Awesome Indicator

13 ago

# Moving Average Ribbon with ADR% - Complete Trading Indicator

## Overview
The **Moving Average Ribbon with ADR%** is a comprehensive technical analysis indicator that combines multiple analytical tools to provide traders with a complete picture of price trends, volatility, relative performance, and position sizing guidance. This multi-faceted indicator is designed for both swing and positional traders looking for data-driven entry and exit signals.

## Key Components

### 1. Moving Average Ribbon System
- **4 Customizable Moving Averages** with default periods: 13, 21, 55, and 189
- **Multiple MA Types**: SMA, EMA, SMMA (RMA), WMA, VWMA
- **Color-coded visualization** for easy trend identification
- **Flexible configuration** allowing users to modify periods, types, and colors

### 2. Average Daily Range Percentage (ADR%)
- Calculates the average daily volatility as a percentage
- Uses a 20-period simple moving average of (High/Low - 1) * 100
- Helps traders understand the stock's typical daily movement range
- Essential for position sizing and stop-loss placement

### 3. Volume Analysis (Up/Down Ratio)
- Analyzes volume distribution over the last 55 periods
- Calculates the ratio of volume on up days vs down days
- Provides insight into buying vs selling pressure
- Values > 1 indicate more buying volume, < 1 indicate more selling volume

### 4. Absolute Relative Strength (ARS)
- **Dual timeframe analysis** with customizable reference points
- **High ARS**: Performance relative to benchmark from a high reference point (default: Sep 27, 2024)
- **Low ARS**: Performance relative to benchmark from a low reference point (default: Apr 7, 2025)
- Uses NSE:NIFTY as default comparison symbol
- Color-coded display: Green for outperformance, Red for underperformance

### 5. Relative Performance Table
- **5 timeframes**: 1 Week, 1 Month, 3 Months, 6 Months, 1 Year
- Shows stock performance **relative to benchmark index**
- Formula: (Stock Return - Index Return) for each period
- **Color coding**:
- Lime: >5% outperformance
- Yellow: -5% to +5% relative performance
- Red: <-5% underperformance

### 6. Dynamic Position Allocation System
- **6-factor scoring system** based on price vs EMAs (21, 55, 189)
- Evaluates:
- Price above/below each EMA
- EMA alignment (21>55, 55>189, 21>189)
- **Allocation recommendations**:
- 100% allocation: Score = 6 (all bullish signals)
- 75% allocation: Score = 4
- 50% allocation: Score = 2
- 25% allocation: Score = 0
- 0% allocation: Score = -2, -4, -6 (bearish signals)

## Display Tables

### Performance Table (Top Right)
Shows relative performance vs benchmark across multiple timeframes with intuitive color coding for quick assessment.

### Metrics Table (Bottom Right)
Displays key statistics:
- **ADR%**: Average Daily Range percentage
- **U/D**: Up/Down volume ratio
- **Allocation%**: Recommended position size
- **High ARS%**: Relative strength from high reference
- **Low ARS%**: Relative strength from low reference

## How to Use This Indicator

### For Trend Analysis
1. **Moving Average Ribbon**: Look for price above ascending MAs for bullish trends
2. **MA Alignment**: Bullish when shorter MAs are above longer MAs
3. **Color coordination**: Use consistent color scheme for quick visual analysis

### For Entry/Exit Timing
1. **Performance Table**: Enter when showing consistent outperformance across timeframes
2. **Volume Analysis**: Confirm entries with U/D ratio > 1.5 for strong buying
3. **ARS Values**: Look for positive ARS readings for relative strength confirmation

### For Position Sizing
1. **Allocation System**: Use the recommended allocation percentage
2. **ADR% Consideration**: Adjust position size based on volatility
3. **Risk Management**: Lower allocation in high ADR% stocks

### For Risk Management
1. **ADR% for Stop Loss**: Set stops at 1-2x ADR% below entry
2. **Relative Performance**: Reduce positions when consistently underperforming
3. **Volume Confirmation**: Be cautious when U/D ratio deteriorates

## Best Practices

### Timeframe Recommendations
- **Intraday**: Use lower MA periods (5, 13, 21, 55)
- **Swing Trading**: Default settings work well (13, 21, 55, 189)
- **Position Trading**: Consider higher periods (21, 50, 100, 200)

### Market Conditions
- **Trending Markets**: Focus on MA alignment and relative performance
- **Sideways Markets**: Rely more on ADR% for range trading
- **Volatile Markets**: Reduce allocation percentage regardless of signals

### Customization Tips
1. Adjust reference dates for ARS calculation based on significant market events
2. Change comparison symbol to sector-specific indices for better relative analysis
3. Modify MA periods based on your trading style and market characteristics

## Technical Specifications
- **Version**: Pine Script v6
- **Overlay**: Yes (plots on price chart)
- **Real-time Updates**: Yes
- **Data Requirements**: Minimum 252 bars for complete calculations
- **Compatible Timeframes**: All standard timeframes

## Limitations
- Performance calculations require sufficient historical data
- ARS calculations depend on selected reference dates
- Volume analysis may be less reliable in low-volume stocks
- Relative performance is only as good as the chosen benchmark

This indicator is designed to provide a comprehensive analysis framework rather than simple buy/sell signals. It's recommended to use this in conjunction with your overall trading strategy and risk management rules.

