Uptrick: Smart BoundariesThis script is an indicator that combines the RSI (Relative Strength Index) and Bollinger Bands to highlight potential points where price momentum and volatility may both be at extreme levels. Below is a detailed explanation of its components, how it calculates signals, and why these two indicators have been merged into one tool. This script is intended solely for educational purposes and for traders who want to explore the combined use of momentum and volatility measures. Please remember that no single indicator guarantees profitable results.
Purpose of This Script
This script is designed to serve as a concise, all-in-one tool for traders seeking to track both momentum and volatility extremes in real time. By overlaying RSI signals with Bollinger Band boundaries, it helps users quickly identify points on a chart where price movement may be highly stretched. The goal is to offer a clearer snapshot of potential overbought or oversold conditions without requiring two separate indicators. Additionally, its optional pyramiding feature enables users to manage how many times they initiate trades when signals repeat in the same direction. Through these combined functions, the script aims to streamline technical analysis by consolidating two popular measures—momentum via RSI and volatility via Bollinger Bands—into a single, manageable interface.
1. Why Combine RSI and Bollinger Bands
• RSI (Relative Strength Index): This is a momentum oscillator that measures the speed and magnitude of recent price changes. It typically ranges between 0 and 100. Traders often watch for RSI crossing into “overbought” or “oversold” levels because it may indicate a potential shift in momentum.
• Bollinger Bands: These bands are plotted around a moving average, using a standard deviation multiplier to create an upper and lower boundary. They help illustrate how volatile the price has been relative to its recent average. When price moves outside these boundaries, some traders see it as a sign the price may be overstretched and could revert closer to the average.
Combining these two can be useful because it blends two different perspectives on market movement. RSI attempts to identify momentum extremes, while Bollinger Bands track volatility extremes. By looking for moments when both conditions agree, the script tries to highlight points where price might be unusually stretched in terms of both momentum and volatility.
2. How Signals Are Generated
• Buy Condition:
- RSI dips below a specified “oversold” level (for example, 30 by default).
- Price closes below the lower Bollinger Band.
When these occur together, the script draws a label indicating a potential bullish opportunity. The underlying reasoning is that momentum (RSI) suggests a stronger-than-usual sell-off, and price is also stretched below the lower Bollinger Band.
• Sell Condition:
- RSI rises above a specified “overbought” level (for example, 70 by default).
- Price closes above the upper Bollinger Band.
When these occur together, a label is plotted for a potential bearish opportunity. The rationale is that momentum (RSI) may be overheated, and the price is trading outside the top of its volatility range.
3. Pyramiding Logic and Trade Count Management
• Pyramiding refers to taking multiple positions in the same direction when signals keep firing. While some traders prefer just one position per signal, others like to scale into a trade if the market keeps pushing in their favor.
• This script uses variables that keep track of how many recent buy or sell signals have fired. If the count reaches a user-defined maximum, no more signals of that type will trigger additional labels. This protects traders from over-committing to one direction if the market conditions remain “extreme” for a prolonged period.
• If you disable the pyramiding feature, the script will only plot one label per side until the condition resets (i.e., until RSI and price conditions are no longer met).
4. Labels and Visual Feedback
• Whenever a buy or sell condition appears, the script plots a label directly on the chart:
- Buy labels under the price bar.
- Sell labels above the price bar.
These labels make it easier to review where both RSI and Bollinger Band conditions align. It can be helpful for visually scanning the chart to see if the signals show any patterns related to market reversals or trend continuations.
• The Bollinger Bands themselves are plotted so traders can see when the price is approaching or exceeding the upper or lower band. Watching the RSI and Bollinger Band plots simultaneously can give traders more context for each signal.
5. Originality and Usefulness
This script provides a distinct approach by merging two well-established concepts—RSI and Bollinger Bands—within a single framework, complemented by optional pyramiding controls. Rather than using each indicator separately, it attempts to uncover moments when momentum signals from RSI align with volatility extremes highlighted by Bollinger Bands. This combined perspective can aid in spotting areas of possible overextension in price. Additionally, the built-in pyramiding mechanism offers a method to manage multiple signals in the same direction, allowing users to adjust how aggressively they scale into trades. By integrating these elements together, the script aims to deliver a tool that caters to diverse trading styles while remaining straightforward to configure and interpret.
6. How to Use the Indicator
• Configure the Inputs:
- RSI Length (the lookback period used for the RSI calculation).
- RSI Overbought and Oversold Levels.
- Bollinger Bands Length and Multiplier (defines the moving average period and the degree of deviation).
- Option to reduce pyramiding.
• Set Alerts (Optional):
- You can create TradingView alerts for when these conditions occur, so you do not have to monitor the chart constantly. Choose the buy or sell alert conditions in your alert settings.
• Integration in a Trading Plan:
- This script alone is not a complete trading system. Consider combining it with other forms of analysis, such as support and resistance, volume profiles, or candlestick patterns. Thorough research, testing on historical data, and risk management are always recommended.
7. No Performance Guarantees
• This script does not promise any specific trading results. It is crucial to remember that no single indicator can accurately predict future market movements all the time. The script simply tries to highlight moments when two well-known indicators both point to an extreme condition.
• Actual trading decisions should factor in a range of market information, including personal risk tolerance and broader market conditions.
8. Purpose and Limitations
• Purpose:
- Provide a combined view of momentum (RSI) and volatility (Bollinger Bands) in a single script.
- Assist in spotting times when price may be at an extreme.
- Offer a configurable system for labeling potential buy or sell points based on these extremes.
• Limitations:
- Overbought and oversold conditions can persist for an extended period in trending markets.
- Bollinger Band breakouts do not always result in immediate reversals. Sometimes price keeps moving in the same direction.
- The script does not include a built-in exit strategy or risk management rules. Traders must handle these themselves.
