[blackcat] L2 Bull-Bear MomentumLevel 2
Background
Momentum effect is generally called "inertia effect". Momentum effect was proposed by Jegadeesh and Titman (1993), which refers to the tendency of the return rate of the stock to continue the original direction of movement, that is, the return rate of the stock with a higher return rate in the past period will still be higher than the return rate in the past low-yielding stocks.
Function
The Bullish and Bearish Momentum Technical Indicator is a strategy for buying and selling by analyzing the strength and weakness of recent price trends. Traders seek to take advantage of the rising or falling trend of stock prices. When this technical indicator indicates that the stock is entering a strong upward trend, the trader will buy the stock; Will choose to short the stock.
In short, momentum trading is trading with the trend. Momentum trading is based on the idea that if there is enough momentum behind the current price action, it will continue to move in the same direction. When an asset reaches a higher price, it usually attracts more investor attention, driving up the market price. The price rise continues until sellers start to enter the market consistently, and once sellers slowly outpace buyers, momentum weakens and the trend may reverse.
I have not marked special tags for this indicator usage. Users are expected to define according to their own understanding. On the whole, the basic usage is to start long positions when the first green column appears; when the first red column appears, close long positions or open short positions.
Remarks
Feedbacks are appreciated.
Komut dosyalarını "momentum" için ara
Alex's Dikfat Velocity 2hr CCI Color SignalerAlex's Dikfat Velocity 2hr CCI Color Signaler
As most traders have experienced at one time or another, over bought and oversold readings are relative in nature and do not always work as a standalone reading.
Momentum indicators such as the Commodity Channel Index ( CCI ) have to be understood and read correctly to determine the value in a momentum reading.
When an asset is "Overbought" or "Oversold" the reading can remain in this region Irrationally for extended periods as the market remains in irrational trend.
In order to better understand this and other readings on a momentum indicator clues such as divergence, exhaustion, continuation, time and frequency as well as the actual velocity of the movement must be measured. In addition, there are very specific measurement lines on the CCI that must be read and that can reject or break and result in the asset either loosing or gaining momentum in one direction or the other. These are the dashed lines in the background.
For the purposes of this Indicator, the actual function, characterization and use of CCI will not be explained here as the colored indications themselves will do all the work for you.
It is very important to know that the calculations used to signal the color filling ARE NOT based on simple breaks of the dashed background lines as traditionally read with a CCI indicator.
The calculations used in this Indicator are based on a very fine tuned mathematical algorithm that measure an unseen element within the CCI . When the VELOCITY of a move in momentum is met, the color fills will begin. When the VELOCITY of the move changes, so to will colorization. This has led to some of the best High Probability Long and Short Sale signaling in any CCI indicator. Pairing this with your favorite chart indicators and personal analysis will result in high tradability but can also be used stand alone.
Remember: No one single indicator should ever be used to determine market signaling.
A basic understanding of a CCI indicator is recommended before using this indicator.
This indicator and the proprietary calculations used were built and meant to be used on the 2 Hour Timeframe. The indicator is open to all time frames and accuracy increases as the time frame increases.
It is recommended that if you use this indicator on a lower timeframe, to pull CCI readings from a higher Timeframe as found in the settings.
This indicator signals long and short opportunities. High Probability long and short trades, bullish and bearish divergence building, market time traps and bullish / bearish continuation as well as exhaustion of these moves.
There is also a companion indicator which will signal the High Probability Long and Short trades on the candle chart called "Alex's Dikfat CCI Equity Signaler" Which will place white Triangles on the candle chart showing high probability long entries and Orange Triangles for High Probability short entries. These are also built into the CCI line and can be turned on in this indicator.
Color Code:
Bullish Continuation: (Background Color Black)
The function of the black background colorization is to alert the user that a bullish move has begun and is currently in a strong continuation period. the longer the black background color draws, the more sustained or trending up the current move is. When these background lines begin to break and start to appear as more frequent broken background lines, exhaustion in the move can be assumed. When the black stops drawing all together, the strength of the continuation move is gone.
