[blackcat] L1 Vitali Apirine Compare Price Momentum Oscillator

7 mag 2022

Level 1

Background

Traders’ Tips of August 2020, the focus is Vitali Apirine’s article in the August issue, “The Compare Price Momentum Oscillator (CPMO)”.



Function
In his article in this issue, “The Compare Price Momentum Oscillator (CPMO),” author Vitali Apirine reintroduces us to the DecisionPoint PMO originally developed by Carl Swenlin and presents a new way to use it to compare the relative momentum of two different securities. Trading signals can be derived in a number of ways including momentum, signal line, and zero-line crossovers.

Remarks

This is a Level 1 free and open source indicator.

Feedbacks are appreciated.

Note di rilascio

OVERVIEW
The [blackcat] L1 Vitali Apirine Compare Price Momentum Oscillator is designed to help traders identify momentum shifts in the market using a customized Price Momentum Oscillator (PMO). This indicator calculates PMO values and plots them along with a signal line, generating buy and sell signals based on crossovers. It also provides visual labels and alerts for better decision-making 📊↗️.

FEATURES

Calculates the Price Momentum Oscillator (PMO) using customizable periods.
Plots the PMO value and its signal line on a separate pane:
PMO in yellow.
Signal Line in fuchsia.
Zero Line in white for reference.
Generates buy and sell signals based on PMO and signal line crossovers 🚀📉
Adds visual labels for easy identification of trade signals:
"Buy" labeled in green during bullish crosses.
"Sell" labeled in red during bearish crosses.
Provides alert conditions for both buy and sell signals 🔔
HOW TO USE

Add the indicator to your TradingView chart by selecting it from the indicators list.
Observe the PMO and signal lines on the separate pane for momentum shifts.
Look for buy ('Buy') and sell ('Sell') labels indicating potential trade opportunities.
Set up alerts based on the generated signals to receive notifications when conditions are met 📲.
Combine this indicator with other tools for confirmation before making trading decisions.
INPUT PARAMETERS

Period1: First smoothing period for ROC calculation (default is 35).
Period2: Second smoothing period for PMO calculation (default is 20).
SignalLineLength: Length for calculating the PMO signal line (default is 10).
Price: Select the price source (default is close).
LIMITATIONS

The indicator may generate false signals in choppy or ranging markets 🌪️.
Users should always confirm signals with other forms of analysis.
The effectiveness of the PMO depends on the chosen periods.
NOTES

Ensure that you have sufficient historical data available for accurate calculations.
Test the indicator thoroughly on demo accounts before applying it to live trading 🔍.
Adjust the input parameters to fit different market conditions and timeframes.