Additional Disclosures
This script is published open-source and does not rely on any external or private libraries. It does not use lookahead methods or repaint signals; all calculations are performed on the current bar without referencing future data. Furthermore, the script is designed for standard candlestick or bar charts rather than non-standard chart types (e.g., Heikin Ashi, Renko). Traders should keep in mind that while the script can help locate potential momentum and volatility extremes, it does not include an exit strategy or account for factors like slippage or commission. All code comes from built-in Pine Script functions and standard formulas for RSI and Bollinger Bands. Anyone reviewing or modifying this script should exercise caution and incorporate proper risk management when applying it to their own trading.
Calculation Details
The script computes RSI by examining a user-defined number of prior bars (the RSI Length) and determining the average of up-moves relative to the average of down-moves over that period. This ratio is then scaled to a 0–100 range, so lower values typically indicate stronger downward momentum, while higher values suggest stronger upward momentum. In parallel, Bollinger Bands are generated by first calculating a simple moving average (SMA) of the closing price for the user-specified length. The script then measures the standard deviation of closing prices over the same period and multiplies it by the chosen factor (the Bollinger Bands Multiplier) to form the upper and lower boundaries around the SMA. These two measures are checked in tandem: if the RSI dips below a certain oversold threshold and price trades below the lower Bollinger Band, a condition is met that may imply a strong short-term sell-off; similarly, if the RSI surpasses the overbought threshold and price rises above the upper Band, it may indicate an overextended move to the upside. The pyramiding counters track how many of these signals occur in sequence, preventing excessive stacking of labels on the chart if conditions remain extreme for multiple bars.
Conclusion
This indicator aims to provide a more complete view of potential market extremes by overlaying the RSI’s momentum readings on top of Bollinger Band volatility signals. By doing so, it attempts to help traders see when both indicators suggest that the market might be oversold or overbought. The optional reduced pyramiding logic further refines how many signals appear, giving users the choice of a single entry or multiple scaling entries. It does not claim any guaranteed success or predictive power, but rather serves as a tool for those wanting to explore this combined approach. Always be cautious and consider multiple factors before placing any trades.
波動率
ICCMSThis TradingView Pine Script implements the Cloud indicator, which consists of several components to analyze market trends. It calculates the Tenkan-sen (conversion line) and Kijun-sen (base line) using Donchian channel averages over specified periods. Additionally, it computes two leading spans to create a cloud (Kumo) that visually represents support and resistance levels. The script plots these lines on the chart, including a lagging span that follows the price. The cloud's fill color changes based on the relationship between the leading spans, indicating bullish or bearish conditions.
Momentum Indicators SuiteThis script is a Momentum Indicators Suite for traders using Pine Script™ (version 5). Its purpose is to evaluate market conditions by aggregating signals from multiple technical indicators into a single "bullish," "bearish," or "neutral" state. Below is a detailed breakdown of its components and functionality:
1. Indicators Used
The script incorporates several well-known technical indicators to assess market momentum:
RSI (Relative Strength Index)
MACD (Moving Average Convergence Divergence)
Stochastic Oscillator
TSI (True Strength Index)
CCI (Commodity Channel Index)
Choppiness Index
Vortex Indicator
Momentum and ROC (Rate of Change)
2. Scoring System
Each indicator assigns points based on its signals:
+1 Point for bullish conditions.
-1 Point for bearish conditions.
0 Points for neutral or indecisive signals.
These points are aggregated to calculate a total score (totalPoints), representing overall market momentum.
3. Market State Determination
The total points determine the market state:
Bullish if totalPoints > 0.
Bearish if totalPoints < 0.
4. Dynamic Trend Label
When the market state changes, a label is added to the chart:
Green label for bullish trends.
Red label for bearish trends.
5. Visual Enhancements - Plot and Fill (Optional)
6. Customization - Traders can adjust several inputs for fine-tuning:
7. Target Audience - This script is ideal for:
Traders who rely on momentum and trend analysis for decision-making.
Those seeking a consolidated view of multiple indicators.
Swing and day traders aiming to identify trend changes promptly.
8. Potential Use Cases
Trend Confirmation: Helps confirm bullish or bearish market trends.
Trade Setup Identification: Assists in aligning trades with dominant market momentum.
Risk Management: Signals market neutrality or choppiness to avoid indecisive conditions.
This script simplifies complex momentum analysis by aggregating multiple indicators into actionable insights, making it a valuable tool for technical traders.
Volatility ProfileVolatility Profile allows for a fast comparison of the Average True Range from different time frames.
In addition to that, for each time frame it calculates the maximum and the minimum value over a set number of bars and divides the range between the maximum and the minimum in three parts to create three different volatility classes, which allows the user to quickly see how big the current value really is in relation to the past.
The settings allow the user to set the two extra time frames apart from the main time frame and the ATR length for each of the three ATR's, as well as the look back period to calculate the maximum and the minimum values.
This indicator is meant to help create a much more comprehensive view of the instrument's volatility.
Dynamic Hybrid IndicatorHedef: Kısa vadeli trend dönüşlerini erken tespit ederek al-sat sinyalleri üretmek.
Zaman Dilimi: 1 dakikalık, 5 dakikalık ya da 15 dakikalık grafikler.
Dynamic Volatility Heatmap (ATR)How the Script Works
Dynamic Thresholds:
atrLow and atrHigh are calculated as percentiles (20% and 80% by default) of ATR values over the last double the ATR period (28 days if ATR is 14).
This creates thresholds that adapt to recent market conditions.
Background Heatmap:
Green: ATR is below the low threshold, indicating calm markets (options are cheap).
Red: ATR is above the high threshold, signaling elevated volatility (options are expensive).
Yellow: ATR is within the normal range, showing neutral market conditions.
Overlay Lines:
]Dynamic lines for atrLow and atrHigh help visualize thresholds on the chart.
Interpretation for Trading
Green Zone (Low ATR):
Interpretation: The market is calm, and options are likely underpriced.
