[TTI] Closing Range Indicator

1 set 2023

📜 ––––HISTORY & CREDITS––––
This Pine Script Utility indicator, titled "[TTI] Closing Range Indicator," is designed and developed by TintinTrading but inspired by the teaching of Investor's Business Daily (IBD) and William O'Neil. It aims to help traders identify the closing range of a given timeframe, either daily or weekly.

🦄–––UNIQUENESS–––
The unique feature of this indicator lies in its ability to simulate a functionality of Closing Range calculation based on hovering of the mouse over the close. It employs a conditional display that allows the user to set the indicator as 'invisible' without removing it from the chart and hence provides a numerical closing range value when hovering over the indicator.

🛠️––––WHAT IT DOES––––
The [TTI] Closing Range Indicator calculates the closing range of a trading bar in terms of percentages. It computes the difference between the closing price and the low price of the bar, and then divides it by the range of the bar.
A stock that closes on the high would display 100%
A stock that closes on the low would display 0%

Generally, the higher the percentage the more bullish the close but there are exceptions to this rule.


The indicator can operate on two timeframes:
Daily: Computes the closing range based on the daily high, low, and closing prices.
Weekly: Computes the closing range based on the weekly high, low, and closing prices. If you enable the weekly it will show the weekly close on all daily timeframes. Meaning that if the week Closing range is 54.15% on Friday, it will show the value 54.15% for all days prior to Friday from the same week.

The indicator places a label at the close of each bar, with the label's tooltip showing the calculated closing range percentage. I generally hide the label and just reference the tooltip calculation with a a hoover on top of the bar.

💡 ––––HOW TO USE IT––––
Installation: Add the indicator to your TradingView chart by searching for "[TTI] Closing Range Indicator" in the indicator library.
Reorder: Reorder the indicator so that it sits as the first indicator (even above the price) on the Pane. This will make sure that you always trigger the tooltip functionality.
Go to Settings:
Timeframe: Choose between daily ('D') and weekly ('W') timeframes from the settings.
Visibility: Enable the 'Make Invisible' option if you want the indicator to be hidden.
Interpretation:
A higher percentage indicates that the closing price is closer to the high of the range, signaling bullish sentiment.
A lower percentage indicates bearish sentiment.

Tooltip: Hover over the label to view the closing range in percentage terms.