Sector Rotation With Sector Relative Strength [Afnan]Most traders spend their time reading charts, drawing levels, waiting for breakouts, and searching for the perfect Demand Zone pattern. But very few ask the most important question:
“Is the sector supporting my trade?”
That single question often separates strong moves from failed setups. A breakout inside a weak sector usually fades. A demand zone inside an underperforming group often breaks. But a stock backed by a strong sector? Even a simple pattern can turn into a powerful trending move.
This is where the Sector Relative Strength indicator becomes a game-changer.
🧭 Why Sector Strength Matters 🧭
When institutional money rotates from one sector to another, prices shift in a way that pure price action cannot reveal on its own. This rotation is what fuels trends in some stocks while suppressing others.
A weak stock in a strong sector can still deliver solid moves.
A strong chart inside a weak sector often struggles.
Sector rotation is an early signal of where markets want to move next.
Following sector flow aligns your trades with market momentum rather than fighting it.
This indicator simplifies all of that.
📌 What This Indicator Brings to the Table 📌
Sector Relative Strength Afnan provides real-time sector rotation directly on TradingView, condensing complex institutional analysis into a clean and actionable structure.
Tracks 26 Indices at once.
Uses multi-timeframe relative strength — RS21, RS55, and RS123.
Automatically detects your stock’s related sector.
Compares each sector with your chosen benchmark.
Shows short-term and medium-term rank changes.
Uses EMA alignment to classify trends.
Displays heatmap colors for instant clarity.
Shows market sentiment as outperform, mixed, or underperform.
Fully customizable for traders outside India as well.
This transforms sector analysis from a tedious manual task into a smooth, visual workflow.
🛠️ How to Use It Like a Pro 🛠️
To unlock the full potential of this indicator, use it in a two-layer setup:
Add the first instance with the table ON — this is your sector scanner.
Add the second instance with the table OFF — this keeps your chart clean while still showing relative strength lines and sector mapping.
Once your setup is ready, focus on sectors that show:
High ranking positions.
Positive relative strength across periods.
Clear trend alignment.
Improving rank over 5 and 21 bars.
Avoid sectors that fall deep into the red zone or show consistent deterioration. These areas often trap traders and reduce momentum.
Following this simple rule — trade in strong sectors and avoid weak ones — instantly improves trade selection.
🚀 What Makes This Tool Truly Unique 🚀
To manually replicate everything this indicator does, you would need to calculate:
Relative strength for every sector.
Sector-to-benchmark comparisons.
Multi-period RS changes.
Trend checks through EMA alignment.
Rank history for multiple lookbacks.
Heatmap scoring.
Sentiment classification.
This is the type of work traders either avoid or pay subscription fees for on premium websites.
Having it automated inside a TradingView indicator saves hours and removes guesswork, allowing you to focus on the highest-probability opportunities.
📌 “The market rewards those who follow strength, not those who chase noise.”
Lastly, Thank you for your support, your likes & comments.
✨ Keep learning, stay disciplined, and let the trend be your guide. ✨
This analysis is purely for educational purposes and is not a trading or investment recommendation. I am not a SEBI-registered analyst.
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