MoT - [Analyst] - Berlin Range Index - Panel version


The original problem: The choppiness index is great at finding ranging markets, but it is sometimes very slow, which means most of the time it only catches the end of a trend.

This indicator tries to solve this. It uses the choppiness index and filters it using a factor that is based on the standard deviation of the ATR.

The ATR based filter is calculated by first calculating the running standard deviation of the ATR, and then looking at that in relation to its recent low to find a filtering factor to use on the choppiness index . This makes the choppiness index more reactive to trends, but also slightly more likely to miss identify ranges.

This is the panel version of the indicator. It plots the index and min/max values, as well as background colours to tell you when it thinks the market is ranging or trending.

Yellow = Trending
Transparent gray = Ranging


AUDNZD on the 4HR Time Frame


- In the Top Panel we have our version of Accumulation and Distribution with an SMA added to Identify a trend in ACC / DIST a little easier.

- On the Chart we have the Chart version of this indicator which changes the Candle Colour to match the conditions.

- Below the chart we have this, our panel version of the Berlin Range Index

- In the Bottom Panel we have our action locator tool which is also extremely powerful at identifying ranging markets and trends.


Many Thanks and Trade Safe!
Open-source script

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.

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