Trade Setup: Favor buying options (e.g., long straddles or long calls/puts) to profit from potential volatility increases.
Red Zone (High ATR):
Interpretation: The market is volatile, and options are likely overpriced.
Trade Setup: Favor selling options (e.g., credit spreads or iron condors) to benefit from volatility decay.
Yellow Zone (Neutral ATR):
Interpretation: Volatility is within typical levels, offering no strong signal.
Trade Setup: Combine with other indicators, such as gamma levels or Bollinger Bands, for confirmation.
5. Enhancing with Other Indicators
Combine with Bollinger Bands:
Overlay Bollinger Bands to identify price extremes and align them with volatility heatmap signals.
Volatility-Weighted MA (VWMA)Interpretation:
VWMA adjusts to changes in market volatility, offering dynamic support and resistance levels.
Sharp deviations from VWMA often signal potential reversals or breakouts.
How to Use for Trades:
Mean Reversion: Look for price rejections at VWMA in low-volatility environments.
Trend Breakout: Trade in the direction of the breakout when price closes strongly above/below VWMA in high-volatility conditions.
Average True Range (ATR) 20АТР 20 дней
Простой атр на 20 дней
веноывеароывпарто
споываро ыкео
саноыкоыяк
ыяояаывчпо
Enhanced Price Z-Score OscillatorThe Enhanced Price Z-Score Oscillator by tkarolak is a powerful tool that transforms raw price data into an easy-to-understand statistical visualization using Z-Score-derived candlesticks. Simply put, it shows how far prices stray from their average in terms of standard deviations (Z-Scores), helping traders identify when prices are unusually high (overbought) or unusually low (oversold).
The indicator’s default feature displays Z-Score Candlesticks, where each candle reflects the statistical “distance” of the open, high, low, and close prices from their average. This creates a visual map of market extremes and potential reversal points. For added flexibility, you can also switch to Z-Score line plots based on either Close prices or OHLC4 averages.
With clear threshold lines (±2σ and ±3σ) marking moderate and extreme price deviations, and color-coded zones to highlight overbought and oversold areas, the oscillator simplifies complex statistical concepts into actionable trading insights.
ADR Indicator % Target - Average Daily Range (10 days)ADR Indicator
Average Daily Range
% Target S & R
10 DAYS BACK
Buy-Sell-rVolume [BSR] IndicatorBSR is a combination of buy and sell volumes with various length relative volumes of different ranges which is used as a relative volume crossover, indicating incoming volatility of buy or sell direction. BSR offers different options for monitoring buy or sell volumes and relative volume.
Santa's Adventure [AlgoAlpha]Introducing "Santa's Adventure," a unique and festive TradingView indicator designed to bring the holiday spirit to your trading charts. With this indicator, watch as Santa, his sleigh, Rudolf the reindeer, and a flurry of snowflakes come to life, creating a cheerful visual experience while you monitor the markets.
Key Features:
🎁 Dynamic Santa Sleigh Visualization : Santa's sleigh, Rudolf, and holiday presents adapt to price movements and chart structure.
🎨 Customizable Holiday Colors : Adjust colors for Santa’s outfit, Rudolf’s nose, sleigh, presents, and more.
❄️ Realistic Snow Animation : A cascade of snowflakes decorates your charts, with density and range adjustable to suit your preferences.
📏 Adaptive Scaling : All visuals scale based on price volatility and market dynamics.
🔄 Rotation by Trend : Santa and his entourage tilt to reflect market trends, making it both functional and fun!
How to Use :
Add the Indicator to Your Chart : Search for "Santa's Adventure" in the TradingView indicator library and add it to your favorites. Use the input menu to adjust snow density, sleigh colors, and other festive elements to match your trading style or holiday mood.
Observe the Market : Watch Santa’s sleigh glide across the chart while Rudolf leads the way, with snowflakes gently falling to enhance the visual charm.
How It Works :
The indicator uses price volatility and market data to dynamically position Santa, his sleigh, Rudolf, and presents on the chart. Santa's Sleigh angle adjusts based on price trends, reflecting market direction. Santa's sleigh and the snowstorm are plotted using advanced polyline arrays for a smooth and interactive display. A festive algorithm powers the snowfall animation, ensuring a consistent and immersive holiday atmosphere. The visuals are built to adapt seamlessly to any market environment, combining holiday cheer with market insights.
Add "Santa's Adventure" to your TradingView charts today and bring the holiday spirit to your trading journey, Merry Christmas! 🎅🎄
Filtered ATR with EMA OverlayFiltered ATR with EMA Overlay is an advanced volatility indicator designed to provide a more accurate representation of market conditions by smoothing the standard Average True Range (ATR). This is achieved by filtering out extreme price movements and abnormal bars that can distort traditional ATR calculations.
The indicator applies an Exponential Moving Average (EMA) to the filtered ATR, creating a dual-layered system that highlights periods of increased or decreased volatility.
Key Features:
Filtered ATR: Filters out extreme bars, reducing noise and making the ATR line more reliable.
EMA Overlay: An EMA (default period of 10) is applied to the filtered ATR, allowing traders to track average volatility trends.
Volatility Signals:
Filtered ATR > EMA(10): Indicates higher-than-average volatility. This often correlates with trend breakouts or strong price movements.
Filtered ATR < EMA(10): Suggests reduced volatility, signaling potential consolidation or sideways price action.
Parameters:
atrLength (Default: 5):
The number of bars used to calculate the ATR. A shorter period (e.g., 3-5) responds faster to price changes, while a longer period (e.g., 10-14) provides smoother results.
multiplier (Default: 1.8):
Controls the sensitivity of the filter. A lower multiplier (e.g., 1.5) filters out more bars, resulting in smoother ATR. Higher values (e.g., 2.0) allow more bars to pass through, retaining more price volatility.
maxIterations (Default: 20):
The maximum number of bars processed to detect abnormal values. Increasing this may improve accuracy at the cost of performance.
ema10Period (Default: 10):
The period for the Exponential Moving Average applied to the filtered ATR. Shorter periods provide faster signals, while longer periods give smoother, lagging signals.
