DAX Breadth [AM]DAX Breadth — Publication Description
PulseWire Pine Script Library
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Title
DAX Breadth
Tagline
The breadth data DAX traders never had — until now.
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Full Description
The Problem
If you trade the DAX40 intraday, you already know this frustration: breadth data simply does not exist for European indices on retail platforms. NYSE traders have TICK, ADD, VOLD and TRIN available as standard symbols. DAX traders have nothing equivalent. There is no XETR:TICK. There is no XETR:ADD. The Deutsche Börse publishes no aggregated breadth feed accessible to retail platforms.
This indicator solves that problem from the ground up.
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What It Does
DAX Breadth reconstructs five institutional-grade breadth metrics for the DAX40 by individually scanning all 40 Xetra components on every bar using `request.security()` calls. It creates data that does not otherwise exist on PulseWire.
This is not a mashup of existing indicators. It is a full reconstruction of breadth internals from raw component data.
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The Five Metrics
TICK
Net advancing minus declining components on each bar. A reading of +25 means 32 stocks up, 7 down. Mirrors NYSE TICK methodology applied to the DAX40 universe. Reacts instantly — your fastest breadth signal.
CUMT (Cumulative TICK)
Running sum of TICK readings since the Xetra session open (09:00 CET), resetting daily. A rising CUMT throughout the session confirms sustained buying pressure. A falling CUMT despite a rising DAX price flags a breadth divergence — one of the most powerful signals in this indicator.
UVOL% (Up-Volume Ratio)
Volume of all advancing components as a percentage of total DAX40 volume. This is the critical institutional participation metric. A narrow rally driven by SAP or Siemens alone will show moderate TICK but low UVOL%. Readings above 75% confirm broad institutional buying. Below 30% on a rising index is a red flag.
ADV% (Advancing Percentage)
Raw count of advancing stocks as a percentage of the 40 components. Simple, fast, and useful for immediate visual confirmation of breadth width.
A/D Thrust (EMA-smoothed)
Advance/decline ratio smoothed with a configurable EMA (default 5 bars). Slower than TICK and ADV% by design — it filters noise and confirms the sustained directional bias of the session. Read it last, alongside CUMT.
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The Dashboard
Each metric is displayed in a compact floating table with five columns:
INT VALUE TIER TRD ROC
Metric name Current reading Strength tier Direction arrow Rate of change
TIER classifies each metric into five levels using adaptive thresholds that widen during the first 15 bars of the session (early-session noise reduction):
+2 Strong Bull — dark green
+1 Bull — light green
0 Neutral — grey
−1 Bear — red
−2 Strong Bear — dark red
TRD shows the directional change vs the previous bar (↑ ↓ →).
ROC shows the delta vs N bars ago (configurable, default 5). All ROC values use a consistent delta format with explicit +/− sign so momentum direction is immediately readable.
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Composite Score & Conclusion Block
Below the separator, three summary rows provide the analytical conclusion:
COMP — A weighted composite of all five metrics on a scale of −100 to +100.
Weights: UVOL% 30% · A/D 25% · TICK 20% · ADV% 15% · CUMT 10%
Includes its own ROC value and direction arrow.
Labels: Strong (≥50) · Moderate (≥25) · Weak (<25)
BIAS — Session directional bias derived from the composite score:
Bullish · Mild Bull · Neutral · Mild Bear · Bearish
MODE — Operating mode:
NORMAL — standard session conditions
NO_EDGE — composite score too low to confirm direction
90PCT_DAY — rare extreme breadth event (≥90% or ≤10% advancing) signalling high-probability trend continuation for the remainder of the session
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How to Use It in Your Trading
Confirmation tool, not a signal generator.
Use DAX Breadth to confirm or challenge what you see on price. Before entering a long setup, check: Is UVOL% above 60%? Is CUMT rising? Is ADV% above 55%? If breadth contradicts the price setup, reduce size or skip the trade.
Divergence detection.
The most actionable signal: DAX index making new session highs while CUMT is declining. This breadth divergence frequently precedes sharp reversals. Watch it closely during the 10:00–11:00 CET window.
Opening Range context.
At 09:15 CET, after the Opening Range has formed, read the initial TICK and CUMT direction. A CUMT already moving strongly in one direction within the first 15 minutes is a high-conviction session bias signal.
90PCT_DAY awareness.
When MODE switches to 90PCT_DAY, the historical edge for trend continuation is significant. These sessions occur 2–5 times per quarter. On these days, fade setups should be avoided and trend-following setups sized up.
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Technical Notes
Timeframe: Designed for 1-minute and 5-minute charts during the Xetra session (09:00–17:30 CET / Europe/Berlin timezone). Do not use on higher timeframes — CUMT accumulation becomes meaningless outside intraday context.
Data source: 39 XETR-listed components + Covestro (FWB:1COV, post-ADNOC acquisition). All other 39 components use Xetra primary listing data.
