The Strength Measurement -HT indicator is a tool designed to measure the strength and trend of a security using the Average Directional Index (ADX) across multiple time frames. This script averages the ADX values from five different time frames to provide a comprehensive view of the trend's strength, helping traders make more informed decisions.
Key Features:
Multi-Time Frame Analysis: The indicator calculates ADX values from five different time frames (5 minutes, 15 minutes, 30 minutes, 1 hour, and 4 hours) to offer a more holistic view of the market trend. Trend Strength Visualization: The average ADX value is plotted as a histogram, with colors indicating the trend strength and direction, making it easy to visualize and interpret. Reference Levels: The script includes horizontal lines at ADX levels 25, 50, and 75 to signify weak, strong, and very strong trends, respectively.
How It Works
Directional Movement Calculation: The script calculates the positive and negative directional movements (DI+) and (DI-) using the true range over a specified period (default is 14 periods).
ADX Calculation: The ADX value is derived from the smoothed moving average of the absolute difference between DI+ and DI-, normalized by their sum.
Multi-Time Frame ADX: ADX values are computed for the 5-minute, 15-minute, 30-minute, 1-hour, and 4-hour time frames.
Average ADX: The script averages the ADX values from the different time frames to generate a single, comprehensive ADX value.
Trend Visualization: The average ADX value is plotted as a histogram with colors indicating:
Gray for weak trends (ADX < 25) Green for strengthening trends (25 ≤ ADX < 50) Dark Green for strong trends (ADX ≥ 50) Light Red for weakening trends (ADX < 25) Red for strong trends turning weak (ADX ≥ 25)
Usage
Trend Detection: Use the color-coded histogram to quickly identify the trend strength and direction. Green indicates a strengthening trend, while red signifies a weakening trend.
Reference Levels: Utilize the horizontal lines at ADX levels 25, 50, and 75 as reference points to gauge the trend's strength.
ADX < 25 suggests a weak trend. ADX between 25 and 50 indicates a moderate to strong trend. ADX > 50 points to a very strong trend.
Multi-Time Frame Insight: Leverage the averaged ADX value to gain insights from multiple time frames, helping you make more informed trading decisions based on a broader market perspective.
Feel free to explore and integrate this indicator into your trading strategy to enhance your market analysis and decision-making process. Happy trading!
In pieno spirito TradingView, l'autore di questo script lo ha pubblicato open-source, in modo che i trader possano comprenderlo e verificarlo. Un saluto all'autore! È possibile utilizzarlo gratuitamente, ma il riutilizzo di questo codice in una pubblicazione è regolato dal nostro Regolamento. Per aggiungerlo al grafico, mettilo tra i preferiti.
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.