OPEN-SOURCE SCRIPT
[Global Contraction Expansion Index SGM]
Script Features
Dynamic Period Choice: The user can adjust the calculation period (period) for relative performance, allowing flexibility according to specific market analysis needs.
Sector Selection: The script takes into account different economic sectors through well-known ETFs like QQQ (technology), XLF (financial), XLY (consumer discretionary), XLV (healthcare), XLI (industrial) and XLE (energy). This diversification helps gain a general overview of economic health across different market segments.
Relative Performance Calculation: For each sector, the script calculates the relative performance using a simple moving average (SMA) of the price change over the specified period. This helps identify price trends adjusted for normal market fluctuations.
GCEI Index: The GCEI Index is calculated as the average of the relative performance of all sectors, multiplied by 100 to express it as a percentage. This provides an overall indicator of sectoral economic performance.
Crossover Signals: The script detects and marks points where the overall index (GCEI) crosses its own exponential moving average (emaGCEI), indicating potential changes in the overall trend of market performance.
Visualization: Results are visualized through graphs, where positive and negative regions are colored differently. Fills between the zero line and the index curves make it easy to see periods of contraction or expansion
When this index diverges from the SP500, it may be a sign that the technology sector is outperforming other sectors.
Dynamic Period Choice: The user can adjust the calculation period (period) for relative performance, allowing flexibility according to specific market analysis needs.
Sector Selection: The script takes into account different economic sectors through well-known ETFs like QQQ (technology), XLF (financial), XLY (consumer discretionary), XLV (healthcare), XLI (industrial) and XLE (energy). This diversification helps gain a general overview of economic health across different market segments.
Relative Performance Calculation: For each sector, the script calculates the relative performance using a simple moving average (SMA) of the price change over the specified period. This helps identify price trends adjusted for normal market fluctuations.
GCEI Index: The GCEI Index is calculated as the average of the relative performance of all sectors, multiplied by 100 to express it as a percentage. This provides an overall indicator of sectoral economic performance.
Crossover Signals: The script detects and marks points where the overall index (GCEI) crosses its own exponential moving average (emaGCEI), indicating potential changes in the overall trend of market performance.
Visualization: Results are visualized through graphs, where positive and negative regions are colored differently. Fills between the zero line and the index curves make it easy to see periods of contraction or expansion
When this index diverges from the SP500, it may be a sign that the technology sector is outperforming other sectors.
Script open-source
In pieno spirito TradingView, il creatore di questo script lo ha reso open-source, in modo che i trader possano esaminarlo e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricorda che la ripubblicazione del codice è soggetta al nostro Regolamento.
Sigaud | Junior Quantitative Trader & Developer
Combining technical expertise with analytical precision.
Gaining experience and growing in the field.
📧 Contact: from the website
Combining technical expertise with analytical precision.
Gaining experience and growing in the field.
📧 Contact: from the website
Declinazione di responsabilità
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.
Script open-source
In pieno spirito TradingView, il creatore di questo script lo ha reso open-source, in modo che i trader possano esaminarlo e verificarne la funzionalità. Complimenti all'autore! Sebbene sia possibile utilizzarlo gratuitamente, ricorda che la ripubblicazione del codice è soggetta al nostro Regolamento.
Sigaud | Junior Quantitative Trader & Developer
Combining technical expertise with analytical precision.
Gaining experience and growing in the field.
📧 Contact: from the website
Combining technical expertise with analytical precision.
Gaining experience and growing in the field.
📧 Contact: from the website
Declinazione di responsabilità
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.