Session reset: CUMT resets automatically at 09:00 CET each trading day.
Adaptive tiers: Tier thresholds widen automatically during the first 15 bars of each session to prevent false extreme readings during the volatile open.
Overlay indicator: Renders as a floating table on the price chart. No separate pane required.
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Settings
Setting Default Description
Table Position Right Top Floating table placement
Text Size Normal Tiny / Small / Normal
A/D EMA Smoothing 5 bars EMA length for A/D Thrust
ROC Lookback 5 bars Bars back for rate of change
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Why This Is Different
Most breadth indicators available for European indices either:
(a) rely on pre-existing index breadth feeds that don't exist for DAX, or
(b) use price-only proxies that approximate breadth without volume confirmation.
DAX Breadth reconstructs five distinct breadth dimensions — including volume-weighted participation — from raw component data on every bar. The result is an institutional-grade breadth dashboard that did not previously exist for DAX40 intraday traders on any retail platform.
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Designed and built for professional DAX40 intraday trading.
Optimised for use on 1M and 5M XETR:DAX charts during the Xetra session. Indicator
Apex Market Breadth Oscillator [Pineify]Apex Market Breadth Oscillator
The Apex Market Breadth Oscillator is a composite market-internal momentum tool that blends Advance/Decline Issue Breadth with Up/Down Volume Breadth into a single, smoothed oscillator — giving traders a unified view of how broadly the market is participating in a move. Rather than relying on price action of a single index, this indicator looks beneath the surface by measuring both the percentage of stocks advancing and the percentage of volume flowing into advancing stocks, then combining them into one reading. The oscillator is built on the Whaley Breadth Thrust methodology and incorporates Martin Zweig's classic breadth thrust threshold (61.5) as a key reference level. An EMA-smoothed composite line is paired with an SMA signal line for crossover-based timing, while gradient coloring and zone-based buy/sell signals help traders quickly identify oversold recoveries, overbought exhaustion, and rare breadth thrust events that have historically preceded major bull market advances.
Key Features
Composite breadth oscillator — merges Advance/Decline Issue Breadth (ADT) and Up/Down Volume Breadth (UDT) into a single reading that captures both stock participation and capital flow direction.
Whaley Breadth Thrust methodology — calculates the percentage of advancing issues and advancing volume relative to their totals, providing a normalized 0–100 scale for cross-market comparison.
EMA-smoothed oscillator with SMA signal line — the composite is smoothed via EMA for noise reduction while retaining responsiveness; an SMA signal line provides crossover-based momentum shift detection.
Martin Zweig's breadth thrust threshold — the 61.5 level marks the historically significant thrust zone where breadth surges have preceded powerful multi-month rallies.
Zone-based buy/sell signals — buy signals fire only in oversold territory (below 40), sell signals fire only in overbought territory (above 61.5), filtering out low-conviction crossovers in the neutral zone.
Dynamic gradient coloring — the oscillator line transitions smoothly from red (oversold) to green (overbought) based on its position between the 40 and 61.5 levels, providing an instant visual read on market health.
Breadth thrust event labels — rare "THRUST" labels mark the moment the oscillator crosses above 61.5, highlighting high-conviction bullish impulse events.
Multi-exchange support — toggle between NYSE and NASDAQ breadth data to analyze large-cap or growth/tech-weighted market internals.
How It Works
The indicator follows a four-stage calculation pipeline to transform raw market breadth data into actionable signals:
Data sourcing: Four breadth series are pulled from the selected exchange (NYSE or NASDAQ) — advancing issues, declining issues, advancing volume, and declining volume. These are standard USI (US Indices) breadth tickers that represent the internal composition of the market on each bar.
Breadth ratio calculation: Two normalized ratios are computed. The Advance/Decline Thrust (ADT) measures the percentage of advancing issues relative to total issues: ADT = 100 × advancing / (advancing + declining). The Up/Down Volume Thrust (UDT) applies the same formula to volume: UDT = 100 × up volume / (up volume + down volume). Both ratios range from 0 to 100, where 50 represents equilibrium.
Composite smoothing: ADT and UDT are averaged to create a raw composite that reflects both issue participation and volume participation. This raw composite is then smoothed with an Exponential Moving Average (EMA) of configurable length (default: 10). The EMA removes bar-to-bar noise while preserving the oscillator's ability to react quickly to genuine breadth shifts.
Signal line generation: A Simple Moving Average (SMA) of the smoothed composite (default length: 5) serves as the signal line. Crossovers between the faster EMA-smoothed composite and the slower SMA signal line identify momentum inflection points, which are then filtered by zone (oversold or overbought) to produce the final buy and sell signals.
Trading Ideas and Insights
Oversold recovery entries: When the oscillator drops below 40, the market is experiencing broad-based selling — most stocks are declining and declining volume dominates. A buy signal (composite crossing above the signal line while below 40) captures the early momentum shift as breadth begins recovering. These signals identify potential bottoms where risk/reward is most favorable.
