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Emergent Rays - NovaTheMachineEmergent Rays An emergent ray is a refracted ray of light that exits a medium or channel. Emergent rays can be created when light passes through a prism, glass slab, or mirror This visual indicator has been designed to aid in developing psychological understanding of price action. Many traders often struggle with developing strategy that they can act on, repeatedly. The difference between gambling and trading successfully comes down to following a plan, that you have tested and determined to be profitable over the long term. Some traders experience anxiety when trading trends, trying to time a reversal, or entering a trade based on emotions and are unsure where they should place a stop - if they bother to place one at all. I developed this indicator to help traders practice responsible trading practices and develop discipline. When applied to a chart an array of light rays will be plotted, similarly to those that are emitted from light passing through a medium such as a prism. These rays are a series of EMAs high & low values, filled with an assigned color. The indicator does not suggest an entry or exit, it allows for freedom of user interpretation, however - when in a trending market you may notice that the rays are tested multiple times when the market is trending in the same direction. When trading trends it makes sense to enter at the discounted value (pullbacks) and exit on extensions. There are two main reasons for this; first is manage risk, second is to profit from a successful trade. To practice discipline and remove emotions from trading, one must be willing to accept the outcome of a trade - regardless of whether it was profitable or not, based on their strategy. The visual gradient of the rays signifies the pullback to stoploss risk. As price expands it is clear to see that the distance from red to blue rays increases, which means entering a trade on a touch of the red ray requires a larger stoploss than entering a pullback to the green or blue rays. When price closes on the opposite side of a ray from where it was trending - we accept the trend may have ended and must wait for the next trend cycle. If the price action is range bound we will notice the rays melting together to create a grey ray that signifies this is not the best place to be trading any type of trend following strategy. Using this indicator in an uptrend (price expansion upwards), we look to enter long positions of retests (pullbacks) into the rays - with a stoploss set below the lowest rays; as we do not believe the uptrend is over until the trend has been broken. Using this indicator in a downtrend (price expansion downwards), we look to enter short positions of retests (pullbacks) into the rays - with a stoploss set below the lowest rays; as we do not believe the uptrend is over until the trend has been broken. When price is range bound or consolidating, we do not enter trades; wait for clear trend to be established. By practicing discipline, we are able to overcome the emotions involved with trading, remove hesitation, and trade our plans more confidently through appropriate risk management and radical acceptance.
Pine Script™ indicator
by NovaTheMachine
2
Trend with ADX/EMA - Buy & Sell SignalsThis script is designed to help traders make buy and sell decisions based on trend analysis using two key methods: ADX (Average Directional Index) and EMA (Exponential Moving Averages). Here's a breakdown in simple terms: What Does It Do? Identifies the Trend's Strength and Direction: Uses the ADX indicator to determine how strong the trend is. Compares two lines (DI+ and DI−) to identify whether the trend is moving up or down. Generates Buy and Sell Signals: Uses two EMAs (a fast one and a slow one) to check when the price crosses key levels, signaling a possible buy or sell opportunity. Plots visual indicators (arrows and labels) for easy interpretation. Color-Codes the Chart: Highlights the background in green when the trend is bullish (uptrend). Highlights the background in red when the trend is bearish (downtrend). Alerts the User: Creates alerts when specific conditions for buying or selling are met. Key Components: 1. ADX (Trend Strength & Direction) What is ADX? ADX measures how strong the trend is (not the direction). Higher ADX means a stronger trend. It also calculates two lines: DI+: Measures upward movement strength. DI−: Measures downward movement strength. How It Works in the Script: If DI+ is greater than DI−, it’s a bullish trend (upward). If DI− is greater than DI+, it’s a bearish trend (downward). The background turns green for an uptrend and red for a downtrend. 2. EMA (Buy and Sell Decisions) What is EMA? EMA is a moving average that gives more weight to recent prices. It’s used to smooth out price fluctuations. How It Works in the Script: The script calculates two EMAs: Fast EMA (short-term average): Reacts quickly to price changes. Slow EMA (long-term average): Reacts slower and shows overall trends. When the Fast EMA crosses above the Slow EMA, it’s a signal to Buy. When the Fast EMA crosses below the Slow EMA, it’s a signal to Sell. These signals are marked on the chart as "Buy" and "Sell" labels. 3. Buy and Sell Alerts The script sets up alerts for the user: Buy Alert: When a crossover indicates a bullish signal. Sell Alert: When a crossunder indicates a bearish signal. Visual Elements on the Chart: Background Colors: Green: When the DI+ line indicates an uptrend. Red: When the DI− line indicates a downtrend. EMA Lines: Green Line: Fast EMA. Red Line: Slow EMA. Buy/Sell Labels: "Buy" label: Shown when the Fast EMA crosses above the Slow EMA. "Sell" label: Shown when the Fast EMA crosses below the Slow EMA. Why Use This Script? Trend Analysis: Helps you quickly identify the strength and direction of the market trend. Buy/Sell Signals: Gives clear signals to enter or exit trades based on trend and EMA crossovers. Custom Alerts: Ensures you never miss a trading opportunity by notifying you when conditions are met. Visual Simplicity: Makes it easy to interpret trading signals with color-coded backgrounds and labeled arrows.
