VIX Volatility Trend Analysis With Signals - Stocks OnlyVIX VOLATILITY TREND ANALYSIS CLOUD WITH BULLISH & BEARISH SIGNALS - STOCKS ONLY
This indicator is a visual aid that shows you the bullish or bearish trend of VIX market volatility so you can see the VIX trend without switching charts. When volatility goes up, most stocks go down and vice versa. When the cloud turns green, it is a bullish sign. When the cloud turns red, it is a bearish sign.
This indicator is meant for stocks with a lot of price action and volatility, so for best results, use it on charts that move similar to the S&P 500 or other similar charts.
This indicator uses real time data from the stock market overall, so it should only be used on stocks and will only give a few signals during after hours. It does work ok for crypto, but will not give signals when the US stock market is closed.
**HOW TO USE**
When the VIX Volatility Index trend changes direction, it will give a green or red line on the chart depending on which way the VIX is now trending. The cloud will also change color depending on which way the VIX is trending. Use this to determine overall market volatility and place trades in the direction that the indicator is showing. Do not use this by itself as sometimes markets won’t react perfectly to the overall market volatility. It should only be used as a secondary confirmation in your trading/trend analysis.
For more signals with earlier entries, go into settings and reduce the number. 10-100 is best for scalping. For less signals with later entries, change the number to a higher value. Use 100-500 for swing trades. Can go higher for long swing trades. Our favorite settings are 20, 60, 100, 500 and 1000.
***MARKETS***
This indicator should only be used on the US stock markets as signals are given based on the VIX volatility index which measures volatility of the US Stock Markets.
***TIMEFRAMES***
This indicator works on all time frames, but after hours will not change much at all due to the markets being closed.
**INVERSE CHARTS**
If you are using this on an inverse ETF and the signals are showing backwards, please comment with what chart it is and I will configure the indicator to give the correct signals. I have included over 50 inverse ETFs into the code to show the correct signals on inverse charts, but I'm sure there are some that I have missed so feel free to let me know and I will update the script with the requested tickers.
***TIPS***
Try using numerous indicators of ours on your chart so you can instantly see the bullish or bearish trend of multiple indicators in real time without having to analyze the data. Some of our favorites are our Auto Fibonacci, Directional Movement Index, Volume Profile with buy & sell pressure, Auto Support And Resistance, Vix Scalper and Money Flow Index in combination with this Vix Trend Analysis. They all have real time Bullish and Bearish labels as well so you can immediately understand each indicator's trend.
Volatilityprofitindicator
Specter Alpha-Omega Volatility Index™Meet the Alpha-Omega Volatility custom indicator by Specter
This premium volatility indicator uses a series of models to compare historical volatility, and by using a series of noise reduction techniques, it only gives you the very best signals. This indicator shows you aggressive reversals, which are often the most profitable.
The customization options already come with pre-sets, and it's as simple as one click. It comes with Aggressive, Moderate, Conservative and Ultra Conservative behaviors filters.
Also, it offers an interest zone indicator so you can start paying attention to the chart before it happens when trading extra volatile stocks timing is crucial and you want to be ready before the action begins.
The way you use it is pretty simple, you look for divergences. When you have a bullish movement, and you see high negative volatility appearing in the Alpha-Omega indicator, it means a strong reversal/spike is coming. The same goes for bearish reversals, just the opposite logic. You also get an extra layer of confirmation which is the Alpha/Omega characters; they only appear with the most robust volatility prediction. It's up to your trading strategy to decide how conservative you are and which signals you will follow.
It works on any market/security/asset/timeframe.
Ready to ride some spikes?
Volatility Profit (VPI) & Bollinger Bands (BB) [checkm8]Hello and welcome to my 2-in-1 indicator of Volatility Profit Indicator and Bollinger Bands.
Volatility Profit Indicator is a script inspired by Jim Berg, from a 2005 article titled "The Truth About Volatility". This is a set of bands, where the upper band is based on a moving average of highs over a given period, added to the average true range of the period. The lower band is based on a moving average of lows over the same given period, from which the average true range is subtracted. The formula is shown below:
VPI High Band = MA(HI, type, x) + y * ATR(z)
VPI Low Band = MA(LO, type, x) - y * ATR(z)
where... type = MA Type (default to Exponential) x = MA Period (default to 13) y = True Range Multiplier (default to 2) z = True Range Period (default to 20)
Bollinger Bands should be familiar by now, but they are calculated based on a moving average of a source ( / 3), added to a particular standard deviation of the source.
This indicator:
- Allows you to choose whether you want to plot the Volatility Profit Indicator or Bollinger Bands. By default, each will show three bands.
- Has pre-made color schemes to choose from to simplify your life.
- Has smoothing for the Volatility Profit Indicator
- Allows you to choose the source for Bollinger Bands
- Allows you to select what multiplier of the average true range the Volatility Profit Indicator plots, as well as what standard deviations the Bollinger Bands show.
If you have any additional questions, concerns, or suggestions - feel free to reach out.
All the best & happy trading.