Bearish Continuation: (Background Color Fuchsia)
The function of the fuchsia background colorization is to alert the user that a bearish move has begun and is currently in a strong continuation period. the longer the fuchsia background color draws, the more sustained or trending down the current move is. When these background lines begin to break and start to appear as more frequent broken background lines, exhaustion in the move can be assumed. When the fuchsia stops drawing all together, the strength of the continuation move is gone.
High Probability Long/Short:
These buy and sell opportunities were designed to give a trader the best signal/entry on a Long or a Short with the highest probability of making a large and typically sustained impulse move.
High Probability Long: (White Color Fill)
The High Probability Long is a signal to BUY with the best possible entry on an a pending large impulse move to the upside. When White begins to fill, The long is extremely likely. The signal is confirmed on the close of the following candle after white begins to draw unless an opposing color immediately follows, or white dips below the zero line. White will always usually start just below the zero line in the highest probability scenarios.
High Probability Short: (Orange Color Fill)
The High Probability Short is a signal to SELL SHORT with the best possible entry on a pending large impulse move to the downside. When Orange begins to fill, The Short is extremely likely. The signal is confirmed on the close of the following candle after orange begins to draw unless an opposing color immediately follows. Some of the best entries for Orange are when it starts at the END of a black stripe in the background and better so when Orange dips below zero for entry. The signal was designed to color early enough to get in a short during consolidation before the move.
Long and Short Opportunities: Long and Short opportunities are just as they sound. Coloring will signal green for a long opportunity and red for a short opportunity. These opportunities are not always guaranteed and usually result in an lesser impulse move in one direction with a shorter duration.
Long Opportunity: (Green)
The Long Opportunity is a signal that a Long is possible however with less likely odds of a larger more sustained move. When Green begins to fill, a long opportunity is available. The signal is confirmed on the close of the following candle after green begins to draw unless an opposing color immediately follows, or green dips below the zero line. Green will always usually start just above the zero line and have the best opportunities at the end of Bullish Divergence (Blue) at the end of Bearish Continuation (Fuchsia) or a non filled CCI .
Short Opportunity: (Red)
The Short Opportunity is a signal that a Short is possible however with less likely odds of a larger more sustained move. When Red begins to fill, a short opportunity is available. The signal is confirmed on the close of the following candle after red begins to draw unless an opposing color immediately follows. Some of the best entries for Red are when it starts at the END of a black stripe in the background (higher odds than other red signaling). The signal was designed to color early enough to get in a short during consolidation before the move and better so if orange develops after red.
Bullish Divergence: (Dark Blue)
Dark Blue colors when Bullish Divergence is detected. Bullish divergence is a signal that momentum is building higher within the asset for an up move while price action in the candle chart makes lower lows. Bullish Divergence is not a signal to buy or sell but rather a sign post to say WAIT. Bullish divergence is building and a Long is coming. Some traders will buy bullish divergence in anticipation of a move and is only equitable if you have the cash and resolve to follow it through for as long as it is developing. Buying or selling divergence right away is not always the best practice unless a hard dip below all momentum lines followed by an immediate buy signal from white or green resulting in a drop base rally.
Bearish Divergence: (Dark Maroon)
Dark Maroon colors when Bearish Divergence is detected. Bearish divergence is a signal that momentum is dropping out of the asset for a move lower while price action in the candle chart makes higher highs. Bearish Divergence is not a signal to buy or sell but rather a sign post to say WAIT. Bearish divergence is building and a Short is coming. Some traders will sell bearish divergence in anticipation of a move and is only equitable if you have the cash and resolve to follow it through for as long as it is developing. Buying or selling divergence right away is not always the best practice unless a hard rip above all momentum lines followed by an immediate sell signal from red or orange resulting in a rally base drop.
No Color Fill:
When CCI has no color fill whatsoever it is telling the trader there are no high velocity movements in momentum in any direction. Best practice is to do nothing and wait out the Time Trap currently on the chart until signaling develops.
Time and Frequency:
Time and frequency is notable throughout the indicator. First and foremost when CCI is not being filled it is best practice to do nothing as there is NO Velocity of Movement within the asset at that time. This is one of the most obvious of Time Traps.
Bullish and Bearish Divergence is also a type of Time Trap. The longer these develop, the more weak hands are shaken out of the market and derivatives traders have their premium burned. Best practice with divergences is also to wait until adequate signaling develops, or be willing to buy or sell the appropriate divergence by accumulating or distributing for as long as it develops; or simply to buy/sell and hold for the move.
