There seems to be several different formulas to calculate KDJ, however, i have yet to find this one on tradingview.
The background color is green when J>D and red when J<D. The idea being that when we go green we should buy and when red sell.
Let me know if you have any questions.
// // @author iamaltcoin // // This KDJ indicator is a mimic of the same indicator on bitcoinwisdom // // This script is released free of charge with no warranty // Please leave a not to the author of this script if it is used // whole or in part // study("KDJ Indicator - @iamaltcoin", shorttitle="GM_V2_KDJ") ilong = input(9, title="period") isig = input(3, title="signal") bcwsma(s,l,m) => _s = s _l = l _m = m _bcwsma = (_m*_s+(_l-_m)*nz(_bcwsma))/_l _bcwsma c = close h = highest(high, ilong) l = lowest(low,ilong) RSV = 100*((c-l)/(h-l)) pK = bcwsma(RSV, isig, 1) pD = bcwsma(pK, isig, 1) pJ = 3 * pK-2 * pD plot(pK, color=orange) plot(pD, color=lime) plot(pJ, color=fuchsia) bgcolor(pJ>pD? green : red, transp=70)
I'd found kocurekc's scripts before, as well as J.S's , which sparked the exploration. most of these scripts are stoch based where as mine is a non stoch based approaches suggested in places such as https://www.amibroker.com/library/detail.php?id=1144 . Thanks for the interest, let me know if you have any other questions :)