Pine Script™ indicator
by RMPM
SDO(SDO) The Ultimate Oscillator for Precision Trading! The Sarthak Dehkale Oscillator (SDO) is a powerful tool designed to identify overbought and oversold zones, giving you clear signals to capitalize on market reversals and trends. Perfect for traders of all levels, the SDO combines trend-following WaveTrend logic with visual enhancements for easy decision-making. Key Features: ✨ Customizable Parameters: Adjust Channel Length and Average Length to suit your trading style. ✨ Dynamic Levels: Highlights primary (70, -70) and secondary (50, -50) zones with vibrant dashed lines for quick identification. ✨ Dual WaveTrend Lines: Observe WT1 and WT2 for trend strength and crossover signals. ✨ Visual Area Effect: Shaded regions between WT1 and WT2 make divergence spotting a breeze. How to Use: ✅ Look for WT1 crossing above or below the overbought/oversold levels for potential reversals. ✅ Watch WT1 and WT2 crossovers for precise buy or sell signals. ✅ Use the shaded divergence area to gauge momentum shifts. Empower your trades with SDO, the perfect balance of simplicity and technical depth. Add it to your chart today and trade with confidence!
Pine Script™ indicator
by sarthakdhekale
Demand and Supply Zones Intraday Strategy(SAMARESH PANDA)Explanation: Input Parameters: length: Determines the number of bars to look back for identifying the highest and lowest prices to mark demand and supply zones. zoneBuffer: A buffer in pips to place the stop and limit orders near the identified demand and supply zones. Demand and Supply Zones: The script identifies demand zones as the lowest low over the past length bars and supply zones as the highest high over the same period. Buy (Long) Condition: A buy signal is generated when the price crosses above the demand zone from below and the price closes above the demand zone. Sell (Short) Condition: A sell signal is generated when the price crosses below the supply zone from above and the price closes below the supply zone. Stop and Limit Orders: For long trades, the stop is placed just below the demand zone (zoneBuffer), and the limit is placed just above the demand zone. For short trades, the stop is placed just above the supply zone (zoneBuffer), and the limit is placed just below the supply zone. Exit Conditions: The long position is closed when the price moves above the supply zone. The short position is closed when the price moves below the demand zone. Additional Notes: Customization: You can modify the length and zoneBuffer values to adjust how sensitive the strategy is to price action and the zone buffers. Risk Management: You may want to add additional filters for volume, indicators like RSI/MACD, or other market conditions to filter out false signals. Testing & Optimization: As with any strategy, it's important to backtest and optimize it according to your preferred market conditions and risk tolerance. Using the Strategy: Apply the script to a 1-hour or 30-minute chart for identifying the demand and supply zones. For better precision in entry, you can switch to a lower timeframe (like 5-minute or 15-minute) to execute your trades more accurately when the price reaches a demand or supply zone. The buy and sell signals will appear on the chart as green (BUY) and red (SELL) labels. Example of Execution: Long Entry: The price closes above the demand zone and crosses up. A long position is opened with a stop below the demand zone and a limit near it. Short Entry: The price closes below the supply zone and crosses down. A short position is opened with a stop above the supply zone and a limit near it. This strategy works best in trending markets where price tends to respect these zones. Make sure to monitor the strategy closely and adjust it based on market volatility or changes in the broader trend. You said: create a pine script pivot point standard for buy sell ChatGPT said: ChatGPT Sure! Below is a Pine Script that implements the Pivot Point Standard for intraday trading, with buy and sell signals based on the pivot point strategy. Pivot points are calculated based on the previous day’s high, low, and close prices, and they are widely used in intraday trading to determine potential support and resistance levels.
