Indicator: Result vs Effort
This indicator evaluates the relationship between price change (Result) and trading volume (Effort) over a specified period. It applies logical checks to detect strong directional movements and identify potential trend or reversal signals. Users can customize various conditions to refine signal accuracy.
Up Signal Conditions (all must be true):
- ResultEffort Trend: Current value must be greater than the previous value, indicating upward momentum.
- Magnitude Check: If "Absolute" is enabled, the absolute current value must exceed the previous value multiplied by "Multiplier".
- Reversal Check: If "Reversal" is enabled, a reversal must have occurred two bars ago (i.e., the value two bars ago must be less than the value three bars ago).
- Confirmation Check: If "Confirmation" is enabled, the previous value must be greater than the value two bars ago (confirming upward continuation).
- Trend Direction: If "Trend" is enabled, the current value must be positive (indicating an uptrend).
Down Signal Conditions (all must be true):
- ResultEffort Trend: Current value must be less than the previous value, indicating downward momentum.
- Magnitude Check: If "Absolute" is enabled, the absolute current value must exceed the previous value multiplied by "Multiplier".
- Reversal Check: If "Reversal" is enabled, a reversal must have occurred two bars ago (i.e., the value two bars ago must be greater than the value three bars ago).
- Confirmation Check: If "Confirmation" is enabled, the previous value must be less than the value two bars ago (confirming downward continuation).
- Trend Direction: If "Trend" is enabled, the current value must be negative (indicating a downtrend).
Purpose:
The indicator helps traders detect meaningful price shifts relative to volume, aiding in the identification of trend continuations or reversals. Its multi-layered logic allows for precise control over signal sensitivity.
Result vs Effort.lua- (9.08 KiB) Downloaded 77 times
