OPEN-SOURCE SCRIPT

Institutional Momentum Zones (ADX+ROC+DI+MACD+Filters)

378
Institutional Momentum Zones (ADX + ROC + DI + MACD + Filters)

This indicator is designed to help traders visually identify Bullish, Neutral, and Bearish momentum zones on Nifty, indices, or any liquid asset, using a rules-based, institutional-style approach.

It combines multiple professional-grade momentum and trend filters into a single framework:

ADX (Average Directional Index) – Measures trend strength, filters out choppy conditions.

Directional Indicators (+DI / –DI) – Confirms whether bulls or bears are in control.

ROC (Rate of Change) – Quantifies momentum speed and direction.

MACD (optional) – Adds confirmation by checking multi-timeframe momentum alignment.

EMA Filters (optional) – Ensures price is in alignment with long-term trend bias.

Supertrend (optional) – Can be enabled for additional trend confirmation.

How it works:

Bullish Zone (Green) → Strong trend (ADX > threshold) + upward momentum (ROC > 0, +DI > –DI) + optional EMA/MACD/Supertrend confirmation.

Bearish Zone (Red) → Strong trend (ADX > threshold) + downward momentum (ROC < 0, –DI > +DI) + optional EMA/MACD/Supertrend confirmation.

Neutral Zone (Yellow) → Low trend strength (ADX < threshold) or mixed momentum signals.

Features:

Automatic background coloring for zone detection.

On-chart labels marking new zone changes.

EMA50 / EMA200 and Supertrend overlay options.

Signal markers for bullish/bearish entries.

Info panel with live ADX, ROC, DI values, and MACD histogram.

Alert conditions for zone changes (Bull, Bear, Neutral).

Best used for:

Index momentum tracking (e.g., Nifty, Bank Nifty, Dow, S&P500)

Swing trading & positional trading strategies

Filtering trades to avoid entering during low-momentum chop

Tip: For Nifty positional trading, use Daily or 4H charts with EMA & MACD filters enabled for cleaner, high-confidence signals.

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.