Trading Strategies:
1. Breakout Strategy:
When filtered ATR crosses above EMA(10):
Enter long positions when price breaks above a key resistance level.
Higher volatility suggests strong price action and momentum.
When filtered ATR drops below EMA(10):
Exit positions or tighten stop-loss orders as volatility decreases.
Lower volatility may indicate consolidation or trend exhaustion.
2. Trend Following Strategy:
Use the filtered ATR line to track overall volatility.
If filtered ATR consistently stays above EMA: Hold positions or add to trades.
If filtered ATR remains below EMA: Reduce position size or stay out of trades.
3. Mean Reversion Strategy:
When filtered ATR spikes significantly above EMA, it may indicate market overreaction.
Look for price to revert to the mean once ATR returns below the EMA.
4. Stop-Loss Adjustment:
As volatility increases (ATR above EMA), widen stop-loss levels to avoid being stopped out by random fluctuations.
In low volatility (ATR below EMA), tighten stop-losses to minimize losses during low activity periods.
Benefits:
Reduced Noise: By filtering abnormal bars, the indicator provides cleaner signals.
Better Trend Detection: EMA smoothing highlights volatility trends.
Adaptable: The indicator can be customized for scalping, day trading, or swing trading.
Intuitive Visualization: Traders can visually see volatility shifts and adjust strategies in real-time.
Best Practices:
Timeframes: Works effectively on all timeframes, but higher timeframes (e.g., 1H, 4H, Daily) yield more reliable signals.
Markets: Suitable for forex, crypto, stocks, and commodities.
Combining Indicators: Use in combination with RSI, Moving Averages, Bollinger Bands, or price action analysis for stronger signals.
How It Works (Under the Hood):
The script calculates the Daily Range (High - Low) for each bar.
The largest and smallest bars are filtered out if their difference exceeds the multiplier (default 1.8).
The remaining bars are averaged to generate the filtered ATR.
An EMA(10) is then applied to the filtered ATR for smoother visualization.
Breadth of Volatility The Breadth of Volatility (BoV) is an indicator designed to help traders understand the activity and volatility of the market. It focuses on analyzing how fast prices are moving and how much trading volume is driving those movements. By combining these two factors—price speed and volume strength—the BoV provides a single value that reflects the current level of market activity. This can help traders identify when the market is particularly active or calm, which is useful for planning trading strategies.
The speed component of the BoV measures how quickly prices are moving compared to their recent average. This is done by using a metric called the Average True Range (ATR), which calculates the typical size of price movements over a specific period. The BoV compares the current price change to this average, showing whether the market is moving faster or slower than usual. Faster price movements generally indicate higher volatility, which might signal opportunities for active traders.
The strength component focuses on the role of trading volume in price changes. It multiplies the trading volume by the size of the price movement to create a value called volume strength. This value is then compared to the highest volume strength seen over a recent period, which helps gauge whether the current price action is being strongly supported by trading activity. When the strength value is high, it suggests that market participants are actively trading and supporting the price movement.
These two components—speed and strength—are averaged to calculate the Breadth of Volatility value. While the formula also includes a placeholder for a third component (related to fundamental analysis), it is currently inactive and does not influence the final value. The BoV is displayed as a line on a chart, with a zero line for reference. Positive BoV values indicate heightened market activity and volatility, while values near zero suggest a quieter market. This indicator is particularly helpful for new traders to monitor market conditions and adjust their strategies accordingly, whether they’re focusing on trend-following or waiting for calmer periods for more conservative trades.
Important Notice:
Trading financial markets involves significant risk and may not be suitable for all investors. The use of technical indicators like this one does not guarantee profitable results. This indicator should not be used as a standalone analysis tool. It is essential to combine it with other forms of analysis, such as fundamental analysis, risk management strategies, and awareness of current market conditions. Always conduct thorough research or consult with a qualified financial advisor before making trading decisions. Past performance is not indicative of future results.
Disclaimer:
Trading financial instruments involves substantial risk and may not be suitable for all investors. Past performance is not indicative of future results. This indicator is provided for informational and educational purposes only and should not be considered investment advice. Always conduct your own research and consult with a licensed financial professional before making any trading decisions.
Note: The effectiveness of any technical indicator can vary based on market conditions and individual trading styles. It's crucial to test indicators thoroughly using historical data and possibly paper trading before applying them in live trading scenarios.
Abnormal Delta Volume HistogramThis indicator can help traders spot potential turning points or heightened volatility and provides a dynamic measure of unusual market behavior by focusing on shifts in “delta volume.” Delta volume is approximated by assigning all of a bar’s volume to the bullish side if the close is higher than the open and to the bearish side if the close is lower. The result is a net volume measure that can hint at which side—buyers or sellers—has the upper hand. By comparing this delta volume to its historical averages and measuring how far current readings deviate in terms of standard deviations, the indicator can highlight bars that reflect significantly stronger than normal buying or selling pressure.
A histogram visualizes these delta volume values on a bar-by-bar basis, while additional reference lines for the mean and threshold boundaries allow traders to quickly identify abnormal conditions. When the histogram bars extend beyond the threshold lines, and are colored differently to signal abnormality, it can draw the trader’s eye to periods when market participation or sentiment may be shifting rapidly. This can be used as an early warning signal, prompting further investigation into price action, external news, or significant events that may be driving unusual volume patterns.
Important Notice:
Trading financial markets involves significant risk and may not be suitable for all investors. The use of technical indicators like this one does not guarantee profitable results. This indicator should not be used as a standalone analysis tool. It is essential to combine it with other forms of analysis, such as fundamental analysis, risk management strategies, and awareness of current market conditions. Always conduct thorough research or consult with a qualified financial advisor before making trading decisions. Past performance is not indicative of future results.