Any Sustained color for extended periods of time is also a time trap signaling to the trader that the asset is being irrational in its present move.
Bullish and Bearish Continuation:
These also deal with time and frequency most importantly. When we are on a sustained Bull Run, black will color in the background continuously. When the black starts to barcode or break up, exhaustion of the bull run is assumed as the frequency of the run becomes erratic. Inversely, When we are on a sustained Bear Run, fuchsia will color in the background continuously. When the fuchsia starts to barcode or break up, exhaustion of the bear run is assumed as the frequency of the run becomes erratic.
The color scheme is designed to be read from darkest to lightest when a sequence of events is found. I.E Dark Maroon>Red>Orange or Inversely Dark Blue>Green>White
In keeping with the best practices and traditions of TradingView, we have published this as a public script with the best intentions of aiding the TradingView community in unique and valuable ways. While some of our best indicators are by invite only, we feel an addition to the community of this magnitude will add to the fabric and substance of community.
RSI Momentum Acceleration by TartigradiaPlots the momentum acceleration oscillators from price and RSI, rescaled and with areas above/below highlighted.
Usage: in a nutshell, when the background is yellow, it's bearish (RSI decelerates faster than price), whereas when the background is green, it's bullish (RSI accelerates faster than price). It appears to detect early some reversals that are otherwise difficult to detect.
Note: it supports using any other indicator's output as the second source input, instead of RSI. PineScript does not allow for more than one source to receive input from other indicators, all the others must only use price as an input.
This indicator uses the core routine to calculate Momentum Acceleration Oscillators by DGT:
This indicator is based on the idea of stinkbug : "RSI is a good momentum indicator showing how excited ppl are on a move, this is why divergences on it work so well. I would like to see the change accelerating or slowing on a move up or down.."
Multi-Timeframe Squeeze Pro/DIM/Momentum/MAIMPORTANT NOTE:
-> The table will not display any timeframes lower than the current one
-> This indicator combine multiple popular indicators and give ability to use them on Multiple timeframes (MFT)
-> Indicators used for the MFT are: Squeeze / Momentum / 10X DIM and Stacked MA (or EMA)
-> Give at glance a good way to see the trend all different timeframes
-> If you are using in combination with squeeze pro please use the one from @Beardy_Fred since it matches the colours and condition used
Credits :
-> J. Welles Wilder creating the Directional Movement System (DMS) (1978); and
-> John Carter applying the DMS to create the popular Simpler Trading 10X Bars indicator.
-> @Beardy_Fred creating a first version including MOM and SQZ
-> Makit0's evolution of Lazybear's script to factor in the TTM Squeeze Pro upgrades - Squeeze PRO Arrows
I have adapted the version from @Beardy_Fred to provide a more complete and customisable indicator while including also the Stacked EMA/MA for further validation
Explanation:
You can learn more about each indicators following those links:
Squeeze Pro:
10X:
Momentum Histogram:
The stacked EMA/MA highlights when the MA/EMA are in order:
Red when they are stacked from the highest to the lowest
Green when they are stacked from the lowest to the highest
Yellow when they are stacked without a clear order
Customisation:
You can customise:
Timeframes
Settings for each indicators (10X/MA/Momentum/Squeeze)
Colors
Visibility
Trade Signals:
If you are going Long, Since this is a combination ideally on the timeframe you are trading you should have all green + green on the above timeframes (those colors are the default ones but can be changed)
-> Green on 10X indicator meaning you are in an uptrend
-> EMA or MA (depending on the configuration of the indicator) Green meaning EMA or MA
-> Squeeze should be Orange or Red ideally (indicating an high or medium Squeeze)
-> Momentum should be Cyan indicating an increase in momentum (while Dark Blue could indicate a reversal)
Standalone indicators:
- Squeeze Pro
- 10X Bar
- Stacked MA
- Momentum
Linear Momentum and Performance Indicators by Akram ElsherbiniThis indicator pack is simply the adaptation of the formulas proposed in the Linear Momentum and Performance Indicators Thesis by Akram Elsherbini.