Overbought exhaustion exits: When the oscillator rises above 61.5, the market is experiencing an exceptionally broad advance. A sell signal (composite crossing below the signal line while above 61.5) identifies the moment breadth momentum starts fading after an extreme surge. This can be used to take profits or tighten stops on long positions.
Breadth thrust confirmation: The "THRUST" label marks the rare event where the oscillator surges past 61.5. Historically, Zweig Breadth Thrusts — where breadth rapidly transitions from oversold to above the thrust threshold — have preceded significant market gains over the following 6–12 months. These events can be used as high-conviction confirmation for establishing or adding to long-term positions.
Divergence analysis: When a major index makes new highs but the Apex Breadth Oscillator fails to confirm (lower highs on the oscillator), it signals narrowing participation — fewer stocks are driving the rally. This breadth divergence is a classic warning sign of potential market weakness ahead.
Equilibrium as a trend filter: Sustained readings above 50 indicate healthy broad market participation; sustained readings below 50 suggest internal weakness even if headline indices appear stable. Use the 50 level as a simple filter — favor long setups when the oscillator is above 50, and exercise caution or favor short setups when below.
How Multiple Indicators Work Together
The Apex Market Breadth Oscillator integrates several analytical components into a cohesive system, each serving a distinct purpose:
Advance/Decline Issue Breadth (ADT) — participation measurement: ADT answers the question "what percentage of stocks are advancing?" This captures the breadth of participation regardless of the size of individual stock moves. A market where 80% of stocks are rising is fundamentally healthier than one where only 20% are rising — even if both scenarios produce the same index return.
Up/Down Volume Breadth (UDT) — capital flow measurement: UDT answers the question "what percentage of volume is flowing into advancing stocks?" This adds a volume-weighted dimension that ADT alone cannot provide. High UDT values indicate that institutional-scale capital is flowing into advancing stocks, not just a large number of small-cap stocks ticking higher on minimal volume.
EMA composite smoothing — noise reduction: Averaging ADT and UDT and applying EMA smoothing transforms two noisy daily breadth readings into a single, clean oscillator. The EMA's exponential weighting ensures recent breadth conditions have more influence than older ones, keeping the oscillator responsive to current market dynamics.
SMA signal line — timing mechanism: The SMA signal line adds a crossover-based timing layer. While the composite oscillator tells you the current state of market breadth, the signal line crossovers tell you when that state is changing — identifying the inflection points where breadth momentum is shifting from deteriorating to improving (or vice versa).
The synergy is sequential: raw breadth data (issues + volume) → normalized ratios (ADT + UDT) → blended composite → EMA smoothing → SMA signal line → zone-filtered crossover signals. Each layer refines the raw data further, producing signals that require both broad market participation AND volume confirmation AND momentum shift AND extreme positioning to trigger — a multi-filter approach that dramatically reduces false signals compared to using any single breadth measure alone.
Unique Aspects
Dual-breadth composite: Most breadth oscillators use either issue breadth or volume breadth in isolation. The Apex Market Breadth Oscillator combines both into a single composite, ensuring that signals reflect genuine broad-based market moves backed by volume — not just a large number of stocks ticking marginally higher on thin volume.
Zweig-inspired threshold levels: The 61.5 thrust level is not an arbitrary overbought line — it is derived from Martin Zweig's Breadth Thrust indicator, one of the most historically reliable bullish signals in market analysis. The 40 oversold level provides the corresponding floor, creating a framework rooted in decades of market research.
Zone-filtered signals: Rather than generating signals on every crossover (which would produce many false signals in the neutral 40–61.5 zone), the indicator restricts buy signals to oversold territory and sell signals to overbought territory. This zone-based filtering ensures signals only fire at extreme readings where the probability of a meaningful reversal is highest.
Gradient color mapping: The oscillator line uses a continuous gradient from red to green mapped to the 40–61.5 range, rather than a simple binary color switch. This provides an intuitive, at-a-glance reading of where the oscillator sits within the oversold-to-overbought spectrum without needing to check exact values.
How to Use
Add the indicator to your chart. It appears in a separate pane below the price chart, displaying the composite breadth oscillator, signal line, and three reference levels (40, 50, 61.5).
Select your preferred exchange — NYSE for large-cap/value-oriented breadth analysis, or NASDAQ for tech/growth-weighted breadth analysis. The choice depends on which market segment you are trading or want to monitor for confirmation.
Monitor the oscillator's color: red tones indicate the oscillator is near or below the oversold zone (40), suggesting broad market weakness. Green tones indicate the oscillator is near or above the overbought/thrust zone (61.5), suggesting strong broad participation.
Watch for BUY signals (green triangles at the bottom) — these appear when the oscillator crosses above its signal line while in oversold territory (below 40). Consider entering long positions or adding to existing ones.