Disclaimer:
Trading financial instruments involves substantial risk and may not be suitable for all investors. Past performance is not indicative of future results. This indicator is provided for informational and educational purposes only and should not be considered investment advice. Always conduct your own research and consult with a licensed financial professional before making any trading decisions.
Note: The effectiveness of any technical indicator can vary based on market conditions and individual trading styles. It's crucial to test indicators thoroughly using historical data and possibly paper trading before applying them in live trading scenarios.
MA Deviation Suite [InvestorUnknown]This indicator combines advanced moving average techniques with multiple deviation metrics to offer traders a versatile tool for analyzing market trends and volatility.
Moving Average Types :
SMA, EMA, HMA, DEMA, FRAMA, VWMA: Standard moving averages with different characteristics for smoothing price data.
Corrective MA: This method corrects the MA by considering the variance, providing a more responsive average to price changes.
f_cma(float src, simple int length) =>
ma = ta.sma(src, length)
v1 = ta.variance(src, length)
v2 = math.pow(nz(ma , ma) - ma, 2)
v3 = v1 == 0 or v2 == 0 ? 1 : v2 / (v1 + v2)
var tolerance = math.pow(10, -5)
float err = 1
// Gain Factor
float kPrev = 1
float k = 1
for i = 0 to 5000 by 1
if err > tolerance
k := v3 * kPrev * (2 - kPrev)
err := kPrev - k
kPrev := k
kPrev
ma := nz(ma , src) + k * (ma - nz(ma , src))
Fisher Least Squares MA: Aims to reduce lag by using a Fisher Transform on residuals.
f_flsma(float src, simple int len) =>
ma = src
e = ta.sma(math.abs(src - nz(ma )), len)
z = ta.sma(src - nz(ma , src), len) / e
r = (math.exp(2 * z) - 1) / (math.exp(2 * z) + 1)
a = (bar_index - ta.sma(bar_index, len)) / ta.stdev(bar_index, len) * r
ma := ta.sma(src, len) + a * ta.stdev(src, len)
Sine-Weighted MA & Cosine-Weighted MA: These give more weight to middle bars, creating a smoother curve; Cosine weights are shifted for a different focus.
Deviation Metrics :
Average Absolute Deviation (AAD) and Median Absolute Deviation (MAD): AAD calculates the average of absolute deviations from the MA, offering a measure of volatility. MAD uses the median, which can be less sensitive to outliers.
Standard Deviation (StDev): Measures the dispersion of prices from the mean.
Average True Range (ATR): Reflects market volatility by considering the day's range.
Average Deviation (adev): The average of previous deviations.
// Calculate deviations
float aad = f_aad(src, dev_len, ma) * dev_mul
float mad = f_mad(src, dev_len, ma) * dev_mul
float stdev = ta.stdev(src, dev_len) * dev_mul
float atr = ta.atr(dev_len) * dev_mul
float avg_dev = math.avg(aad, mad, stdev, atr)
// Calculated Median with +dev and -dev
float aad_p = ma + aad
float aad_m = ma - aad
float mad_p = ma + mad
float mad_m = ma - mad
float stdev_p = ma + stdev
float stdev_m = ma - stdev
float atr_p = ma + atr
float atr_m = ma - atr
float adev_p = ma + avg_dev
float adev_m = ma - avg_dev
// upper and lower
float upper = f_max4(aad_p, mad_p, stdev_p, atr_p)
float upper2 = f_min4(aad_p, mad_p, stdev_p, atr_p)
float lower = f_min4(aad_m, mad_m, stdev_m, atr_m)
float lower2 = f_max4(aad_m, mad_m, stdev_m, atr_m)
Determining Trend
The indicator generates trend signals by assessing where price stands relative to these deviation-based lines. It assigns a trend score by summing individual signals from each deviation measure. For instance, if price crosses above the MAD-based upper line, it contributes a bullish point; crossing below an ATR-based lower line contributes a bearish point.
When the aggregated trend score crosses above zero, it suggests a shift towards a bullish environment; crossing below zero indicates a bearish bias.
// Define Trend scores
var int aad_t = 0
if ta.crossover(src, aad_p)
aad_t := 1
if ta.crossunder(src, aad_m)
aad_t := -1
var int mad_t = 0
if ta.crossover(src, mad_p)
mad_t := 1
if ta.crossunder(src, mad_m)
mad_t := -1
var int stdev_t = 0
if ta.crossover(src, stdev_p)
stdev_t := 1
if ta.crossunder(src, stdev_m)
stdev_t := -1
var int atr_t = 0
if ta.crossover(src, atr_p)
atr_t := 1
if ta.crossunder(src, atr_m)
atr_t := -1
var int adev_t = 0
if ta.crossover(src, adev_p)
adev_t := 1
if ta.crossunder(src, adev_m)
adev_t := -1
int upper_t = src > upper ? 3 : 0
int lower_t = src < lower ? 0 : -3
int upper2_t = src > upper2 ? 1 : 0
int lower2_t = src < lower2 ? 0 : -1
float trend = aad_t + mad_t + stdev_t + atr_t + adev_t + upper_t + lower_t + upper2_t + lower2_t
var float sig = 0
if ta.crossover(trend, 0)
sig := 1
else if ta.crossunder(trend, 0)
sig := -1
Backtesting and Performance Metrics
The code integrates with a backtesting library that allows traders to:
Evaluate the strategy historically
Compare the indicator’s signals with a simple buy-and-hold approach
Generate performance metrics (e.g., mean returns, Sharpe Ratio, Sortino Ratio) to assess historical effectiveness.