Elsherbini, Akram. (2019). Linear Momentum and Performance Indicators. 10.13140/RG.2.2.20941.18407.
www.researchgate.net
Thesis Abstract:
“Momentum is not the same as velocity. A lot of words are used in physics, and they all have precise meanings in physics, although they may not have such precise meanings in everyday language. Momentum is an example, and we must define it precisely.” (Feynman, 1965). Since momentum indicators have been introduced to the field of technical analysis, many analysts use momentum when they refer to price acceleration. As the study of price movement is the main concern of technical analysts, the laws of motion, including Newton’s second law, are applied to prices to clarify the difference between price acceleration, momentum and force. This paper will attempt to adjust the price momentum and force concepts introduced by Welles Wilder and Alexander Elder , respectively. By introducing the concept of linear momentum, new indicators will emerge to dissect the market performance into six main elements: market’s force, pressure, strength, power, intensity, and dynamic strength. This will lead to a deeper insight about market action. The leading performance indicators can be used simultaneously to identify price turning points and filter irrelevant divergences. The linear momentum and the new performance indicators should make a significant change in categorising several indicators in technical analysis.
I highly recommend you read through the Thesis, (15 pages) if you want a deeper understanding of how these indicators function and how you could possibly use them along with other indicators.
This indicator plots as an Oscillator about 0.
The pack contains the 12 different Oscillators types, only one can be active at a time, so if you want to show multiple, just place duplicates of this indicator on your chart and simply change between types in the settings:
Liner Force / Momentum Index
Pressure Index
Strength Index
Power Index
Intensity Index
Dynamic Strength Index
Integral Liner Force / Momentum Index
Integral Pressure Index
Integral Strength Index
Integral Power Index
Integral Intensity Index
Integral Dynamic Strength Index
Long Short Momentum (LSF) - MI06The Long Short Momentum (LSF / MI06) uses daily price (open, high, low, close) to calculate a series of formulated data & present in this indicator capturing current trends in the market.
LSF statistically compares market volatility to both long and short momentum, assisting investors in indentifying retracement entry points in trending stocks.
The Dark Green column shows that the stock is in the Bullish momentum when turning into Light Green column indicates the bullish momentum is getting waning.
The Dark Red column indicates that the stock is in the Bearish momentum when turning into Light Red colum indicates the bearish momentum is getting weaker.
The Length of the Red/Green column = Momentum's strength (higher the column means stronger the momentum)
How to use the Long Short Momentum (LSF) indicator:
1. When a stock price breaks out of a range/sideway trend and begins to rise
2. To be validated as a trade entry, the next candle must closed above the highest price of the signal's (first Dark Green column) candle
3. The signal candle's lowest price will function as a stop-loss point
4. When the Dark Green column changes color to Light Green, if the stock closes below the signal's lowest price (the 1st Light green column) candle to confirm signal as an exit point
5. This will be the pullback entry point or an average-up/add position if the next candle is close above the highest price of the signal (the 1st Light Green column) candle
6. If a Dark/Light Red column exists between 2(two) Dark/Light Green colums during an uptrend, please use the 1st Dark Green column as the next indication.
To achieve the best results, please use this LSF in a trending market; remember to trade with alongside with the trend rather than against it.
Disclaimer:
This script indicator is solely for the purpose of education and opinion sharing, and should not be construed as investment advice or recommendations to buy or sell any security.
Get your trade advise from a legit broker, you are responsible on your own trade.
Thank you.
Alpha Dynamic Momentum Index Pine@v=4- What Is Dynamic Momentum Index?
- The dynamic momentum index is a technical indicator used to determine if an asset is overbought or oversold. It can be used to generate trade signals in trending and ranging markets.
- The dynamic momentum index was developed by Tushar Chande and Stanley Kroll and is similar to the relative strength index (RSI). The main difference between the two is that the RSI uses a fixed number of time periods (usually 14) in its calculation, while the dynamic momentum index uses different time periods as volatility changes, typically between five and 30.
- The number of time periods used in the dynamic momentum index decreases as volatility in the underlying security increases, making this indicator more responsive to changing prices than the RSI. This is particularly useful when an asset's price moves quickly as it approaches key support or resistance levels. Because the indicator is more sensitive, traders can potentially find earlier entry and exit points than with the RSI, but it could also be more prone to whipsaws and false signals.
