OPEN-SOURCE SCRIPT
Synthetic Vix Stochastic

I noticed that this indicator was not in the public library, so I decided to share it. This is Larry Williams take on stochastics, based on his idea of synthetic vix. Thanks to Active trader magazine, his article on the idea shows us how this tool can be used as a timing instrument for his sythetic vix. The idea he relates is that the market becomes oversold at the height of volatility and the stochastic can highlight the periods when the panic may be over. This is evidenced by readings above 80 and below 20. He states that his indicator is less reliable at market tops rather than bottoms, and evidence suggests just that. Stochastics readings in this indicator have been adjusted to look and 'feel' like traditional readings. His suggested settings are the default, but I have included a more traditional line in the code that reads the WVF high and low in the calculation instead of just the WVF, just uncomment the appropriate lines and see for yourself. This indicator works really well with the Williams Vix Fix, inverted of course, coded by ChrisMoody.
Enjoy responsibly
ShirokiHeishi
see the notes on chart
Enjoy responsibly
ShirokiHeishi
see the notes on chart
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.
For quick access on a chart, add this script to your favorites — learn more here.
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.
For quick access on a chart, add this script to your favorites — learn more here.
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.