Pine Script™ strategy
by samu3500
Intraday Chaos FilterIntraday trading requires precise tools and strategies to navigate the chaotic fluctuations of the market. The "Intraday Chaos Filter" indicator is designed to provide traders with a systematic approach to managing market noise. This Pine Script™ indicator helps identify potential trend shifts and provides a visual representation of price action, aiding in making informed trading decisions. By focusing on reducing market chaos, it aims to provide a clearer picture of the underlying trend, regardless of the volatility. At the heart of the indicator lies the multiplier input, a customizable setting that adjusts the sensitivity of the filter. The multiplier directly influences the chaos threshold by determining the percentage deviation allowed before signaling a trend reversal. A higher multiplier results in a less sensitive filter, reducing the number of signals during minor price fluctuations. This flexibility allows traders to adapt the indicator to different trading styles and market conditions, making it versatile for a range of intraday strategies. The "Intraday Chaos Filter" operates by tracking two key price levels: src1 and src2, representing the highest and lowest prices during a trend. These levels are dynamically adjusted based on the closing price, ensuring that the indicator adapts in real time. The trend direction is determined by comparing the current price against a calculated filter level. When the price crosses the threshold in either direction, it signals a potential trend reversal, marked by a change in candle colors on the chart. Green represents an upward trend, while red signifies a downward trend, making it visually intuitive for traders. This indicator's simplicity and clarity make it a valuable addition to any trader's toolkit. By focusing on trend direction and filtering out minor fluctuations, it helps traders stay focused on significant market movements. The integration of customizable settings ensures adaptability to various trading preferences, providing both novice and experienced traders with a reliable tool for intraday decision-making. The "Intraday Chaos Filter" offers an effective way to navigate market noise, enabling traders to identify opportunities with confidence.
Pine Script™ indicator
by LuxmiAI
Codi's Perp-Spot Basis# Perp-Spot Basis Indicator This indicator calculates the percentage basis between perpetual futures and spot prices for crypto assets. It is inspired by the original concept from **Krugermacro**, with the added improvement of **automatic detection of the asset pairs** based on the current chart symbol. This enhancement makes it faster and easier to apply across different assets without manual configuration. ## How It Works The indicator compares the perpetual futures price (e.g., `BTCUSDT.P`) to the spot price (e.g., `BTCUSDT`) on Binance. The difference is expressed as a percentage: (Perp - Spot) / Spot * 100 The results are displayed in a color-coded graph: - **Blue (Positive Basis):** Perpetual futures are trading at a premium, indicating **bullish sentiment** among derivatives traders. - **Red (Negative Basis):** Perpetual futures are trading at a discount, indicating **bearish sentiment** among derivatives traders. This percentage basis is a core component in understanding funding rates and derivatives market dynamics. It serves as a faster proxy for funding rates, which typically lag behind real-time price movements. --- ## How to Use It ### General Concept - **Red (Negative Basis):** Ideal to execute **longs** when derivatives traders are overly bearish. - **Blue (Positive Basis):** Ideal to execute **shorts** when derivatives traders are overly bullish. ### Pullback Sniping 1. During an **uptrend**: - If the basis turns **red** temporarily, it can signal an opportunity to **buy the dip**. 2. During a **downtrend**: - If the basis turns **blue** temporarily, it can signal an opportunity to **sell the rip**. 3. Wait for the basis to **pop back** (higher in uptrend, lower in downtrend) to time entries more effectively—this often coincides with **stop runs** or **liquidations**. ### Intraday Execution - **When price is falling**: - If the basis is **red**, the move is derivatives-led (**normal**). - If the basis is **blue**, spot traders are leading, and perps are offside—wait for **price dumps** before longing. - **When price is rising**: - If the basis is **blue**, the move is derivatives-led (**normal**). - If the basis is **red**, spot traders are leading, and perps are offside—wait for **price pops** before shorting. ### Larger Time Frames - **Consistently Blue Basis:** Indicates a **bull market** as derivatives traders are bullish over the long term. - **Consistently Red Basis:** Indicates a **bear market** as derivatives traders are bearish over the long term. --- ## Improvements Over the Original This version of the Perp-Spot Basis indicator **automatically detects the Binance perpetual futures and spot pairs** based on the current chart symbol. For example: - If you are viewing `ETHUSDT`, it automatically references `ETHUSDT.P` for the perpetual futures pair and `ETHUSDT` for the spot pair in BINANCE.