Reverse Stochastic Momentum Index On ChartIntroducing the Reverse Stochastic Momentum Index "On Chart" version
According to Investopedia :
“The Stochastic Momentum Index (SMI) is a more refined version of the stochastic oscillator, employing a wider range of values and having a higher sensitivity to closing prices.”
The SMI is considered a refinement of the stochastic oscillator developed by William Blau and introduced in 1993 in an attempt to provide a more reliable indicator, less subject to false swings.
It calculates the distance of the current closing price as it relates to the median of the high/low range of price.
The SMI has a normal range of values between +100 and -100.
When the present closing price is higher than the median, or midpoint value of the high/low range, the resulting value is positive.
When the current closing price is lower than that of the midpoint of the high/low range, the SMI has a negative value.
Here I have reverse engineered the SMI formula to derive 2 functions.
One function calculates the chart price at which the SMI will reach a particular SMI scale value.
The second function calculates the chart price at which the SMI will crossover its signal line.
I have employed those functions here to give the "crossover" price levels for :
Upper alert level ( default 40, color : aqua blue )
Mid-Line ( default value 0, color : white )
Lower alert level ( default -40, color : purple )
Signal line ( default 13, colors : bright red & lime green )
And also to give the SMI eq price ( colors : red & green )
The midline, upper and lower alert levels return the closing price which would make SMI equal to their respective values
The user can infer from this that.....
Closing above these prices will cause the Stochastic Momentum Index to cross above the associated levels
Closing below these prices will cause the Stochastic Momentum Index to cross below the associated levels
Signal line returns the closing price where Stochastic Momentum Index is equal to its signal line
The user can infer from this that.....
Closing above this price will cause the Stochastic Momentum Index to cross above the signal line
Closing below this price will cause the Stochastic Momentum Index to cross below the signal line
SMI eq price returns the closing price which would make the SMI equal to its previous value
The user can infer from this that.....
Closing above this price will cause the Stochastic Momentum Index to increase
Closing below this price will cause the Stochastic Momentum Index to decrease
Note : all returned prices have a returned value filter to replace any values below zero with zero to help prevent auto focus issues.
These levels are displayed as plotted lines on the chart and also as an optional infobox with choice of displayed info.
This allows the user to see directly on the chart the interplay between the various crossover levels and price action and to precisely plan entries, exits and stops for their SMI based trades.
Traditionally traders and analysts will consider:
Positives values above 40 indicate a bullish trend
Negative values below -40 indicate a bearish trend .
Common traditional ways to derive signals from the SMI :
When the SMI crosses below -40 and then moves back above it, a buy signal is generated.
When the SMI crosses above +40 and then moves back below it, a sell signal is generated.
When the SMI line crosses above the signal line. A signal to buy is generated
When the SMI line crosses below the signal line signal to sell is generated.
When the SMI crosses above the zeroline, signal line and the SMI eq level many interpret that as a full bullish bias signal and take trades only in that direction, vice versa for bearish bias.
Traders also look for divergences between the SMI and price action.
The SMI is often used in conjunction with the Chande Momentum Oscillator or R squared indicator to determine overall market trendiness where the SMI is used to determine the direction of the trend, and also with volume indicators to show if the momentum carries significant selling or buying pressure.
RSI/Momentum derivativesthis indicator plots the derivatives of the RSI to get more leading sense of direction of the price
we know that the rsi shows us the momentum of the price, so the easiest/logical way to interpret this indicator and benefit from it is as follows:
- see the price as 'distance'
- see the rsi as 'speed'
- see the rsi/momentum of the above/'speed' as 'velocity'
- see the rsi/momentum of the above/'velocity' as 'acceleration'
once you understand this you can analyse and interpret this indicator to give you a more leading analysis and more accurate entry and exit points.
- also includes the RMA for each RSI derivative which can help for identifying breakouts, direction of price, pivot points and more.
in the above chart
- black is the standard rsi/speed
- orange is the momentum of the rsi/velocity
- green is the momentum of the velocity
Ants - Momentum, Volume and Price (MVP)The Ants indicator is based on the research of David Ryan, three-time winner of the U.S. Investing Championship. David came up with the idea for the indicator while managing the New USA Growth Fund at William O’Neil + Company. David was interested to understand what drove some stocks higher once they were extended from their most recent base, while others had only moderate moves up.
