same time period". This indicator value oscillates around zero. If the value is greater than zero, the investment has been relatively strong during the selected period; if the value is less than zero, the investment has been relatively weak.
In this script, You can input market cap values and all are editable fields. If company market cap value is grater than 75000(Default value) then stock value will be compared with Nifty index. If company market cap is between 75000 and 25000 then stock value will be compared with midcap 150 to calculate RS. If marketcap is greater than 5000 and less than 25000 then RS will be calculated based on smallcap250. If marketcap is less than 5000 and greater than 500 then it will be compared with NIFTY_MICROCAP250
Candle Strength based on Relative Strength of EMAOverview:
The EMA-Based Relative Strength Labels indicator provides a dynamic method to visualize the strength of price movements relative to an Exponential Moving Average (EMA). By comparing the current price to the EMA, it assigns labels (A, B, C for bullish and X, Y, Z for bearish) to candles, indicating the intensity of bullish or bearish behavior.
Key Features:
Dynamic EMA Comparison: The indicator calculates the difference between the current price and the EMA, expressing it as a percentage to determine relative strength.
Configurable Thresholds: Users can set custom thresholds for strong, moderate, and low bullish or bearish movements, allowing for tailored analysis based on personal trading strategy or market behavior.
Clear Visual Labels: Each candle is labeled directly on the chart, making it easy to spot significant price movements at a glance.
Usage:
Trend Confirmation: The labels help confirm the prevailing trend's strength, aiding traders in decision-making regarding entry or exit points.
Risk Management: By identifying the strength of the price movements, traders can better manage stop-loss placements and avoid potential false breakouts.
Strategy Development: Incorporate the indicator into trading systems to enhance strategies that depend on trend strength and momentum.
How It Works:
The script calculates the EMA of the closing prices and measures the relative strength of each candle to this average.
Bullish candles above the EMA and bearish candles below the EMA are further analyzed to determine their strength based on predefined percentage thresholds.
Labels 'A', 'B', and 'C' are assigned for varying degrees of bullish strength, while 'X', 'Y', and 'Z' denote levels of bearish intensity.
Customization:
Users can adjust the EMA period and modify the strength thresholds for both bullish and bearish conditions to suit different instruments and timeframes.
Best Practices:
Combine this indicator with volume analysis and other technical tools for comprehensive market analysis.
Regularly update the thresholds based on market volatility and personal risk tolerance to maintain the effectiveness of the labels.
Strength Compared to BTCThis indicatore plot for every candle a % difference referred to the corresponding BTCUSDT candle, so you can know if the chart is performing better or worse than Bitcoin.
Simple as that.
Enjoy.
Relative Strength wrt ReferenceThis script evaluates the relative strength of the current symbol with respect to your chosen symbol. At the same time it gives an idea about the trend of the reference symbol.
Under default settings, it evaluates the strength with respect to NIFTY50.
While the value of the bars represents the relative strength, Colors of the bars indicate the relative strength status.
The condition action rules are as follows:
-Bar color blue implies that both the underlying and reference increased.
-Bar color green implies that the underlying increased but reference decreased.
-Bar color purple implies that both the underlying and reference decreased.
-Bar color red implies that the underlying decreased but reference increased.
On the other hand, the background colors indicate the general trend structure in the reference in terms of exponential moving averages and adx.
Green implies strong up trend.
Purple implies sideways to bullish trend.
Blue implies sideways to bearish trend
Red implies existing strong downtrend.
You can change the settings as per your choice.
Percent Rank HistogramThis Pine script indicator is designed to create a visual representation of the percent rank for multiple financial instruments. Here's a breakdown of its key features:
Percent Rank Calculation:
The core functionality of this Pine script indicator revolves around the calculation of the percent rank for each selected financial instrument.
The percent rank is a statistical measure that indicates the percentage of historical data points that are less than or equal to the current value in a given series.
