Market Trend Strength (MTS) (by ChartArt) — Indicator by ChartArt

See the current trend strength of the market. An additional filter makes trend consolidation areas visible. The color changes there each bar back and forth between green and red.

This area was interesting. Would have been a better example:

If the filter is deactivated the indicator shows the last measured price trend (green for up and down for red).

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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Want to use this script on a chart?

study(title="Market Trend Strength (MTS) (by ChartArt)", shorttitle="CA_-_MTS", overlay=true)

// Version 1.0
// Idea by ChartArt on June 3, 2015.
//
// This indicator is measuring if there are two
// consecutive higher or lower prices. Therefore
// it measures the trend strength of the market.
// 
// The additional filter shows the trend before
// the trend changed the last time. This filter
// makes consolidation areas without a trend visible.
//
// List of my work: 
// https://www.tradingview.com/u/ChartArt/

switch=input(true, title="Show consolidation areas? (The color changes there each bar)")
ShowConsolidation = 2

GetBgColor =	iff( (hl2 > hl2[1]) and (hlc3 > hlc3[1]) and (close > close[1])  and  (hl2[1] > hl2[2]) and (hlc3[1] > hlc3[2]) and (close[1] > close[2]), 1, 
	            iff( (hl2 < hl2[1]) and (hlc3 < hlc3[1]) and (close < close[1])  and  (hl2[1] < hl2[2]) and (hlc3[1] < hlc3[2]) and (close[1] < close[2]), -1, nz(GetBgColor[switch?ShowConsolidation:1], 0) ))

SelectBgColor = GetBgColor == -1 ? red: GetBgColor == 1 ? green: na

bgcolor(SelectBgColor, transp = 85)