What David found during his research was that stocks making the biggest moves often had consistent buying on volume over a period of 12 to 15 trading days. Stocks with these characteristics may be under institutional accumulation, where it may take days to weeks to fill a position.
— Momentum, Volume And Price (MVP) —
The Ants indicator looks for the following:
■ Momentum - The stock is up at least 12 of the past 15 days.
■ Volume - The volume has increased over the past 15 days by 20% to 25%.
■ Price - The price is up at least 20% over the past 15 days.
— Why Is The Indicator Called Ants? —
The "Ants" reference comes from the original implementation at William O'Neil where small black marks were placed above price bars when the MVP criteria were met.
— Ant Colors —
When the indicator was created at William O'Neil, Ants were shown only when all three MVP requirements had been met. You may find it helpful to see Ants when momentum and volume or momentum and price are detected. With that in mind, the Ants indicator supports the following:
■ Gray Ants - Momentum requirement met.
■ Blue Ants - Momentum and price requirements met.
■ Yellow Ants - Momentum and volume requirements met.
■ Green Ants - Momentum, volume and price requirements met.
— What Does It Mean If More Than 15 Ants Are Shown? —
It is possible that two or more consecutive series of Ants overlap. For example, you may have one series of 15 bars that meet all the MVP requirements. Somewhere within that series, another run of 15 bars may begin that also meets the MVP requirements. In situations such as this, once each run of 15 Ants is displayed, the total number of consecutive Ants shown will be greater than 15.
— Acknowledgement —
Many thanks to David Ryan for his time to clarify the details of the MVP requirements and providing feedback and suggestions during the development of the Ants indicator.
CT Reverse Chande Momentum OscillatorIntroducing the Caretakers Reverse Chande Momentum Oscillator.
The Chande momentum oscillator is a technical momentum indicator which calculates the difference between the sum of recent gains and the sum of recent losses and then divides the result by the sum of all price movement over the same period.
It is used to gauge “pure momentum”.
It bears similarities to other momentum indicators such as the Stochastic, Rate of Change and the Relative Strength Index, but other unique features render it a handy tool in the traders handset.
The CMO was developed by Tushar Chande.
The author introduced the indicator in his 1994 book “The New Technical Trader “.
The CMO has a normal range of values between +100 and -100.
I have reverse engineered the CMO formula to derive a dual purpose function.
The function can calculate the chart price at which the CMO will reach a particular CMO scale value.
The function can also calculate the chart price at which the CMO will equal its previous value.
I have employed this function here to give the price level where the CMO will equal :
Upper alert level ( default 50 )
Zero-Line
Lower alert level ( default -50 )
Previous CMO value
These crossover levels are displayed via an optional infobox with choice of user selected info.
The advantage of knowing the exact prices that this will happen should give the user an additional edge and precision in risk management.
Traditionally traders and analysts will consider:
Positives values above 50 indicate an “overbought” condition
Negative values below -50 indicate an “oversold” condition
Common traditional ways to derive signals from the CMO :
When the CMO crosses above the zeroline, a buy signal is generated.
When the CMO crosses below the zeroline, a sell signal is generated.
When the SMI crosses below -50 and then moves back above it, a buy signal is generated.
When the SMI crosses above +50 and then moves back below it, a sell signal is generated.
Traditionally, traders also look for divergences between the CMO and price action.
Chande Momentum oscillating in a narrower band around the zero line, with no penetration of the Overbought and Oversold levels indicates a ranging market.
This should not be confused with Chande Momentum oscillating between either the Overbought and the zero line, or the Oversold level and the zero line, which indicates a strong up, or down-trend.
It is traditionally considered that the strongest trend signals are from failed swing patterns.
It measures momentum on both up and down days and does not smooth results, triggering more frequent oversold and overbought penetrations.
The CMO is often used to determine overall market trendiness in conjunction with the SMI where the SMI is used to determine the direction of the trend, and also with volume indicators to show if the momentum carries significant selling or buying pressure.
