Alex recently received the CMT Dow Award for his work to improve on the classic indicator. The MACD-V tackles some obvious challenges with the classic indicator, which is normally an unbounded indicator and inconsistent between different symbols and markets.
"Our goal is to improve an existing tool ( ), so that - by eliminating its shortcomings - we will be creating a unique type of hybrid 'boundless oscillator', that opens the doors for several pattern recognition opportunities which would not be definable using the classic ."
When the oversold/overbought range of 150 and -150 was determined, Alex tested where 95% of the data fell within the bands using the S&P price history as reference. Users are encouraged to find ranges relevant to the securities/instruments they are analyzing.
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.