Practical Usage and Calibration
Default settings are not optimized: The given parameters serve as a starting point for demonstration. Users should adjust:
len: Affects how smooth and lagging the moving average is.
dev_len and dev_mul: Influence the sensitivity of the deviation measures. Larger multipliers widen the bands, potentially reducing false signals but introducing more lag. Smaller multipliers tighten the bands, producing quicker signals but potentially more whipsaws.
This flexibility allows the trader to tailor the indicator for various markets (stocks, forex, crypto) and time frames.
Disclaimer
No guaranteed results: Historical performance does not guarantee future outcomes. Market conditions can vary widely.
User responsibility: Traders should combine this indicator with other forms of analysis, appropriate risk management, and careful calibration of parameters.
ATR Oscillator with Dots and Dynamic Zero LineWhat It Is
The ATR Oscillator with Dots and Dynamic Zero Line is a custom indicator based on the Average True Range (ATR), designed to provide traders with enhanced insights into market volatility and directional bias. Unlike traditional ATR oscillators that plot continuous lines, this version uses distinct dots to display ATR values and includes a dynamic zero line that changes color based on market direction (uptrend, downtrend, or consolidation).
How It Works
ATR Calculation:
The indicator calculates the Average True Range over a user-defined period (default: 14 bars). ATR measures market volatility by considering the range between the high, low, and close of each bar.
Dots for ATR Values:
Instead of plotting ATR values as a continuous line, the indicator represents each value as an individual blue dot. This format highlights changes in volatility without visually connecting them, helping to avoid false trends and clutter.
Dynamic Zero Line:
A horizontal zero line provides additional directional context. The line changes color dynamically:
Green: Indicates an uptrend (price is consistently closing higher over consecutive bars).
Red: Indicates a downtrend (price is consistently closing lower over consecutive bars).
Gray: Indicates market consolidation or sideways movement (no clear trend in price).
The thickness and step-like style of the zero line make it visually prominent, enabling quick interpretation of market direction.
What It Does
Visualizes Market Volatility:
By plotting ATR values as dots, the oscillator emphasizes periods of heightened or reduced market activity, helping traders anticipate breakout opportunities or avoid low-volatility zones.
Provides Trend Context:
The dynamic zero line gives traders a clear signal of the prevailing market trend (uptrend, downtrend, or consolidation), which can be used to align trading strategies with the broader market context.
Avoids Misleading Trends:
Unlike traditional ATR oscillators that use continuous lines, this version eliminates visual artifacts caused by noise, such as false trends during consolidation periods.
Simplifies Interpretation:
The combination of ATR dots and a color-coded zero line creates a straightforward and intuitive tool for assessing both volatility and market direction.
Why It’s More Useful Than a Traditional ATR Oscillator
Enhanced Visibility:
The use of dots instead of a continuous line makes it easier to spot discrete changes in ATR values, avoiding visual clutter and false impressions of smooth trends.
Dynamic Market Context:
Traditional ATR oscillators only measure volatility, offering no indication of market direction. The dynamic zero line in this oscillator adds valuable directional context, helping traders align their strategies with the trend.
Better for Range-Bound Markets:
The zero line’s color-changing feature highlights consolidation periods, enabling traders to identify and avoid trading during sideways, low-volatility conditions where false signals are common.
Quick Decision-Making:
With clear visual cues (dots and color-coded lines), traders can quickly assess market conditions without needing to analyze multiple charts or indicators.
Improved Confluence:
The oscillator’s signals can easily be combined with other tools like VWAP, Volume Profile, or Order Flow indicators for more confident trade decisions.
When to Use It
Trending Markets:
Use the dynamic zero line to confirm the market’s direction and align trades accordingly.
Breakout Opportunities:
Look for periods of increasing ATR (dots moving higher) to anticipate high-volatility breakout scenarios.
Avoiding Noise:
During consolidation (gray zero line), this oscillator warns traders to wait for clearer signals before entering trades.
TS Aggregated Median Absolute DeviationTS Aggregated Median Absolute Deviation (MAD) Indicator Explanation
Overview
The TS Aggregated Median Absolute Deviation (MAD) is a powerful indicator designed for traders looking for momentum-based strategies. By aggregating the Median Absolute Deviation (MAD) across multiple timeframes, it provides a comprehensive view of market dynamics. This indicator helps identify potential reversal points, overbought/oversold conditions, and general market trends by leveraging the concept of MAD, which measures price dispersion from the median.
Signal Generation:
Long Signal: Triggered when the price moves above the aggregated upper band
Short Signal: Triggered when the price moves below the aggregated red band
Alerts:
Real-time alerts are integrated to notify the user of long or short signals when confirmed:
Long Signal Alert: "TS MAD Flipped ⬆LONG⬆"
Short Signal Alert: "TS MAD Flipped ⬇Short⬇"
Optimization:
Adjust thresholds, MAD lengths, and multipliers for each timeframe to suit the specific asset and market conditions.
Experiment with enabling/disabling MAD components to focus on particular timeframes.
Market Flow Volatility Oscillator (AiBitcoinTrend)The Market Flow Volatility Oscillator (AiBitcoinTrend) is a cutting-edge technical analysis tool designed to evaluate and classify market volatility regimes. By leveraging Gaussian filtering and clustering techniques, this indicator provides traders with clear insights into periods of high and low volatility, helping them adapt their strategies to evolving market conditions. Built for precision and clarity, it combines advanced mathematical models with intuitive visual feedback to identify trends and volatility shifts effectively.
👽 How the Indicator Works
👾 Volatility Classification with Gaussian Filtering
The indicator detects volatility levels by applying Gaussian filters to the price series. Gaussian filters smooth out noise while preserving significant price movements. Traders can adjust the smoothing levels using sigma parameters, enabling greater flexibility:
Low Sigma: Emphasizes short-term volatility.
High Sigma: Captures broader trends with reduced sensitivity to small fluctuations.
👾 Clustering Algorithm for Regime Detection
The core of this indicator is its clustering model, which classifies market conditions into two distinct regimes:
Low Volatility Regime: Calm periods with reduced market activity.