JohnHosana Momentum/Breakout IndicatorThe Johnhosana Momentum/Breakout Indicator is a pure trend-following indicator. It only looks at price data, and doesn't guess where support and resistance areas are. That sounds a bit basic but it's actually a great strength. Since the Johnhosana Momentum/Breakout Indicator follows the trend, it practically guarantees that we're on the right side of important trends.
When prices cross the upper band, open a long position. Sell when they cross the opposite band.
When prices cross the lower band, initiate a short trade. Cover that position once prices cross the other band.
A nice feature of the Johnhosana Momentum/Breakout is that it moves with prices. When there's an uptrend, new highs push the upper band higher. But an uptrend also has higher lows, and that makes the Johnhosana Momentum/Breakout lower band also move up. This way our long exit becomes more favourable the longer the trend continues.
The size of the Johnhosana Momentum/Breakout also tells us something. When the market is in a volatile downtrend, the Johnhosana Momentum/Breakout increases in height. Then when price volatility decreases, the channel becomes smaller as well. (And when the bands become exceptionally narrow, there's even a chance of a volatile breakout.)
The Johnhosana Momentum/Breakout is not always easy to trade, unfortunately. When prices move sideways, the indicator can generate a lot of false signals. And when trends don't last long, there isn't always enough price movement for a profitable exit. In those environments we better use oscillators instead of trend-following indicators.
Profit Accumulator Momentum Trend IndicatorMomentum Trend Indicator
This is a support indicator to the Main Indicator which has also been published.
This indicator uses a modified stochastic trendline and a smoothed momentum line (which combines stochastic, RSI and moving average). This is a centred oscillator from -100 to 100 which makes it easier to track. The stochastic line is the quicker moving line which potentially acts as the first trigger. If the momentum line then begins to follow, then it is an indication that a trade should be made.
Long Trades: The Stochastic line is above 25 and the momentum line is greater than -25.
Short Trade: The Stochastic line is below -25 and the momentum line is less than 25.
Whilst an actual alert function is not set for the indicator, the TradingView alert function can be used to trigger a message when either the stochastic line or momentum line crosses -25/25 (the key levels).
I've been using this successfully on the one hour FX charts, but seems to work equally as well on higher or lower time frames (not less than 15min).
The other indicators which are part of the suite are shown on the website which is highlighted in my signature at the bottom of the page. Purchase of the main indicator gives access to the full suite of eight indicators. I use the other indicators to confirm the direction of the trade and to determine if I want to trade or not. I use it along with the 2min, 15min and 4hr timeframes to identify the best entry window and how long I'm likely to be in the trade.
Support can be provided via private message or in the comments below.
The links are provided below for access to the indicator.
RK's 07 ∴ Moving Average Ribbon with Momentum Adjusted by DGTHello folks!
In my search for new ways to get faster and better market responses, I found this brilliant Indicator here on Trading View.
I rewrite all the code with my own functions and styles.
So... This is my adaptation to excellent script "Momentum adjusted Moving Average by DGT" from the user dgtrd
In dgtrd's words: "A brand new Moving Average, calculated using Momentum, Acceleration and Probability (Psychological Effect).
Momentum adjusted Moving Average( MaMA ) is an indicator that measures Price Action by taking into consideration not only Price movements but also its Momentum, Acceleration and Probability.
MaMA , provides faster responses comparing to the regular Moving Average"
The original post is here: 👇
T∴F∴A∴
Rodrigo Kazuma
Price Action and 3 EMAs Momentum plus Sessions FilterThis indicator plots on the chart the parameters and signals of the Price Action and 3 EMAs Momentum plus Sessions Filter Algorithmic Strategy. The strategy trades based on time-series (absolute) and relative momentum of price close, highs, lows and 3 EMAs.
I am still learning PS and therefore I have only been able to write the indicator up to the Signal generation. I plan to expand the indicator to Entry Signals as well as the full Strategy.
The strategy works best on EURUSD in the 15 minutes TF during London and New York sessions with 1 to 1 TP and SL of 30 pips with lots resulting in 3% risk of the account per trade. I have already written the full strategy in another language and platform and back tested it for ten years and it was profitable for 7 of the 10 years with average profit of 15% p.a which can be easily increased by increasing risk per trade. I have been trading it live in that platform for over two years and it is profitable.