Watch for SELL signals (red triangles at the top) — these appear when the oscillator crosses below its signal line while in overbought territory (above 61.5). Consider taking profits or tightening stops on long positions.
Pay special attention to THRUST labels (green labels at the bottom) — these mark the rare event where the oscillator surges above 61.5. Historically, these breadth thrust events have preceded significant multi-month market advances and represent high-conviction bullish confirmation.
Use the 50 equilibrium level as a simple trend filter — sustained readings above 50 indicate healthy market internals; sustained readings below 50 suggest underlying weakness.
Compare the oscillator's trajectory with the price index for divergence analysis — if the index makes new highs but the oscillator does not, breadth is narrowing and caution is warranted.
Customization
Market Exchange (default: NYSE): Selects which exchange's breadth data to use. NYSE breadth reflects large-cap, broad market participation. NASDAQ breadth is more sensitive to technology and growth stock activity. Choose based on your trading focus or use both in separate indicator instances for a complete picture.
Oscillator Smoothing (default: 10): Controls the EMA period applied to the raw composite. Lower values (e.g., 5–7) produce a more volatile, responsive oscillator that generates more signals — suitable for short-term trading. Higher values (e.g., 15–21) produce a smoother oscillator with fewer but more reliable signals — suitable for swing or position trading.
Signal Line Length (default: 5): Controls the SMA period of the signal line. Shorter values make the signal line track the oscillator more closely, triggering crossovers sooner but with more potential for whipsaws. Longer values add lag but filter out minor fluctuations, producing more deliberate crossover signals.
Conclusion
The Apex Market Breadth Oscillator provides a comprehensive, under-the-hood view of market health by combining issue breadth and volume breadth into a single composite oscillator. Rooted in the Whaley Breadth Thrust methodology and incorporating Martin Zweig's historically significant thrust threshold, the indicator goes beyond surface-level price analysis to reveal whether rallies and declines are supported by broad participation and institutional volume. Its zone-filtered buy/sell signals, gradient color mapping, and rare breadth thrust labels give traders a structured, evidence-based framework for identifying high-probability turning points and confirming the strength of market moves. Whether used as a standalone market timing tool or as a confirmation layer alongside price-based indicators, the Apex Market Breadth Oscillator delivers actionable insights into the true breadth and conviction behind market movements.
Indicator
Crypto Breadth Engine [alex975]
A normalized crypto market breadth indicator with a customizable 40 coin input panel — revealing whether rallies are broad and healthy across major coins and altcoins or led by only a few.
📊 Overview
The Crypto Breadth Engine measures the real participation strength of the crypto market by analyzing the direction of the 40 largest cryptocurrencies by market capitalization.
⚙️ How It Works
Unlike standard breadth tools that only count assets above a moving average, this indicator measures actual price direction:
+1 if a coin closes higher, –1 if lower, 0 if unchanged.
The total forms a Breadth Line, statistically normalized using standard deviation to maintain consistent readings across timeframes and volatility conditions.
🧩 Dynamic Input Mask
All 40 cryptocurrencies are fully editable via the input panel, allowing users to easily replace or customize the basket (Top 40, Layer-1s, DeFi, Meme Coins, AI Tokens, etc.) without touching the code.
This flexibility keeps the indicator aligned with the evolving crypto market.
🧭 Trend Bias
The indicator classifies market structure as Bullish, Neutral, or Bearish, based on how the Breadth Line aligns with its moving averages (10, 20, 50).
💡 Dashboard
A compact on-chart table displays in real time:
• Positive and negative coins
• Participation percentage
• Current trend bias
🔍 Interpretation
• Rising breadth → broad, healthy market expansion
• Falling breadth → narrowing participation and structural weakness
Ideal for TOTAL, TOTAL3, or custom crypto baskets on 1D,1W.
Developed by alex975 – Version 1.0 (2025).
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🇮🇹 Versione Italiana
📊 Panoramica
Il Crypto Breadth Engine misura la partecipazione reale del mercato crypto, analizzando la direzione delle 40 principali criptovalute per capitalizzazione.
Non si limita a contare quante coin sono sopra una media mobile, ma calcola la variazione effettiva del prezzo:
+1 se sale, –1 se scende, 0 se invariato.
La somma genera una Breadth Line normalizzata statisticamente, garantendo letture coerenti su diversi timeframe e fasi di volatilità.
🧩 Mascherina dinamica
L’indicatore include una mascherina d’input interattiva che consente di modificare o sostituire liberamente i 40 ticker analizzati (Top 40, Layer-1, DeFi, Meme Coin, ecc.) senza intervenire nel codice.
Questo lo rende sempre aggiornato e adattabile all’evoluzione del mercato crypto.