Symbol Selection:
The script allows the user to select up to 10 financial instruments (tickers) for analysis. The default symbols include various cryptocurrencies such as BTCUSD, ETHUSD etc., and TOTAL market cap at ticker 1, to show overal trend of crypto market.
(Top 9 Coins by market cap).
Columns and Colors:
The script visually represents the percent rank using columns based on lines.
The color of each column is determined by a gradient from red to green based on the calculated percent rank, providing a quick visual indication of the instrument's relative performance.
BTC Trending Up while other coins are underperformance:
Labels:
Labels are displayed on the chart, indicating the symbol name and the corresponding percent rank percentage.
The labels include directional arrows (▲ or ▼) to denote whether the percent rank is increasing or decreasing.
Customization:
Users can customize parameters such as the percent rank length and column width to adapt the indicator to their specific preferences, or select needed assets to compare them to each other.
Chart Desk and Scales:
The script includes the visualization of a chart desk with scale lines to provide additional context to the chart. When Percent Rank above middle scale line (50) usually it signaling about asset trending up and below 50 asset trending down.
Mozilla Public License:
The script is subject to the terms of the Mozilla Public License 2.0.
This indicator is useful for traders and analysts interested in visually assessing the percent rank of multiple financial instruments simultaneously, helping them identify potential opportunities or trends in the market.
Relative Strength Scatter Plot [LuxAlgo]The Relative Strength Scatter Plot indicator is a tool that shows the historical performance of various user-selected securities against a selected benchmark.
This tool is inspired by Relative Rotation Graphs®. Relative Rotation Graphs® is a registered trademark of JOOS Holdings B.V. This script is neither endorsed, nor sponsored, nor affiliated with them.
🔶 USAGE
This tool depicts a simple scatter plot using the relative strength ratio as the X-axis and its momentum as the Y-axis of the user-selected symbols against the selected benchmark.
The graph is divided into four quadrants, and the interpretation of the graph is done depending on where a point is situated on the graph:
A point in the green quadrant would indicate that the security is leading the benchmark in strength, with positive strength momentum.
A point in the yellow quadrant would indicate that the security is leading the benchmark in strength, with negative strength momentum.
A point in the blue quadrant would indicate that the security is lagging behind the benchmark in strength, with positive strength momentum.
A point in the red quadrant would indicate that the security is lagging behind the benchmark in strength, with negative strength momentum.
The trail of each symbol allows the user to see the evolution of the relative strength momentum relative to the relative strength ratio. The length of the trail can be controlled by the "Trail Length" setting.
🔶 DETAILS
Our relative strength ratio estimate is first obtained from the relative strength between the symbol of interest and the benchmark, the result is then smoothed using a linearly weighted moving average (wma). This result is then normalized with a wma of the smoothed relative strength, this ratio is again smoothed with the wma and multiplied by 100.
The relative strength momentum estimate is obtained from the ratio between the previously estimated RS-Ratio and its wma, this ratio is then multiplied by 100.
🔶 SETTINGS
Calculation Window: Calculation window of the RS-Ratio and RS-Momentum metrics.
Symbols: Symbols used for the computation of the graph, each settings line allows us to determine whether the symbol is to be displayed on the graph as well as its color.
Benchmark: Benchmark symbol used for the computation of the graph. Indices are commonly used as a benchmark.
🔹 Graph Settings
Trail Length: Number of past data points to display on the graph for each symbol.
Resolution: Controls the horizontal length of the graph.
Rate of Change MachineRate of Change Machine
Author: RWCS_LTD
Disclaimer: This script is provided for informational purposes only and should not be considered financial advice. Trading involves substantial risk, and past performance is not indicative of future results. Always conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Introduction:
The Rate of Change Machine is a script designed to assist traders in analyzing multiple cryptocurrency trading pairs simultaneously. This comprehensive indicator offers a holistic view of the rate of change and related metrics, aiding traders in making informed decisions.