Pine Script™ indicator
by Cod1ox
Robinhood Crypto Combined Volume Tracker This indicator provides a comprehensive visualization of the combined trading volume for all cryptocurrency pairs available on Robinhood, tailored to the selected region (USA or Europe). The chart dynamically updates based on your selected region, providing actionable insights into market activity. Features: Dynamic Region Selection: Toggle between USA and Europe to display the relevant trading pairs for your region. Combined Volume Visualization: Aggregates and plots the total trading volume for all selected cryptocurrency pairs. Dynamic Background: Background color changes based on the selected region for visual clarity. Real-Time Debug Label: Displays the selected region and current total combined volume on the latest bar. Color-Coded Chart: Distinct plot colors for USA (blue) and Europe (green) to easily identify the region. Use Cases: Market Trends: Monitor total crypto market activity to gauge investor interest and trading momentum in different regions. Region-Specific Analysis: Compare trading behavior between USA and Europe by switching regions. Volume Comparisons: Assess market strength by observing changes in combined volume over time. How to Use: Select your desired region (USA/Europe) using the "Select Region" dropdown. View the combined trading volume plot on the chart. Use the background color and chart plot for quick identification of region-specific data. Notes: The combined volume calculation is based on the daily timeframe (D) and updates dynamically. Ensure the selected region matches your area of interest to get accurate insights. This indicator is ideal for traders looking to analyze and compare crypto trading activity across regions in a consolidated view.
Pine Script™ indicator
by wigsyboy
India VIXThe VIX chart represents the Volatility Index, commonly referred to as the "Fear Gauge" of the stock market. It measures the market's expectations of future volatility over the next 30 days, based on the implied volatility of NSE index options. The VIX is often used as an indicator of investor sentiment, reflecting the level of fear or uncertainty in the market. Here’s a breakdown of what you might observe on a typical VIX chart: VIX Value: The y-axis typically represents the VIX index value, with higher values indicating higher levels of expected market volatility (more fear or uncertainty), and lower values signaling calm or stable market conditions. VIX Spikes: Large spikes in the VIX often correspond to market downturns or periods of heightened uncertainty, such as during financial crises or major geopolitical events. A high VIX is often associated with a drop in the stock market. VIX Drops: A decline in the VIX indicates a reduction in expected market volatility, usually linked with periods of market calm or rising stock prices. Trend Analysis: Technical traders might use moving averages or other indicators on the VIX chart to assess the potential for future market movements. Inverse Relationship with the Stock Market: Typically, there is an inverse correlation between the VIX and the stock market. When stocks fall sharply, volatility increases, and the VIX tends to rise. Conversely, when the stock market rallies or remains stable, the VIX tends to fall. A typical interpretation would be that when the VIX is low, the market is relatively stable, and when the VIX is high, the market is perceived to be uncertain or volatile.