Contributions from experienced PS coders in completing the Indicator as well as writing the Strategy and back testing it on Trading View will be appreciated.
STRATEGY AND INDICATOR PARAMETERS
Three periods of 12, 48 and 96 in the 15 min TF which are equivalent to 3, 12 and 24 hours i.e (15 min * period / 60 min) are the foundational inputs for all the parameters of the PA & 3 EMAs Momentum + SF Algo Strategy and its Indicator.
3 EMAs momentum parameters and conditions
• FastEMA = ema of 12 periods
• MedEMA = ema of 48 periods
• SlowEMA = ema of 96 periods
• All the EMAs analyse price close for up to 96 (15 min periods) equivalent to 24 hours
• There’s Upward EMA momentum if price close > FastEMA and FastEMA > MedEMA and MedEMA > SlowEMA
• There’s Downward EMA momentum if price close < FastEMA and FastEMA < MedEMA and MedEMA < SlowEMA
PA momentum parameters and conditions
• HH = Highest High of 48 periods from 1st closed bar before current bar
• LL = Lowest Low of 48 periods from 1st closed bar from current bar
• Previous HH = Highest High of 84 periods from 12th closed bar before current bar
• Previous LL = Lowest Low of 84 periods from 12th closed bar before current bar
• All the HH & LL and prevHH & prevLL are within the 96 periods from the 1st closed bar before current bar and therefore indicative of momentum during the past 24 hours
• There’s Upward PA momentum if price close > HH and HH > prevHH and LL > prevLL
• There’s Downward PA momentum if price close < LL and LL < prevLL and HH < prevHH
Signal conditions and Status (BuySignal, SellSignal or Neutral)
• The strategy generates Buy or Sell Signals if both 3 EMAs and PA momentum conditions are met for each direction and these occur during the London and New York sessions
• BuySignal if price close > FastEMA and FastEMA > MedEMA and MedEMA > SlowEMA and price close > HH and HH > prevHH and LL > prevLL and timeinrange (LDN&NY) else Neutral
• SellSignal if price close < FastEMA and FastEMA < MedEMA and MedEMA < SlowEMA and price close < LL and LL < prevLL and HH < prevHH and timeinrange (LDN&NY) else Neutral
Entry conditions and Status (EnterBuy, EnterSell or Neutral)(NOT CODED YET)
• ENTRY IS NOT AT THE SIGNAL BAR but at the current bar tick price retracement to FastEMA after the signal
• EnterBuy if current bar tick price <= FastEMA and current bar tick price > prevHH at the time of the Buy Signal
• EnterSell if current bar tick price >= FastEMA and current bar tick price > prevLL at the time of the Sell Signal
Rainbow Momentum - Multi Timeframe [WYCKOFF ARSENAL]🌈 Rainbow Momentum - Multi Timeframe WYCKOFF ARSENAL
The purpose of the Momentum is to provide a measure of the speculative interest in the market.
In Rainbow form, the Momentum could also be used as a trend-following indicator.
The Rainbow Momentum can be used on any available timeframes and assets with volume data .
It is a combination of Momentum instances of different lengths that are plotted on the same chart.
The confluence zones can hint at a price reversal and help estimate the trend strength.
The Rainbow Momentum can be combined with other technical analysis tools as a trend-following indicator.
When the trend is strong and the other indicators used to determine entry points send a bullish or a bearish signal, a position can be opened.
When the trend is weak, opening new positions should not be to consider.
The Rainbow Momentum can also be used on its own. The angles of the Rainbow will hint at the trend strength.
The steeper the curve, the stronger the trend. The flatter the curve, the weaker the trend.
A Buy position can be opened in the beginning of a strong positive trend .
A Sell position can be opened in the beginning of a strong negative trend .
During a strong trend, short-lived retracements can be found, and it is possible to enter a position in the direction of the general trend against the retracement.
The Rainbow mode can be experienced with the Multi RSI indicator as well.
Related tools :
▪ Optimism Pessimism
▪ Force
- 🌈 Rainbow Force
▪ Technometer
- 🌈 Rainbow Technometer
▪ Momentum
- 🌈 Rainbow Momentum ◄
▪ Market Screener