⚙️ Funzionamento e Trend Bias
Classifica automaticamente il mercato come Bullish, Neutral o Bearish in base alla relazione tra la breadth e le medie mobili (10, 20, 50 periodi).
💡 Dashboard
Una tabella compatta mostra in tempo reale:
• Numero di coin positive e negative
• Percentuale di partecipazione
• Stato attuale del trend
🔍 Interpretazione
• Breadth in crescita → mercato ampio e trend sano
• Breadth in calo → partecipazione ridotta e concentrazione su pochi asset
Ideale per analizzare TOTAL, TOTAL3 o panieri personalizzati di crypto.
Funziona su timeframe 1D, 4H, 1W.
Sviluppato da alex975 – Versione 1.0 (2025).
Indicator
OBV Divergence Indicator [TradingFinder] On-Balance Vol Reversal🔵 Introduction
The On-Balance Volume (OBV) indicator, introduced by Joe Granville in 1963, is a powerful technical analysis tool used to measure buying and selling pressure based on trading volume and price.
By aggregating trading volume—adding it on positive days and subtracting it on negative days—OBV creates a cumulative line that reflects market volume pressure, making it valuable for confirming trends, identifying entry and exit points, and forecasting potential price movements.
Divergences between price and OBV often provide significant signals. A bearish divergence occurs when the price forms higher highs while the OBV line forms lower highs. This discrepancy indicates that upward momentum is weakening, increasing the likelihood of a downward trend.
In contrast, a bullish divergence happens when the price makes lower lows, but the OBV line forms higher lows. This suggests increasing buying pressure and the potential for an upward trend reversal.
For instance, if the price is rising but the OBV trendline is falling, it may signal a bearish divergence, warning of a possible price decline. Conversely, if the price is falling while the OBV line is rising, this could signal a bullish divergence, indicating a possible price recovery. These signals are particularly useful for identifying market turning points.
OBV often acts as a leading indicator, moving ahead of price changes. For example, a rising OBV alongside stable or declining prices can signal an impending upward breakout.
Conversely, a declining OBV with rising prices may indicate that the current uptrend is losing strength. Traders using this strategy often consider entering positions at breakout levels while setting stop losses near recent swing highs or lows to manage risk effectively.
This integration highlights how OBV divergences can provide actionable insights for predicting price movements and managing trades efficiently.
Bullish Divergence :
Bearish Divergence :
🔵 How to Use
The OBV indicator, as a cumulative tool, assists analysts in comparing volume and price changes to identify new trends and key levels for entering or exiting trades. Beyond confirming existing trends, it is particularly effective in analyzing positive and negative divergences between price and volume, providing valuable signals for trading decisions.
🟣 Bullish Divergence
A bullish divergence occurs when the price continues its downward or stable trend, but the OBV line starts rising, forming a higher low compared to its previous low. This suggests increasing volume on up days relative to down days and often signals a reversal to the upside.
For instance, if an asset's price stabilizes near a support level but the OBV line shows an upward trend, this divergence could present an opportunity to enter a long position.
🟣 Bearish Divergence
A bearish divergence occurs when the price forms higher highs, but the OBV line declines, creating lower highs compared to previous peaks. This indicates decreasing volume on up days relative to down days and often acts as a warning for a reversal to the downside.
For example, if an asset’s price approaches a resistance level while OBV starts declining, this divergence may signal the beginning of a downtrend and could indicate a good time to exit long trades or enter short positions.
🔵 Setting
Period : The "Period" setting allows you to define the number of bars or intervals for "Periodic" and "EMA" modes. A shorter period captures more short-term movements, while a longer period smooths out the fluctuations and provides a broader view of market trends.
You can enable or disable labels to highlight key levels or divergences and tables to show numerical details like values and divergence types. These options allow for a customized chart display.
🔵 Table
The following table breaks down the main features of the oscillator. It covers four critical categories: Exist, Consecutive, Divergence Quality, and Change Phase Indicator.
Exist : If divergence is detected, a "+" will appear in this row.
Consecutive: Shows the number of consecutive divergences that have formed in a short period.
Divergence Quality : Evaluates the quality of the divergence based on the number of occurrences. One is labeled "Normal," two are "Good," and three or more are considered "Strong."
Change Phase Indicator : If a phase change is detected between two oscillation peaks, this is marked in the table.
🔵 Conclusion
The OBV (On Balance Volume) indicator is a simple yet effective tool in technical analysis that combines volume and price changes to provide a comprehensive view of market buying and selling pressure. By identifying positive and negative divergences, OBV enables analysts to detect early signs of trend reversals and refine their trading strategies.
Divergences in OBV often precede price changes, making it a leading indicator for predicting market movements. Using OBV alongside other technical tools can enhance decision-making accuracy and help traders identify better entry and exit points. However, it is essential to consider the limitations of OBV, such as the potential for signal errors and the impact of sudden news events.