Pine Script™ indicator
by jimmjimm3322
Internals Elite NYSE [Beta]Overview: This indicator is designed to provide traders with a quick overview of key market internals and metrics in a single, easy-to-read table displayed directly on the chart. It incorporates a variety of metrics that help gauge market sentiment, momentum, and overall market conditions. The table dynamically updates in real-time and uses color-coding to highlight significant changes or thresholds, allowing traders to quickly interpret the data and make informed trading decisions. Features: Market Internals: TICK: Measures the difference between the number of stocks ticking up versus those ticking down on the NYSE. Green or red background indicates if it crosses a user-defined threshold. Advance/Decline (ADD): Shows the net number of advancing versus declining stocks on the NYSE. Color-coded to show positive, negative, or neutral conditions. Volatility Metrics: VIX Change (%): Displays the percentage change in the Volatility Index (VIX), a key gauge of market fear or complacency. Color-coded for direction. VIX Price: Displays the current VIX price with thresholds to indicate low, medium, or high volatility. Other Market Metrics: DXY Change (%): Percentage change in the US Dollar Index (DXY), indicating dollar strength or weakness. VWAP Deviation (%): Percentage of stocks above VWAP (Volume Weighted Average Price), helping traders assess intraday buying and selling pressure. Asset-Specific Metrics: BTCUSD Change (%): Percentage change in Bitcoin (BTC) price, useful for monitoring cryptocurrency sentiment. SPY Change (%): Percentage change in the S&P 500 ETF (SPY), a proxy for the overall stock market. Current Ticker Change (%): Percentage change in the currently selected ticker on the chart. US10Y Change (%): Percentage change in the yield of the 10-Year US Treasury Note (TVC:US10Y), an important macroeconomic indicator. Customizable Appearance: Adjustable text size to suit your chart layout. User-defined thresholds for key metrics (e.g., TICK, ADD, VWAP, VIX). Dynamic Table Placement: You can position the table anywhere on the chart: top-right, top-left, bottom-right, bottom-left, middle-right, or middle-left. How to Use: Add the Indicator to Your Chart: Apply the indicator to your chart from the Pine Script editor in TradingView. Customize the Inputs: Adjust the thresholds for TICK, ADD, VWAP, and VIX according to your trading style. Enable or disable the metrics you want to see in the table by toggling the display options for each metric (e.g., Show TICK, Show BTC, Show SPY). Set the table placement to your preferred position on the chart. Interpret the Table: Look for color-coded cells to quickly identify significant changes or breaches of thresholds. Positive values are typically shown in green, negative values in red, and neutral/insignificant changes in gray. Use metrics like TICK and ADD to gauge market breadth and momentum. Refer to VWAP deviation to assess intraday buying or selling pressure. Monitor the VIX and US10Y changes to stay aware of macroeconomic and volatility shifts. Incorporate Into Your Strategy: Use the indicator alongside technical analysis to confirm setups or identify areas of caution. Keep an eye on correlated metrics (e.g., VIX and SPY) for broader market context. Use BTCUSD or DXY as additional indicators of risk-on/risk-off sentiment. Ideal Users: Day Traders: Quickly gauge intraday market conditions and momentum. Swing Traders: Identify broader sentiment shifts using metrics like ADD, DXY, and US10Y. Macro Investors: Stay updated on key macroeconomic indicators like the 10-Year Treasury yield (US10Y) and the US Dollar Index (DXY). This indicator serves as a comprehensive tool for understanding market conditions at a glance, enabling traders to act decisively based on the latest data.
Pine Script™ indicator
by rockregan
1
JJ Psychological Levels (125 Increments)Psychological Levels Indicator Description: The Psychological Levels Indicator is a versatile tool designed for traders to identify key price levels that often act as support or resistance zones in the market. These levels are plotted at regular intervals, customizable by the user, starting from a base price level. This is particularly useful for spotting psychological price points that traders and investors frequently monitor. Key Features: 1.Dynamic Psychological Levels: - The script calculates and displays horizontal lines at price levels separated by customizable increments (default: 125 points). - These levels are dynamically adjusted to the visible range of the chart. 2. Customizable Inputs: - Starting Level: Set the base level from which increments are calculated (e.g., 0 or 1000). - Step Size: Define the interval between levels (e.g., 125 for indices like Bank NIFTY). 3. Visual Representation: - Horizontal lines are drawn at each psychological level, helping traders quickly identify key zones. - Labels are placed next to each level, displaying the corresponding price for easy reference. 4. Application Across Instruments: - This indicator works seamlessly with various asset classes, including stocks, indices, forex, and cryptocurrencies. How to Use: 1.Identify Key Price Zones: - Use the plotted psychological levels to spot areas where price action is likely to react. - Levels such as 1125, 1250, and 1375 (for a step size of 125) are visually highlighted. 2. Plan Trades Around Key Levels: - These levels can act as support/resistance or breakout points, providing opportunities for entry, exit, and stop-loss placement. 3. Customizable Settings: - Adjust the starting level and step size to tailor the indicator to your trading instrument or strategy. Why Psychological Levels Matter: Psychological levels are widely followed by traders and often coincide with key market turning points due to their significance in human behavior and market psychology. They are frequently used by institutional traders, making them valuable reference points for intraday and swing trading. Custom Settings: - **Starting Level:** Default: `0` - **Step Size:** Default: `125` Disclaimer: This indicator is a technical analysis tool and is not intended to provide financial advice. Always combine it with other indicators and perform your due diligence before making trading decisions.
