OPEN-SOURCE SCRIPT
Price Movement Alert with Previous Close as Reference
Functionality of the Indicator
The "Price Movement Alarm with Previous Day Close as Reference" indicator is a tool that helps you monitor significant price levels based on the previous day's closing price. The indicator calculates both decline and rise thresholds in specified percentages to generate potential trade alerts. The lines on the chart represent these thresholds, and the corresponding labels show the exact percentage.
Usage Instructions:
Previous Day's Close: The indicator uses the previous trading day's close as the reference point.
Setting Decline and Rise Percentages: You can adjust the alarm levels for declines (e.g., 0.5%, 1.0%, 1.5%, 2.0%, 2.5%, 3.0%) and rises (e.g., 0.5%, 1.0%, 1.5%, 2.0%, 2.5%, 3.0%).
Lines and Labels: The indicator draws lines on the chart and displays labels that indicate the percentage of price movement.
Market Analysis: Analyze the price movements to make potential trading decisions.
Market in Equilibrium:
A market is in equilibrium when price movements remain within a narrow range (e.g., 0.5% to 1%). During this phase, volatility is low, and there are no significant price changes.
Market not in Equilibrium:
A market is not in equilibrium when price movements fall outside the narrow range (e.g., above 1%). During this phase, larger price movements can occur, often triggered by news or economic events.
The "Price Movement Alarm with Previous Day Close as Reference" indicator is a tool that helps you monitor significant price levels based on the previous day's closing price. The indicator calculates both decline and rise thresholds in specified percentages to generate potential trade alerts. The lines on the chart represent these thresholds, and the corresponding labels show the exact percentage.
Usage Instructions:
Previous Day's Close: The indicator uses the previous trading day's close as the reference point.
Setting Decline and Rise Percentages: You can adjust the alarm levels for declines (e.g., 0.5%, 1.0%, 1.5%, 2.0%, 2.5%, 3.0%) and rises (e.g., 0.5%, 1.0%, 1.5%, 2.0%, 2.5%, 3.0%).
Lines and Labels: The indicator draws lines on the chart and displays labels that indicate the percentage of price movement.
Market Analysis: Analyze the price movements to make potential trading decisions.
Market in Equilibrium:
A market is in equilibrium when price movements remain within a narrow range (e.g., 0.5% to 1%). During this phase, volatility is low, and there are no significant price changes.
Market not in Equilibrium:
A market is not in equilibrium when price movements fall outside the narrow range (e.g., above 1%). During this phase, larger price movements can occur, often triggered by news or economic events.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.