14 ago

Notas de prensa

Updated

16 ago

Notas de prensa

Moving Averages & Relative Strength v2.0

📊 Overview
The Moving Averages & Relative Strength v2.0 is a comprehensive technical analysis indicator that combines multiple analytical tools to provide traders with a complete picture of price trends, volatility, relative performance, and position sizing guidance. This multi-faceted indicator is designed for both swing and positional traders looking for data-driven entry and exit signals.

🔧 Key Components
1. Moving Average Ribbon System
• 4 Customizable Moving Averages with default periods: 13, 21, 55, and 189
• Multiple MA Types: SMA, EMA, SMMA (RMA), WMA, VWMA
• Color-coded visualization for easy trend identification
• Enhanced line width (2) for better visibility
• Flexible configuration allowing users to modify periods, types, and colors

2. Average Daily Range Percentage (ADR%)
• Calculates the average daily volatility as a percentage
• Uses a 20-period simple moving average of (High/Low - 1) * 100
• Helps traders understand the asset's typical daily movement range
• Essential for position sizing and stop-loss placement

3. Volume Analysis (Up/Down Ratio)
• Analyzes volume distribution over the last 55 periods
• Calculates the ratio of volume on up days vs down days
• Provides insight into buying vs selling pressure
• Values > 1 indicate more buying volume, < 1 indicate more selling volume

4. Absolute Relative Strength (ARS)
• Dual timeframe analysis with customizable reference points
• High ARS: Performance relative to benchmark from a high reference point (default: Sep 27, 2024)
• Low ARS: Performance relative to benchmark from a low reference point (default: Apr 7, 2025)
• Uses NSE:NIFTY as default comparison symbol
• Color-coded for quick interpretation

5. Relative Performance Table
• 5 timeframes: 1 Week, 1 Month, 3 Months, 6 Months, 1 Year
• Shows asset performance relative to benchmark index
• Formula: (Asset Return - Index Return) for each period
• Color-coded for outperformance/underperformance visualization

6. Dynamic Market Exposure Allocation System
• 6-factor scoring system based on price vs EMAs (21, 55, 189)
• Evaluates:
- Price above/below each EMA
- EMA alignment (21>55, 55>189, 21>189)
• Market exposure recommendations:
- 100% exposure: Score = 6 (all bullish signals)
- 75% exposure: Score = 4
- 50% exposure: Score = 2
- 25% exposure: Score = 0
- 0% exposure: Score = -2, -4, -6 (bearish signals)

7. Risk Management Tools
• Distance from 55 EMA: Key metric for entry/exit timing
• Helps identify optimal risk-reward scenarios
• Essential for position management decisions

8. Fundamental Analysis Integration
• Earnings Data: Last 12 quarters of earnings performance
• Sales Data: Last 12 quarters of sales performance
• Market Cap: Current market capitalization
• Free Float: Available shares for trading
• Sector & Industry: Classification data for context

📈 Display Tables
Performance Table (Top Right)
Shows relative performance vs benchmark across multiple timeframes with intuitive color coding for quick assessment.

Metrics Table (Bottom Right)
Displays key statistics:
• ADR%: Average Daily Range percentage
• U/D: Up/Down volume ratio
• Allocation%: Recommended market exposure
• High ARS%: Relative strength from high reference
• Low ARS%: Relative strength from low reference
• Distance from 55 EMA: Risk management metric

Fundamentals Table (Configurable)
• Earnings and sales for the last 12 quarters
• Market cap, free float, sector, and industry information
• Show/hide functionality for customizable display

🎯 Version 2.0 Features
Enhanced Visual Experience
• Improved line width (2) for better chart readability
• Normal text size for optimal viewing
• Clean chart visualization with drawing optimizations
• Enhanced color coding throughout all components

Advanced Risk Management
• Distance from 55 EMA metric for precise entry/exit timing
• Integrated volatility analysis with ADR%
• Dynamic allocation system based on market conditions
• Multi-timeframe risk assessment

Comprehensive Fundamental Analysis
• Complete 12-quarter earnings history
• Sales performance tracking
• Market capitalization data
• Free float and liquidity metrics
• Sector and industry classification

Improved User Experience
• Customizable table display (show/hide options)
• Better text readability with optimized sizing
• Enhanced stability with bug fixes for indices
• Cleaner chart interface

Market Exposure Clarity
• Updated terminology from "stock" to "market exposure"
• More accurate for all asset classes (stocks, ETFs, indices)
• Better alignment with professional portfolio management
• Institutional-grade position sizing guidance

hace 4 días

Notas de prensa

Updated issue which displayed incorrect marketcap and floating shares