Pine Script™ indicator
by JoanJagan
5
Choppiness Index (levels)This Pine Script is a Choppiness Index Indicator with gradient visual enhancements. The Choppiness Index is a technical analysis tool that measures the "choppiness" or sideways movement of the market. It ranges from 0 to 100, where higher values indicate a more consolidated or sideways market, and lower values suggest a trending market. Key Features: Choppiness Index Calculation: The script calculates the Choppiness Index based on the Average True Range (ATR) and the highest and lowest prices over a user-defined period (length). Visual Bands: Horizontal dashed lines are drawn at levels 55 (Upper Band), 50 (Middle Band), and 45 (Lower Band) to define key levels for interpreting the indicator. Gradient Fills: A blue fill is applied between the upper and lower bands (45–55) for visual clarity. Dynamic gradients are applied to the areas: Above the Upper Band (55–100): A green gradient fill where the color intensity increases with higher values. Below the Lower Band (0–45): A red gradient fill where the color intensity increases with lower values. Offset Option: The offset input allows users to shift the Choppiness Index plot horizontally for visualization or alignment purposes. Usage: This indicator helps traders quickly assess market conditions: Values above 55 indicate a choppy, non-trending market. Values below 45 indicate a trending market. The gradient fills make it easier to spot extreme conditions visually. Customization: Users can adjust: length: The calculation period for the Choppiness Index. offset: Horizontal shift of the Choppiness Index plot. The gradient colors (green and red) and transparency levels are customizable in the script. This enhanced visualization is ideal for traders who want a clear and intuitive representation of market choppiness, combined with visually striking gradient fills for quick analysis of market conditions.
Pine Script™ indicator
by Cryptog0at
NVOL Normalized Volume & VolatilityOVERVIEW Plots a normalized volume (or volatility) relative to a given bar's typical value across all charted sessions. The concept is similar to Relative Volume (RVOL) and Average True Range (ATR), but rather than using a moving average, this script uses bar data from previous sessions to more accurately separate what's normal from what's anomalous. Compatible on all timeframes and symbols. Having volume and volatility processed within a single indicator not only allows you to toggle between the two for a consistent data display, it also allows you to measure how correlated they are. These measurements are available in the data table. DATA & MATH The core formula used to normalize each bar is: ( Value / Basis ) × Scale Value The current bar's volume or volatility (see INPUTS section). When set to volume, it's exactly what you would expect (the volume of the bar). When set to volatility, it's the bar's range (high - low). Basis A statistical threshold (Mean, Median, or Q3) plus a Sigma multiple (standard deviations). The default is set to the Mean + Sigma × 3 , which represents 99.7% of data in a normal distribution. The values are derived from the current bar's equivalent in other sessions. For example, if the current bar time is 9:30 AM, all previous 9:30 AM bars would be used to get the Mean and Sigma. Thus Mean + Sigma × 3 would represent the Normal Bar Vol at 9:30 AM. Scale Depends on the Normalize setting, where it is 1 when set to Ratio, and 100 when set to Percent. This simply determines the plot's scale (ie. 0 to 1 vs. 0 to 100). INPUTS While the default configuration is recommended for a majority of use cases (see BEST PRACTICES), settings should be adjusted so most of the Normalized Plot and Linear Regression are below the Signal Zone. Only the most extreme values should exceed this area. Normalize Allows you to specify what should be normalized (Volume or Volatility) and how it should be measured (as a Ratio or Percentage). This sets the value and scale in the core formula. Basis Specifies the statistical threshold (Mean, Median, or Q3) and how many standard deviations should be added to it (Sigma). This is the basis in the core formula. Mean is the sum of values divided by the quantity of values. It's what most people think of when they say "average." Median is the middle value, where 50% of the data will be lower and 50% will be higher. Q3 is short for Third Quartile, where 75% of the data will be lower and 25% will be higher (think three quarters). Sample Determines the maximum sample size. All