Ultimately, OBV serves as a complementary tool in technical analysis, aiding in trend identification, signal confirmation, and risk management. A thoughtful application of this indicator, in combination with other analytical tools, can create valuable opportunities for profiting in financial markets.
Indicator
Indicator
NYSE TickThe NYSE Tick indicator is a market breadth indicator used to determine short-term bullish or bearish market sentiment. The NYSE Tick index compares the number of stocks on the New York Stock Exchange that are ticking up to the number of stocks ticking down at a specific moment in time. When the NYSE Tick is hovering around the zero line, roughly the same number of stocks are ticking up as are ticking down. When the overall market is rising it will usually present on the NYSE Tick as a rise in value that will generally stay mostly above the zero line for a period of time. The opposite is true when the general market is falling and can be seen as the NYSE Tick staying mostly below the zero line. This information can be very helpful for a short-term day trader who trades a market that also follows many of these same stocks, like the E-Mini S&P 500 Futures (ES), for example. While the index can theoretically rise or fall to over ±2,000 if all stocks on the NYSE are ticking up or down at the same time, it’s generally considered an extreme movement if the NYSE Tick is ±1,000. For this reason, the indicator has default reference lines at ±1,000 and halfway marks at ±500. In order to partially smooth out the movement and make movement trends more easily read, the indicator plots the values using Heikin Ashi candles instead of the standard bars or candlesticks. The price-line value displayed is an accurate live value, however, rather than the OHLC average value of a standard Heikin Ashi candle. Since the standard hours for the NYSE are Monday – Friday, 09:30 – 16:00 EST, the indicator only plots bars during this time. Indicator
Market Internals & InfoThis script provides various information on Market Internals and other related info. It was a part of the Daily Levels script but that script was getting very large so I decided to separate this piece of it into its own indicator. I plan on adding some additional features in the near future so stay tuned for those!
The script provides customizability to show certain market internals, tickers, and even Market Profile TPO periods.
Here is a summary of each setting:
NASDAQ and NYSE Breadth Ratio
- Ratio between Up Volume and Down Volume for NASDAQ and NYSE markets. This can help inform about the type of volume flowing in and out of these exchanges.
Advance/Decline Line (ADL)
The ADL focuses specifically on the number of advancing and declining stocks within an index, without considering their trading volume.
Here's how the ADL works:
It tracks the daily difference between the number of stocks that are up in price (advancing) and the number of stocks that are down in price (declining) within a particular index.
The ADL is a cumulative measure, meaning each day's difference is added to the previous day's total.
If there are more advancing stocks, the ADL goes up.
If there are more declining stocks, the ADL goes down.
By analyzing the ADL, investors can get a sense of how many stocks are participating in a market move.
Here's what the ADL can tell you:
Confirmation of Trends: When the ADL moves in the same direction as the underlying index (e.g., ADL rising with a rising index), it suggests broad participation in the trend and potentially stronger momentum.
Divergence: If the ADL diverges from the index (e.g., ADL falling while the index is rising), it can be a warning sign. This suggests that fewer stocks are participating in the rally, which could indicate a weakening trend.
Keep in mind:
The ADL is a backward-looking indicator, reflecting past market activity.
It's often used in conjunction with other technical indicators for a more complete picture.
TRIN Arms Index
The TRIN index, also called the Arms Index or Short-Term Trading Index, is a technical analysis tool used in the stock market to gauge market breadth and sentiment. It essentially compares the number of advancing stocks (gaining in price) to declining stocks (losing price) along with their trading volume.
Here's how to interpret the TRIN:
High TRIN (above 1.0): This indicates a weak market where declining stocks and their volume are dominating the market. It can be a sign of a potential downward trend.
Low TRIN (below 1.0): This suggests a strong market where advancing stocks and their volume are in control. It can be a sign of a potential upward trend.
TRIN around 1.0: This represents a more balanced market, where it's difficult to say which direction the market might be headed.
Important points to remember about TRIN:
It's a short-term indicator, primarily used for intraday trading decisions.
It should be used in conjunction with other technical indicators for a more comprehensive market analysis. High or low TRIN readings don't guarantee future price movements.
VIX/VXN
VIX and VXN are both indexes created by the Chicago Board Options Exchange (CBOE) to measure market volatility. They differ based on the underlying index they track:
VIX (Cboe Volatility Index): This is the more well-known index and is considered the "fear gauge" of the stock market. It reflects the market's expectation of volatility in the S&P 500 index over the next 30 days.
VXN (Cboe Nasdaq Volatility Index): This is a counterpart to the VIX, but instead gauges volatility expectations for the Nasdaq 100 index over the coming 30 days. The tech-heavy Nasdaq can sometimes diverge from the broader market represented by the S&P 500, hence the need for a separate volatility measure.
Both VIX and VXN are calculated based on the implied volatilities of options contracts listed on their respective indexes. Here's a general interpretation:
High VIX/VXN: Indicates a high level of fear or uncertainty in the market, suggesting investors expect significant price fluctuations in the near future.
