Yield Curve SpaghettiDisplays the difference in yield between multiple bond pairs for a given country.
Currently supports US, DE, and GB bonds
Fundamental Analysis
DaysToEarningsAn useful tool for investors/traders who want to keep track of upcoming earnings event.
Here's a breakdown of the indicator and its features:
Functionality:
#1 Displays the next earnings date for a company and additionally shows the number of days remaining until the earnings event.
#2 Offers three display modes:
Default: In this view both the earnings date and the number of days left is displayed
Head-less: A compact view without the headers
Mini-Mode: Super compact view, showing only the number of days
#3 Allows setting a custom baseline number of days. Based on this value the background color if the number of days in the indicator changes - red (if days remain is less than the number of days provided) else a gradient color in the shades of green.
As many stocks shows a drastic increase in volatility near the earnings date, this feature is very useful for visually being reminded of the days left.
***Lastly the footprint is very small making this important event reminder available on the chart without much fuss.***
Internals:
To calculate the days remaining until the earnings report, it uses the tv built-in variable "earnings.future_time" and uses a custom function for color grading.
How to use:
Once the indicator is applied on the chart you can input a custom number as reference day value. Based on this value the color coded background is generated for the days remaining to produce a visual impact - red (actual days remaining less than reference days) else its shades of green (gradient from lime to teal)
Next, choose the display modes (for default both "Head-less" and "Mini-Mode" is unchecked)
Finally choose the placement Top/Middle/Bottom + Center/Left/Right combination as per your convenience from the table options section.
I hope this tiny script adds value to your trading! Cheers :)
Smart Money Interest Index [AlgoAlpha]🌟 Smart Money Interest Index by AlgoAlpha 🌟
Welcome to the innovative Smart Money Interest Index indicator, designed meticulously by AlgoAlpha to revolutionize the way you trade! 📈🧠 This indicator is engineered to decipher the activities of smart money investors relative to the less informed (dumb money) and dynamically display their dominance in the trading landscape through a sophisticated visual index. 🚀💹
🔑 Key Features:
- Smart vs. Dumb Money Analysis: Tracks and compares the movements of smart money (informed investors) and dumb money (general public) within the market to identify potential investment signals.
- Relative Strength Index (RSI) Based Ratios: Utilizes RSI for both smart and dumb money to create a ratio that indicates buying or selling pressures.
- Dynamic Normalization: Employs a long-term peak normalization over a customizable period to ensure the index remains relevant regardless of market conditions.
- Visual Thresholds and Signals: Highlights significant shifts in market dynamics with color-coded thresholds, making it easier to spot changes at a glance.
🛠 How to Use the Smart Money Interest Index:
🔹 🚀 Step 1: Adding the Indicator
- Add the indicator to your favourites.
- Customize the settings according to your analysis needs:
- `Index Period`, `Volume Flow Period`, `Normalization Period`, `High Interest Threshold`
🔹 📊 Step 2: Interpretation of the Index
- Monitor the index plot; a rising index suggests increasing smart money interest, potentially indicating a buying opportunity.
- A value above the high interest threshold (in yellow) highlights significant interest by smart money, suggesting a good time to buy.
🔹 🔔 Step 3: Setting Alerts
- Configure alerts to notify you when the index crosses above the set threshold, enabling you to capitalize on trading opportunities timely and efficiently.
📐 Basic Logic Overview:
The Smart Money Interest Index by AlgoAlpha provides a unique metric that contrasts the investment behaviors of informed (smart money) and general (dumb money) investors. Utilizing the Relative Strength Index (RSI), this indicator evaluates the trading pressure exerted by both groups over specified periods, then forms a ratio of these activities to identify dominance in buying or selling trends. For example, when we see dumb money selling and smart buying, this suggests that the conditions for buying the asset is optimal as smart money is willing to buy the dip. The outputs are normalized against the highest values observed in a user-defined term to maintain consistency through varying market conditions. When the index exceeds a certain threshold, it suggests that smart money presence is particularly strong, possibly indicating that smart money is looking to enter positions on the asset. This tool serves as a sophisticated visual guide to understanding market dynamics and making well-informed trading decisions based on the activities of market-savvy investors. Smart money activity is identified during areas of low volume and the opposite for dumb money, the indicator uses the NVI and PVI metrics as its foundation for smart and dumb money analysis.
📊 Enhance Your Trading Strategy:
Leverage the Smart Money Interest Index to gain deeper insights into market dynamics and enhance your decision-making process with a powerful, data-driven approach. Whether you're looking to identify entry points or set strategic exits, this tool is designed to provide you with the competitive edge you need in the fast-paced world of trading. 🌐✨
Transform your trading with the power of smart money analysis—start using the Smart Money Interest Index today! 🚀🔔
RunRox - Backtesting System (SM)RunRox - Backtesting System (SM) is designed for flexible and comprehensive testing of trading strategies, closely integrated with our RunRox - Signals Master indicator. This combination enhances your ability to refine strategies efficiently, providing you with insights to adapt and optimize your trading tactics seamlessly.