Charted Bars is the default and recommended option, and ignores the adjacent lookback number. Lookback is not recommended, but it is available for comparisons. It uses the adjacent lookback number and is likely to produce unreliable results outside a very specific context that is not suitable for most traders. Normalization is not a moving average. Unless you have a good reason to limit the sample size, do not use this option and instead use All Charted Bars . Show Vol. name on plot Overlays "VOLUME" or "VOLATILITY" on the plot (whichever you've selected). Lin. Reg. Polynomial regressions are great for capturing non-linear patterns in data. TradingView offers a "linear regression curve", which this script uses as a substitute. If you're unfamiliar with either term, think of this like a better moving average. You're able to specify the color, length, and multiple (how much to amplify the value). The linear regression derives its value from the normalized values. Norm. Val. This is the color of the normalized value of the current bar (see DATA & MATH section). You're able to specify the default, within signal, and beyond signal colors. As well as the plot style. Fade in colors between zero and the signal Programmatically adjust the opacity of the primary plot color based on it's normalized value. When enabled, values equal to 0 will be fully transparent, become more opaque as they move away from 0, and be fully opaque at the signal. Adjusting opacity in this way helps make difference more obvious. Plot relative to bar direction If enabled, the normalized value will be multiplied by -1 when a bar's open is greater than the bar's close, mirroring price direction. Technically volume and volatility are directionless. Meaning there's really no such thing as buy volume, sell volume, positive volatility, or negative volatility. There is just volume (1 buy = 1 sell = 1 volume) and volatility (high - low). Even so, visually reflecting the net effect of pricing pressure can still be useful. That's all this setting does. Sig. Zone Signal zones make identifying extremes easier. They do not signal if you should buy or sell, only that the current measurement is beyond what's normal. You are able to adjust the color and bounds of the zone. Int. Levels Interim levels can be useful when you want to visually bracket values into high / medium / low. These levels can have a value anywhere between 0 and 1. They will automatically be multiplied by 100 when the scale is set to Percent. Zero Line This setting allows you to specify the visibility of the zero line to best suit your trading style. Volume & Volatility Stats Displays a table of core values for both volume and volatility. Specifically the actual value, threshold (mean, median, or Q3), sigma (standard deviation), basis, normalized value, and linear regression. Correlation Stats Displays a table of correlation statistics for the current bar, as well as the data set average. Specifically the coefficient, R2, and P-Value. Indices & Sample Size Displays a table of mixed data. Specifically the current bar's index within the session, the current bar's index within the sample, and the sample size used to normalize the current bar's value. BEST PRACTICES NVOL can tell you what's normal for 9:30 AM. RVOL and ATR can only tell you if the current value is higher or lower than a moving average. In a normal distribution (bell curve) 99.7% of data occurs within 3 standard deviations of the mean. This is why the default basis is set to "Mean, 3"; it includes the typical day-to-day fluctuations, better contextualizing what's actually normal, minimizing false positives. This means a ratio value greater than 1 only occurs 0.3% of the time. A series of these values warrants your attention. Which is why the default signal zone is between 1 and 2. Ratios beyond 2 would be considered extreme with the default settings. Inversely, ratio values less than 1 (the normal daily fluctuations) also tell a story. We should expect most values to occur around the middle 3rd, which is why interim levels default to 0.33 and 0.66, visually simplifying a given move's participation. These can be set to whatever you like and only serve as visual aids for your specific trading style. It's worth noting that the linear regression oscillates when plotted directionally, which can help clarify short term move exhaustion and continuation. Akin to a relative strength index (RSI), it may be used to inform a trading decision, but it should not be the only factor.
Pine Script™ indicator
by liquid-trader