Low VIX/VXN: Suggests a more complacent market with lower expectations of volatility.
Important points to remember about VIX and VXN:
They are forward-looking indicators, reflecting market sentiment about future volatility, not necessarily current market conditions.
High VIX/VXN readings don't guarantee a market crash, and low readings don't guarantee smooth sailing.
These indexes are often used by investors to make decisions about portfolio allocation and hedging strategies.
Inside/Outside Day
This provides a quick indication of it we are still trading inside or outside of yesterdays range and will show "Inside Day" or "Outside Day" based upon todays range vs. yesterday's range.
Custom Ticker Choices
Ability to add up to 5 other tickers that can be tracked within the table
Show Market Profile TPO
This only shows on timeframes less than 30m. It will show both the current TPO period and the remaining time within that period.
Table Customization
Provided drop downs to change the text size and also the location of the table. Indicator
Developing Market Profile / TPO [Honestcowboy]The Developing Market Profile Indicator aims to broaden the horizon of Market Profile / TPO research and trading. While standard Market Profiles aim is to show where PRICE is in relation to TIME on a previous session (usually a day). Developing Market Profile will change bar by bar and display PRICE in relation to TIME for a user specified number of past bars.
What is a market profile?
"Market Profile is an intra-day charting technique (price vertical, time/activity horizontal) devised by J. Peter Steidlmayer. Steidlmayer was seeking a way to determine and to evaluate market value as it developed in the day time frame. The concept was to display price on a vertical axis against time on the horizontal, and the ensuing graphic generally is a bell shape--fatter at the middle prices, with activity trailing off and volume diminished at the extreme higher and lower prices."
For education on market profiles I recommend you search the net and study some profitable traders who use it.
Key Differences
Does not have a value area but distinguishes each column in relation to the biggest column in percentage terms.
Updates bar by bar
Does not take sessions into account
Shows historical values for each bar
While there is an entire education system build around Market Profiles they usually focus on a daily profile and in some cases how the value area develops during the day (there are indicators showing the developing value area).
The idea of trading based on a developing value area is what inspired me to build the Developing Market Profile.
🟦 CALCULATION
Think of this Developing Market Profile the same way as you would think of a moving average. On each bar it will lookback 200 bars (or as user specified) and calculate a Market Profile from those bars (range).
🔹Market Profile gets calculated using these steps:
Get the highest high and lowest low of the price range.
Separate that range into user specified amount of price zones (all spaced evenly)
Loop through the ranges bars and on each bar check in which price zones price was, then add +1 to the zones price was in (we do this using the OccurenceArray)
After it looped through all bars in the range it will draw columns for each price zone (using boxes) and make them as wide as the OccurenceArray dictates in number of bars
🔹Coloring each column:
The script will find the biggest column in the Profile and use that as a reference for all other columns. It will then decide for each column individually how big it is in % compared to the biggest column. It will use that percentage to decide which color to give it, top 20% will be red, top 40% purple, top 60% blue, top 80% green and all the rest yellow. The user is able to adjust these numbers for further customisation.
The historical display of the profiles uses plotchar() and will not only use the color of the column at that time but the % rating will also decide transparancy for further detail when analysing how the profiles developed over time. Each of those historical profiles is calculated using its own 200 past bars. This makes the script very heavy and that is why it includes optimisation settings, more info below.
🟦 USAGE
My general idea of the markets is that they are ever changing and that in studying that changing behaviour a good trader is able to distinguish new behaviour from old behaviour and adapt his approach before losing traders "weak hands" do.
A Market Profile can visually show a trader what kind of market environment we currently are in. In training this visual feedback helps traders remember past market environments and how the market behaved during these times.
Use the history shown using plotchars in colors to get an idea of how the Market Profile looked at each bar of the chart.
This history will help in studying how price moves at different stages of the Market Profile development.
I'm in no way an expert in trading Market Profiles so take this information with a grain of salt. Below an idea of how I would trade using this indicator:
🟦 SETTINGS
🔹MARKET PROFILING
Lookback: The amount of bars the Market Profile will look in the past to calculate where price has been the most in that range
Resolution: This is the amount of columns the Market Profile will have. These columns are calculated using the highest and lowest point price has been for the lookback period
Resolution is limited to a maximum of 32 because of pinescript plotting limits (64). Each plotchar() because of using variable colors takes up 2 of these slots
🔹VISUAL SETTINGS
Profile Distance From Chart: The amount of bars the market profile will be offset from the current bar
Border width (MP): The line thickness of the Market Profile column borders
Character: This is the character the history will use to show past profiles, default is a square.
Color theme: You can pick 5 colors from biggest column of the Profile to smallest column of the profile.
