Traders AID / Warning Dots (use on 1-week timeframe)

TradersAID – Warning Dots (use on the 1-week chart)

What It Does

TradersAID – Warning Dots is a technical tool that helps traders spot early signs of momentum shifts, which can sometimes appear before bigger changes in trend. It places visual dots on candles where momentum and price behavior start to act differently — giving you a heads-up to pay closer attention.

Note: This script does not repaint.
Dots are shown within the live candle and stay locked in once the candle closes.

How It Works

The indicator places dots based on three simple ideas:

1. Momentum Mapping Algorithm
It uses a smoothed RSI, filtered by volatility, to measure momentum more clearly. If this momentum moves in an unusual way, it plots a green or red dot to mark that moment.

2. Contextual Signal Filtering
A dot will only appear when that shift in momentum also fits the bigger picture — like during sideways price movement or slowing price action — to avoid noise.

3. Sensitivity Options
You can control how often signals appear:
o Slow – Fewer dots, but stronger shifts
o Regular – A balanced setting for general use
o Fast – More frequent, catches quicker changes

Use Cases

• Spot Divergence – See when price and momentum start to drift apart
• Watch for Trend Fatigue – Detect when a trend might be running out of steam
• Add a Visual Layer – Use dots as simple alerts in your existing chart setup
• Stay Aligned with the Big Picture – Built for longer-term market context

Key Settings

• Timeframe Limitation: Can be used for the 1-week timeframe
• Closed Source: While the code is protected, it’s built from momentum tracking, dynamic thresholds, and contextual filters

Disclaimer

This tool is for educational and informational purposes only. It is not financial advice, does not predict price direction, and makes no guarantees. Use it as a visual support tool alongside your own research and analysis.