This is a leading indicator showing wave reversal points.
By drawing trendlines on this indicator you can quickly see a break of the trendline before the break on a price chart trendline.
Manually draw trendlines on the indicator to form an uptrend or downtrend. A break down of the upward trendline gives a sell signal. A break up of the downward trendline gives a buy signal.
Also included an extra timeframe (Blue Line) to give a bigger perspective from different timeframes. You can choose your own different timeframe that can be lower or higher than your current price chart timeframe.
For example: Place your chart on 1H and draw your trendlines on the indicator. Set the extra timeframe to 4H of 1D to see the overall trend and motion.
By using this indicator the way we suggest, you will be able to get good trend continuation signals
I'm not seeing trend lines at all and instead just a blue line?
FRXMACHNE
⋅
@carguychase, you need to draw trend lines man. It is not scripted.
Stockguy0415
⋅
This is a very interesting indicator. Do you have any documentation on it with how the signal is derived? I plotted a matching pitchfork on the corresponding points and you can gain a lot of extra information that way.
madmaxhuni
⋅
thx
FRXMACHNE
⋅
Works great on 1hr chart..Thanks bro
FnM_Capital
⋅
@FRXMACHNE, Yes 1H is my preferred timeframe to work on.
EightyNineWaves
⋅
This works really well when combined with Gann fans. If you know how to draw and use them properly, they can help you to distinguish between temporary pullbacks and true reversals when drawing your trendlines.