Asset Selection:
The script enables users to select up to nine different cryptocurrency trading pairs for in-depth analysis.
Volume Calculation:
Volume plays a crucial role in the analysis, with customizable parameters for volume weighting and length.
Relative Strength Calculation:
Relative Strength is determined through two Exponential Moving Averages (EMA) with user-defined lengths.
Timeframe Weightings:
Different timeframes (1D, AVG 3D, AVG 5D, AVG 7D, AVG 14D, AVG 30D) are assigned weightings to calculate a comprehensive trend score.
Weighted Average and Individual Rate of Change (RoC) Calculation:
The getWeightedAvgAndIndividualROC function calculates the RoC for each selected trading pair based on the given timeframes and weights.
Table Setup:
A table is created to display the results for each trading pair, including relative strength, volume trend, RoC for different timeframes, and a weighted trend score.
Table Formatting:
The table is formatted with different colors indicating positive or negative values for easier interpretation.
Table Position and Size:
Users can customize the position and size of the table on the chart.
Data Retrieval:
The script retrieves the calculated values for each trading pair using the request.security function.
Output:
The final output is a table on the chart, showing relevant information for the selected trading pairs, aiding traders in making informed decisions based on the rate of change and other factors. This indicator provides a comprehensive view of the rate of change and related metrics for multiple trading pairs, assisting traders in identifying potential trends and making informed trading decisions.
Multi Period Relative StrengthMulti Period Relative Strength Indicator
This indicator is meticulously designed around the fundamental concept of relative strength, providing a powerful tool to assess an instrument's performance against peers or a benchmark index within the same asset class. Tailored for short-term swing trend analysis, it equips traders with the insights needed to make informed decisions based on prevailing relative strength dynamics.
More about Relative Strength: www.investopedia.com
Key Features:
Dual Period Analysis:
The indicator conducts a dual-period analysis, scrutinizing relative strength across two distinct period—a fast period and a slow period. This approach allows for a comprehensive evaluation of relative strength dynamics.
Visualization:
Slow RS is visually depicted as a green cloud above the zero line showing relative strength or a red cloud below it showing relative weakness. This visual representation aids in assessing the underlying instrument's performance against its peer over the past 3 months (slow period).
Fast RS is visually presented as green bars above the zero line showing relative strength or red bars below it showing weakness. This visual cue helps evaluate the performance of the underlying instrument against its peer over the last week (fast period).
Positive Relative Strength:
When both the fast and slow periods exhibit positive values, it signifies sustained strength in the current instrument over both the past 3 months and the last week.
Divergence Evaluation:
A positive fast period coupled with a negative slow period signals a robust relative strength trend over the past 3 months, but with a recent decline in the last week. Traders may consider adjusting positions, such as reducing or exiting, in response to this divergence.
Strength Building Scenario:
Conversely, a negative fast period paired with a positive slow period indicates relative weakness over the past 3 months, coupled with an increasing trend in the last week. This scenario may present an opportunity to gradually build positions, particularly if the 3-month relative strength turns positive.
Strategic Decision Points:
Traders can leverage these signals strategically to manage portfolios, adjusting positions based on the nuanced interplay between short-term and longer-term relative strength trends.
Risk Mitigation Strategies:
By interpreting the indicator signals, traders can implement effective risk mitigation strategies, including position downsizing, exits, gradual position building, or short covering. These actions align with the prevailing relative strength dynamics.
In summary, the Multi Period Relative Strength Indicator offers a nuanced and actionable perspective on an instrument's relative strength. By examining both short-term and 3-month trends, traders can make well-informed decisions to optimize their trading strategies and portfolio management.
Comparative Relative Strength AutoselectComparative Relative Strength (CRS) is a relative momentum indicator, used to compare a security against an index, or against another security. The comparison is used to show the relative performance to each other.
This script is a Quality of Life improvement, which attempts to match the base symbol to its relevant index on the local stock exchange. Thus automagically selecting the best and most relevant comparative symbol.