Numbers: these are for % to decide column color. So on default top 20% will be red, top 40% purple... Always use these in descending order
Show Market Profile: This setting will enable/disable the current Market Profile (columns on right side of current bar)
Show Profile History: This setting will enable/disable the Profile History which are the colored characters you see on each bar
🔹OPTIMISATION AND DEBUGGING
Calculate from here: The Market Profile will only start to calculate bar by bar from this point. Setting is needed to optimise loading time and quite frankly without it the script would probably exceed pulsewire loading time limits.
Min Size: This setting is there to avoid visual bugs in the script. Scaling the chart there can be issues where the Market Profile extends all the way to 0. To avoid this use a minimum size bigger than the bugged bottom box Indicator
Crypto McClellan Oscillator (SLN Fix)This is an adaption of the Mcclellan Oscillator for crypto. Instead of tracking the S&P500 it tracks a selection of cryptos to make sure the indicator follows this sector instead.
Full credit goes to the creator of this indicator: Fadior. It has since been fixed by SLN.
The following description explains the standard McClellan Oscillator. Full credit to Investopedia , my fav source of financial explanations.
The same principles applies to its use in the crypto sector, but please be cautious of the last point, the limitations. Since crypto is more volatile, that could amplify choppy behavior.
This is not financial advice, please be extremely cautious. This indicator is only suitable as a confirmation signal and needs support of other signals to be profitable.
This indicator usually produces the best signals on slightly above daily time frame. I personally like 2 or 3 day, but you have to find the settings suitable for your trading style.
What Is the McClellan Oscillator?
The McClellan Oscillator is a market breadth indicator that is based on the difference between the number of advancing and declining issues on a stock exchange, such as the New York Stock Exchange (NYSE) or NASDAQ.
The indicator is used to show strong shifts in sentiment in the indexes, called breadth thrusts. It also helps in analyzing the strength of an index trend via divergence or confirmation.
The McClellan Oscillator formula can be applied to any stock exchange or group of stocks.
A reading above zero helps confirm a rise in the index, while readings below zero confirm a decline in the index.
When the index is rising but the oscillator is falling, that warns that the index could start declining too. When the index is falling and the oscillator is rising, that indicates the index could start rising soon. This is called divergence.
A significant change, such as moving 100 points or more, from a negative reading to a positive reading is called a breadth thrust. It may indicate a strong reversal from downtrend to uptrend is underway on the stock exchange.
How to Calculate the McClellan Oscillator
To get the calculation started, track Advances - Declines on a stock exchange for 19 and 39 days. Calculate a simple average for these, not exponential moving average (EMA).
Use these simple values as the Prior Day EMA values in the 19- and 39-day EMA formulas.
Calculate the 19- and 39-day EMAs.
Calculate the McClellan Oscillator value.
Now that the value has been calculated, on the next calculation use this value for the Prior Day EMA. Start calculating EMAs for the formula instead of simple averages.
If using the adjusted formula, the steps are the same, except use ANA instead of using Advances - Declines.
What Does the McClellan Oscillator Tell You?
The McClellan Oscillator is an indicator based on market breadth which technical analysts can use in conjunction with other technical tools to determine the overall state of the stock market and assess the strength of its current trend.
Since the indicator is based on all the stocks in an exchange, it is compared to the price movements of indexes that reflect that exchange, or compared to major indexes such as the S&P 500.
Positive and negative values indicate whether more stocks, on average, are advancing or declining. The indicator is positive when the 19-day EMA is above the 39-day EMA, and negative when the 19-day EMA is below the 39-day EMA.
A positive and rising indicator suggests that stocks on the exchange are being accumulated. A negative and falling indicator signals that stocks are being sold. Typically such action confirms the current trend in the index.
Crossovers from positive to negative, or vice versa, may signal the trend has changed in the index or exchange being tracked. When the indicator makes a large move, typically of 100 points or more, from negative to positive territory, that is called a breadth thrust.
It means a large number of stocks moved up after a bearish move. Since the stock market tends to rise over time, this a positive signal and may indicate that a bottom in the index is in and prices are heading higher overall.
When index prices and the indicator are moving in different directions, then the current index trend may lack strength. Bullish divergence occurs when the oscillator is rising while the index is falling. This indicates the index could head higher soon since more stocks are starting to advance.
Bearish divergence is when the index is rising and the indicator is falling. This means fewer stocks are keeping the advance going and prices may start to head lower.
Limitations of Using the McClellan Oscillator
The indicator tends to produce lots of signals. Breadth thrusts, divergence, and crossovers all occur with some frequency, but not all these signals will result in the price/index moving in the expected direction.
The indicator is prone to producing false signals and therefore should be used in conjunction with price action analysis and other technical indicators.
The indicator can also be quite choppy, moving between positive and negative territory rapidly. Such action indicates a choppy market, but this isn't evident until the indicator has made this whipsaw move a few times.
Good luck and a big thanks to Fadior! Indicator