The Backtesting System (SM) excels in pinpointing the optimal settings for the RunRox - Signals Master indicator, efficiently highlighting the most effective configurations.
Capabilities of the Backtesting System (SM)
Optimal Settings Determination: Identifies the best configurations for the Signals Master indicator to enhance its effectiveness.
Timeframe-Specific Strategy Testing: Allows strategies to be tested over specific historical time periods to assess their viability.
Customizable Initial Conditions: Enables setting of initial deposit, risk per trade, and commission rates to mirror real-world trading conditions.
Flexible Money Management: Provides options to set take profits and stop losses, optimizing potential returns and risk management.
Intuitive Dashboard: Features a user-friendly dashboard that visually displays all pertinent information, making it easy to analyze and adjust strategies.
Trading Flexibility Across Three Modes:
Dual-Direction Trading: Engage in both buying and selling with this mode. Our dashboard optimizes and identifies the best settings for trading in two directions, streamlining the process to maximize effectiveness for both buy and sell orders.
Buy-Only Mode: Tailored for traders focusing exclusively on purchasing assets. In this mode, our backtester pinpoints the most advantageous sensitivity, speed reaction, and filter settings specifically for buying. Optimal settings in this mode may differ from those used in dual-direction trading, providing a customized approach to single-direction strategies.
Sell-Only Mode: Perfect for strategies primarily based on selling. This setting allows you to discover the ideal configurations for asset sales, which can be particularly useful if you are looking for optimal exit points in long-term transactions or under specific market conditions.
Here's an example of how profits can differ on the same asset when trading using two distinct strategies: exclusively buying or trading in both directions.
Above in the image, you can see how one-directional trading influences the results of backtests on historical data. While this does not guarantee future outcomes, it provides insight into how the strategy's performance can vary with different trading directions.
As you can also see from the image, one-directional trading has affected the optimal combination of settings for Sensitivity, Speed Reaction, and Filters.
Stop Loss and Take Profit
Our backtesting system, as you might have gathered, includes flexible settings for take profits and stop losses. Here are the main features:
Multiple Take Profits: Ability to set from 1 to 4 take profit levels.
Fixed Percentage: Option to assign a fixed percentage for each take profit.
Trade Proportion Fixation: Ability to set a fixed size from the trade for securing profits.
Stop Loss Installation: Option to establish a stop loss.
Break-Even Stop Loss: Ability to move the stop loss to a break-even point upon reaching a specified take profit level.
These settings offer extensive flexibility and can be customized according to your preferences and trading style. They are suitable for both novice and professional traders looking to test their trading strategies on historical data.
As illustrated in the image above, we have implemented money management by setting fixed take profits and stop losses. Utilizing money management has improved indicators such as profit, maximum drawdown, and profit factor, turning even historically unprofitable strategies into profitable ones. Although this does not guarantee future results, it serves as a valuable tool for understanding the effectiveness of money management.
Additionally, as you can see, the optimal settings for Signals Master have been adjusted, highlighting the best configurations for the most favorable outcomes.
Disclaimer:
Historical data is not indicative of future results. All indicators and strategies provided by RunRox are intended for integration with traders' strategies and should be used as tools for analysis rather than standalone solutions. Traders should use their own discretion and understand that all trading involves risk.
Day of Week 🔶What it is ?
Day of week indicator is a simple tool to help you can know your current trading day faster.
It is really useful if you're a swing trader managing target by week and manage weekly economic news.
🔶 Who can use it ?
1. All traders who are using NCI, ICT , Smart money concepts, MACD system and other systems...
2. All timeframes can use it well.
3. All traders who are trading on Forex, Crypto, Stock, Indicies...
4. All traders who are new or experienced traders
5. All traders can use it even scalping or swing traders.
🔶 The purpose of indicator
1. Define day of week faster
2. Remind you about day of week, just focus to trade from Tue - Fri if you're a weekly trader.
3. You can combine it to analyze with economic news to manage your positions during news better.
🔶 How will indicator appear on chart
After you added it on chart, indicator will mearsure and appear on the chart automatically.
Red color : That's today
Green color : Other trading day that's not today
Gray color : Weekend
🔶 INPUT value
There're 3 input value that you can change if you need :
1. Font size : You can change size of texts manually as your favorite
2. Location : You can change location of table to be easier to see it on chart.
3. Your time zone : You should choose your country's time zone to calcuate exactly.
🔶 How to use indicator
After setting indicator, indicator will mearsure and run automatically to mark today to help you know how many days you can trade and arrange trading schedule better.