Features:
*optional comparative symbol override, in case your favourite index is not included in this script, or you want to force it to function as as a traditional cRS script without the autoselect feature.
* optional moving average crossover line
* optional absolute momentum calculation, calculating the excess return of the basesymbol and comparativesymbol against its own simple moving average.
Sector relative strength and correlation by KaschkoThis script provides a quick overview of the relative strength and correlation of the symbols in a sector by showing a line chart of the close prices on a percent scale with all symbols starting at zero at the left side of the chart. It allows a great deal of flexibility in the configuration of the sectors and symbols in it. The standard preset sectors cover the most important futures markets and their symbols.
However, up to ten sectors with up to ten symbols each can be freely configured. Each sector is defined by a single line that has the following format:
Sector name:Symbol suffix:List of comma separated symbols
For example, the first predefined sector is defined as follows.
Energies:1!:CL,HO,NG,RB
1. The name of the sector is "Energies"
2. The suffix is "1!", i.e., to each symbol in the list "1!" is appended to get the continous future for the given symbol root. When using stock, forex or other symbols, simply leave the suffix empty.
3. The list of comma separated symbols is "CL,HO,NG,RB", i.e. crude oil, heating oil, natural gas and gasoline. As the suffix is "1!", the actual symbols whose prices are shown are "CL1!","HO1!","NG1!" and "RB1!"
You can choose to use settlement-as-close and back-adjusted contracts. The sector can also be determined automatically ("Auto-select"). In this case, it is determined to which sector the symbol currently displayed in the main chart belongs and the script displays it in the context of the other symbols in the sector.
By selecting a suitable chart time frame and time range, you can quickly determine which symbols in the sector are stronger or weaker and which are more or less strongly correlated.
The following symbols are best suited for a quick trial, as the sectors are preset for these:
CL1!,ES1!,6A1!,6B1!,6c1!,6E1!,6J1!,6M1!,6N1!,6S1!,GC1!,GF1!,HE1!,HG1!,HO1!,LBR1!,LE1!,NG1!,NQ1!,PA1!,PL1!,RB1!,SI1!,YM1!,ZB1!,ZC1!,ZF1!,ZL1!,ZM1!,ZN1!,ZO1!,ZR1!,ZS1!,ZT1!,ZW1!,CC1!,CT1!,DX1!,KC1!,OJ1!,SB1!,RTY1!
You can also use the script to compare any symbols (e.g. different shares) with each other. Preferably use the "Custom" sector for this.
RedK Relative Strength Ribbon: RS Ribbon and RS ChartsRedK Relative Strength Ribbon (RedK RS_Ribbon) is TA tool that plots the Relative Strength of the current chart symbol against another symbol, or an index of choice. It enables us to see when a stock is gaining strength (or weakness) relative to (an index that represents) the market, and when it hits new highs or lows of that relative strength, which may lead to better trading decisions.
I searched TV for existing RS indicators but didn't find what I really wanted, so I put this together and added some additional features for my own use. It started as a simple RS line with new x-weeks Hi/Lo markers, then evolved into what you see here in v1.0 with the ability to plot a full RS chart in regular or HA candle types. Hope this will be useful to some other growth traders here on TV.
What is Relative Strength (RS)
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(RS is a comprehensive concept in TA, below is a quick summary - please research further if it's not already a familiar topic)
Relative Strength (RS) is a technical concept / indicator used mainly by growth / swing / momentum traders to compare the performance of one security or asset against another. RS measures the price performance of a specific security relative to a benchmark, such as an index or another asset. It's not to be confused with the famous Relative Strength Index (RSI) technical indicator
For example, In the context of comparing a stock's relative strength to the SPY (S&P 500) index, the relative strength calculation involves dividing the stock's price or price-related value (e.g., close price) by the corresponding value of the SPY index. The resulting ratio (and its trend over time) indicates the relative performance of the stock compared to the index.