High Volatility Regime: Intense periods with heightened price movements.
The clustering process works as follows:
A rolling window of data is analyzed to calculate the standard deviation of price returns.
Two cluster centers are initialized using the 25th and 75th percentiles of the data distribution.
Each price volatility value is assigned to the nearest cluster based on its distance to the centers.
The cluster centers are refined iteratively, providing an accurate and adaptive classification.
👾 Oscillator Generation with Slope R-Values
The indicator computes Gaussian filter slopes to generate oscillators that visualize trends:
Oscillator Low: Captures low-frequency market behavior.
Oscillator High: Tracks high-frequency, faster-changing trends.
The slope is measured using the R-value of the linear regression fit, scaled and adjusted for easier interpretation.
👽 Applications
👾 Trend Trading
When the oscillator rises above 0.5, it signals potential bullish momentum, while dips below 0.5 suggest bearish sentiment.
👾 Pullback Detection
When the oscillator peaks, especially in overbought or oversold zones, provide early warnings of potential reversals.
👽 Indicator Settings
👾 Oscillator Settings
Sigma Low/High: Controls the smoothness of the oscillators.
Smaller Values: React faster to price changes but introduce more noise.
Larger Values: Provide smoother signals with longer-term insights.
👾 Window Size and Refit Interval
Window Size: Defines the rolling period for cluster and volatility calculations.
Shorter windows: adapt faster to market changes.
Longer windows: produce stable, reliable classifications.
Disclaimer: This information is for entertainment purposes only and does not constitute financial advice. Please consult with a qualified financial advisor before making any investment decisions.
EGARCH Volatility Estimator
EGARCH Volatility Estimator (EVE)
Overview:
The EGARCH Volatility Estimator (EVE) is a Pine Script indicator designed to quantify market volatility using the Exponential Generalized Autoregressive Conditional Heteroskedasticity (EGARCH) model. This model captures both symmetric and asymmetric volatility dynamics and provides a robust tool for analyzing market risk and trends.
Key Features:
Core EGARCH Formula:
ln(σ t 2 )=ω+α(∣ϵ t−1 ∣+γ⋅ϵ t−1 )+β⋅ln(σ t−1 2 )
ω (Omega): Captures long-term baseline volatility.
α (Alpha): Measures sensitivity to recent shocks.
γ (Gamma): Incorporates asymmetric effects (e.g., higher volatility during market drops).
β (Beta): Reflects the persistence of historical volatility.
The formula computes log-volatility, which is then converted to actual volatility for interpretation.
Standardized Returns:
The script calculates daily log-returns and standardizes them to measure deviations from expected price changes.
Percentile-Based Volatility Analysis:
Tracks the percentile rank of current volatility over a historical lookback period.
Highlights high, medium, or low volatility zones using dynamic background colors.
Dynamic Normalization:
Maps volatility into a normalized range ( ) for better visual interpretation.
Uses color gradients (green to red) to reflect changing volatility levels.
SMA Integration:
Adds a Simple Moving Average (SMA) of either EGARCH volatility or its percentile for trend analysis.
Interactive Display:
Displays current volatility and its percentile rank in a table for quick reference.
Includes high (75%) and low (25%) volatility threshold lines for actionable insights.
Applications:
Market Risk Assessment: Evaluate current and historical volatility to assess market risk levels.
Quantitative Strategy Development: Incorporate volatility dynamics into trading strategies, particularly for options or risk-managed portfolios.
Trend and Momentum Analysis: Use normalized or smoothed volatility trends to identify potential reversals or breakouts.
Asymmetric Volatility Detection: Highlight periods where downside or upside volatility dominates.
Visualization Enhancements:
Dynamic colors and thresholds make it intuitive to interpret market conditions.
Percentile views provide relative volatility context for historical comparison.
This indicator is a versatile tool for traders and analysts seeking deeper insights into market behavior, particularly in volatility-driven trading strategies.
RSI BB StdDev SignalOverview
The RSI BB StdDev Signal Indicator is a powerful tool designed to enhance your trading strategy by combining the Relative Strength Index (RSI) with Bollinger Bands (BB). This unique combination allows traders to identify potential buy and sell signals more accurately by leveraging the strengths of both indicators. The RSI helps in identifying overbought and oversold conditions, while the Bollinger Bands provide a dynamic range to assess volatility and potential price reversals.
Key Features
— RSI Calculation: The indicator calculates the RSI based on user-defined parameters, allowing for customization to fit different trading styles.
— Bollinger Bands Integration: The RSI values are smoothed using a moving average, and Bollinger Bands are applied to this smoothed RSI to generate buy and sell signals.
— Divergence Detection: The indicator includes an optional feature to detect and alert on bullish and bearish divergences between the RSI and price action.
— Customizable Alerts: Users can set up alerts for buy and sell signals, as well as for divergences, ensuring they never miss a trading opportunity.
— Visual Aids: The indicator plots the RSI, Bollinger Bands, and signals on the chart, making it easy to visualize and interpret the data.
How It Works
1. RSI Calculation:
— The RSI is calculated using the change in the source input (default is close price) over a specified period.
— The RSI values are then plotted on the chart with customizable overbought and oversold levels.
2. Smoothing and Bollinger Bands:
— The RSI values are smoothed using a moving average (SMA, EMA, SMMA, WMA, VWMA) selected by the user.
— Bollinger Bands are applied to the smoothed RSI to create dynamic upper and lower bands.
3. Signal Generation:
—Buy signals are generated when the RSI crosses above the lower Bollinger Band.
—Sell signals are generated when the RSI crosses below the upper Bollinger Band.
—These signals are plotted on both the RSI pane and the main price chart for easy reference.
4. Divergence Detection:
— The indicator can detect and alert on regular bullish and bearish divergences between the RSI and price action.