Traders and investors use relative strength analysis to identify securities that have been showing relative strength or weakness compared to a benchmark, which can help in making investment decisions or identifying the "market leaders" and potential trading opportunities.
There are so many books and documentation about the RS concept and its importance to identify market leaders, especially when recovering from a bear market - if you're interested in the concept, please search more about it and review some of that literature. There's also a more detailed definition of Relative Strength in this article on Invstopedia
RedK RS_Ribbon features and options
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The indicator settings provide many options and features - see the settings box below
- Change / choose base symbol
The default is to use SPY as the base symbol - so we're comparing the chart's symbol to a proxy of the S&P 500 - Some traders may prefer to use the QQQ - or other index or ETF that acts as a proxy for the industry / sector / market they are trading
- RS Calculation / RS line
we use the simple form of the RS calculation,
RS = closing price of current chart symbol / closing price of the base symbol (default is SPY) * 100
some RS documentation will use the Rate of Change (RoC) - but that's not what we're using here.
- The RS_Ribbon
* Once the RS line is plotted, it made sense to add couple of moving averages to it, to make it easier to observe the trend of the RS and the changes in that trend as you can see in the sample chart on top.
* The RS_Ribbon is made up of a fast and slow moving averages and will change color (green / red) based on detected trend RS direction - the 2 MA types and lengths can be changed until you get the setup that provides the best view for you of the RS trend over time. My preferred settings are used as defaults here.
- Identifying New (x)Week Hi/Lo RS Values
* Most traders would be interested when the calculated RS hits a new 52-week high or low value.
* There are cases where we may want to see when a new RS Hi/Lo has been hit for a different period - for example, a quarter (13 weeks)
* the number of weeks can be changed as well as adjusting the numbers of trading days per week (if needed for certain symbols/exchanges)
- Working with Different Timeframes
* Now these "markers" will only be available in the daily and weekly timeframes and there is a good reason for that, it's not the fact that i'm lazy :) and that enabling this in timeframes lower than 1D would have been some heavy lifting, but the reality is that with RS, we're really interested if a "day's close" hits a new RS high or low value against the moving window of x weeks (and the weeks close also) - if you think of this more, at lower TF, RS can hit a lower value that never end up registering on the daily closing and that causes a lot of visual confusion. So i took the "cleaner way out" of that issue.
* note that you can choose a different timeframe for the RS_Ribbon than the chart - if you do, please make sure the chart is at a lower timeframe than the indicator's - (and in that case remember to hide the candles because they won't make much sense)
i wanted to leverage TV's built-in multi-Timeframe (MTF) support with the caveat that using the indicator at lower TF with a chart at a higher TF (example chart at 1Wk and indicator at 1D) will show inaccurate results. If this sounds confusing, keep the indicator TF same as the chart.
the example here shows a 2-Hr chart against 1D RS_Ribbon
- Using RS Charts and RS Candles
* Beside the ability to plot the RS "closing" value with the RS line, the indicator provides the ability to show a "full" RS Chart with candles that represent the relative values of open, high, low. and close against the base symbol.
* the RS Charts can be used for regular chart analysis, for example, we can identify common chart patterns like Cup & Handle, VCP, Head & Shoulder..etc using these charts .. which can provide some edge over the price charts
* for the Heikin Ashi fans, I added the ability to choose classic or HA candles for the chart. note you have to enable the option to show the RS candles first before you choose the option to switch to HA.
The chart below shows a side-by-side comparison on the 2 RS chart types
Closing remarks
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* RS is a good way to identify market/sector leaders (who will usually recover from a bear market before others) - and enable us to see the strength that comes from the broader makrket versus the one that comes from the stock's own performance and identify good trading opportunities
* I'll continue to update this work and alerts will come in next version - but wanted to check initial reaction and value
* as usual, if you decide to use this in your chart analysis, it's necessary to combine with other momentum, trend, ...etc indicators and do not make trading decision only based on the signales from a single indicator