— Bullish divergences occur when the price makes a lower low, but the RSI makes a higher low.
— Bearish divergences occur when the price makes a higher high, but the RSI makes a lower high.
Usage
1. Setting Up:
— Add the indicator to your TradingView chart.
— Customize the RSI length, source, and other parameters in the settings panel.
— Enable or disable the divergence detection based on your trading strategy.
2. Interpreting Signals:
— Use the buy and sell signals generated by the RSI crossing the Bollinger Bands as potential entry and exit points.
— Pay attention to divergences for additional confirmation of trend reversals.
3. Alerts:
— Set up alerts for buy and sell signals to receive notifications in real-time.
— Enable divergence alerts to be notified of potential trend reversals.
Conclusion
The RSI BB StdDev Signal Indicator is a comprehensive tool that combines the strengths of the RSI and Bollinger Bands to provide traders with more accurate and reliable signals. Whether you are a beginner or an experienced trader, this indicator can enhance your trading strategy by offering clear visual cues and customizable alerts.
Note
This indicator is provided with open-source code, allowing users to understand its logic and customize it further if needed. The detailed description and customizable settings ensure that traders of all levels can benefit from its unique features.
Volatility Signaling 50SMAOverview of the Script:
The script implements a volatility signaling indicator using a 50-period Simple Moving Average (SMA). It incorporates Bollinger Bands and the Average True Range (ATR) to dynamically adjust the SMA's color based on volatility conditions. Here's a detailed breakdown:
Components of the Script:
1. Inputs:
The script allows the user to customize key parameters for flexibility:
Bollinger Bands Length (length): Determines the period for calculating the Bollinger Bands.
Source (src): The price data to use, defaulting to the closing price.
Standard Deviation Multiplier (mult): Scales the Bollinger Bands' width.
ATR Length (atrLength): Sets the period for calculating the ATR.
The 50-period SMA length (smaLength) is fixed at 50.
2. Bollinger Bands Calculation:
Basis: Calculated as the SMA of the selected price source over the specified length.
Upper and Lower Bands: Determined by adding/subtracting a scaled standard deviation (dev) from the basis.
3. ATR Calculation:
Computes the Average True Range over the user-defined atrLength.
4. Volatility-Based Conditions:
The script establishes thresholds for Bollinger Band width relative to ATR:
Yellow Condition: When the band width (upper - lower) is less than 1.25 times the ATR.
Orange Condition: When the band width is less than 1.5 times the ATR.
Red Condition: When the band width is less than 1.75 times the ATR.
5. Dynamic SMA Coloring:
The 50-period SMA is colored based on the above conditions:
Yellow: Indicates relatively low volatility.
Orange: Indicates moderate volatility.
Red: Indicates higher volatility.
White: Default color when no conditions are met.
6. Plotting the 50-Period SMA:
The script plots the SMA (sma50) with a dynamically assigned color, enabling visual analysis of market conditions.
Use Case:
This script is ideal for traders seeking to assess market volatility and identify changes using Bollinger Bands and ATR. The colored SMA provides an intuitive way to gauge market dynamics directly on the chart.
Example Visualization:
Yellow SMA: The market is in a low-volatility phase.
Orange SMA: Volatility is picking up but remains moderate.
Red SMA: Higher volatility, potentially signaling significant market activity.
White SMA: Neutral/default state.
DT Bollinger BandsIndicator Overview
Purpose: The script calculates and plots Bollinger Bands, a technical analysis tool that shows price volatility by plotting:
A central moving average (basis line).
Upper and lower bands representing price deviation from the moving average.
Additional bands for a higher deviation threshold (3 standard deviations).
Customization: Users can customize:
The length of the moving average.
The type of moving average (e.g., SMA, EMA).
The price source (e.g., close price).
Standard deviation multipliers for the bands.
Fixed Time Frame: The script can use a fixed time frame (e.g., daily) for calculations, regardless of the chart's time frame.
Key Features
Moving Average Selection:
The user can select the type of moving average for the basis line:
Simple Moving Average (SMA)
Exponential Moving Average (EMA)
Smoothed Moving Average (SMMA/RMA)
Weighted Moving Average (WMA)
Volume Weighted Moving Average (VWMA)
Standard Deviation Multipliers:
Two multipliers are used:
Standard (default = 2.0): For the original Bollinger Bands.
Larger (default = 3.0): For additional bands.
Bands Calculation:
Basis Line: The selected moving average.
Upper Band: Basis + Standard Deviation.
Lower Band: Basis - Standard Deviation.
Additional Bands: Representing ±3 Standard Deviations.
Plots:
Plots the basis, upper, and lower bands.
Fills the area between the bands for visual clarity.
Plots and fills additional bands for ±3 Standard Deviations with lighter colors.
Alerts:
Generates an alert when the price enters the range between the 2nd and 3rd standard deviation bands.
The alert can be used to notify when price volatility increases significantly.
Background Highlighting:
Colors the chart background based on alert conditions:
Green if the price is above the basis line.
Red if the price is below the basis line.
Offset:
Adds an optional horizontal offset to the plots for fine-tuning their alignment.
How It Works
Input Parameters:
The user specifies settings such as moving average type, length, multipliers, and fixed time frame.
Calculations:
The script computes the basis (moving average) and standard deviations on the fixed time frame.
Bands are calculated using the basis and multipliers.
Plotting:
The basis line and upper/lower bands are plotted with distinct colors.
Additional 3 StdDev bands are plotted with lighter colors.
Alerts:
An alert condition is created when the price moves between the 2nd and 3rd standard deviation bands.
Visual Enhancements:
Chart background changes color dynamically based on the price’s position relative to the basis line and alert conditions.
Usage
This script is useful for traders who:
Want a detailed visualization of price volatility.
Use Bollinger Bands to identify breakout or mean-reversion trading opportunities.
Need alerts when the price enters specific volatility thresholds.