You can combine this indicator with economic news to manage your positions better.
I hope this indicator help you to trade more effectively.
Daily Close GAP Detector [Yosiet]User Manual for "Daily Close GAP Detector "
Overview
This script is designed to help traders identify and react to significant gaps in daily market prices. It plots daily open and close prices and highlights significant gaps with a cross. The script is particularly useful for identifying potential breakouts or reversals based on these gaps.
Configuration
GAP Close Threshold: This input allows you to set a threshold for the gap size that you consider significant. The default value is 0.001.
Timeframe Seeker: This input lets you choose the timeframe for the gap detection. The default is 'D' for daily.
Features
Daily Open and Close Lines: The script plots daily open and close prices. If the close price is lower than the open price, the line is colored red; otherwise, it's green.
Gap Detection: It calculates the difference between the current day's close and the previous day's close, both adjusted for the selected timeframe. If this difference exceeds the threshold, it's considered a significant gap.
Significant Gap Indicator: A cross is plotted on the chart to indicate significant gaps. The color of the cross indicates whether the gap is a short or long gap: red for short gaps and green for long gaps.
Alert Conditions: The script sets up alert conditions for short and long gap breakouts. You can customize the alert messages to include details like the ticker symbol, interval, price, and exchange.
How to Use
Add the Script to Your Chart: Copy the script into the Pine Script editor on TradingView and add it to your chart.
Configure Inputs: Adjust the "GAP Close Threshold" and "Timeframe Seeker" inputs as needed.
Review the Chart: The script will overlay daily open and close prices on your chart, along with crosses indicating significant gaps.
Set Alerts: Use the script's alert conditions to set up alerts for short and long gap breakouts. You can customize the alert messages to suit your trading strategy.
Extending the Code
To extend this script, you can modify the gap detection logic, add more indicators, or integrate it with other scripts for a more comprehensive trading strategy. Remember to test any changes thoroughly before using them in live trading.
US CPIIntroducing "US CPI" Indicator
The "US CPI" indicator, based on the Consumer Price Index (CPI) of the United States, is a valuable tool for analyzing inflation trends in the U.S. economy. This indicator is derived from official data provided by the U.S. Bureau of Labor Statistics (BLS) and is widely recognized as a key measure of inflationary pressures.
What is CPI?
The Consumer Price Index (CPI) is a measure that examines the average change in prices paid by consumers for a basket of goods and services over time. It is an essential economic indicator used to gauge inflationary trends and assess changes in the cost of living.
How is "US CPI" Calculated?
The "US CPI" indicator in this script retrieves CPI data from the Federal Reserve Economic Data (FRED) using the FRED:CPIAUCSL symbol. It calculates the rate of change in CPI over a specified period (typically 12 months) and applies technical analysis tools like moving averages (SMA and EMA) for trend analysis and smoothing.
Why Use "US CPI" Indicator?
1. Inflation Analysis: Monitoring CPI trends provides insights into the rate of inflation, which is crucial for understanding the overall economic health and potential impact on monetary policy.
2. Policy Implications: Changes in CPI influence decisions by policymakers, central banks, and investors regarding interest rates, fiscal policies, and asset allocation.
3. Market Sentiment: CPI data often impacts market sentiment, influencing trading strategies across various asset classes including currencies, bonds, and equities.
Key Features:
1. Customizable Smoothing: The indicator allows users to apply exponential moving average (EMA) smoothing to CPI data for clearer trend identification.
2. Visual Representation: The plotted line visually represents the inflation rate based on CPI data, helping traders and analysts assess inflationary pressures at a glance.
Sources and Data Integrity:
The CPI data used in this indicator is sourced directly from FRED, ensuring reliability and accuracy. The script incorporates robust security protocols to handle data requests and maintain data integrity in a trading environment.
In conclusion, the "US CPI" indicator offers a comprehensive view of inflation dynamics in the U.S. economy, providing traders, economists, and policymakers with valuable insights for informed decision-making and risk management.
Disclaimer: This indicator and accompanying analysis are for informational purposes only and should not be construed as financial advice. Users are encouraged to conduct their own research and consult with professional advisors before making investment decisions.
RunRox - Signals MasterSignals Master - meticulously crafted by RunRox, is a versatile tool engineered to accommodate traders of all experience levels. This indicator does not merely suggest potential entry and exit signals; it can seamlessly integrate into your existing trade strategy, enhancing decision-making with its comprehensive features.
With an array of functionalities, Signals Master stands out as a robust standalone product. It is designed to cater to diverse trading approaches, offering real-time signal detection that allows traders to respond swiftly to market fluctuations.
The true power of Signals Master lies in its ability to simplify complex market data into actionable insights. Whether used as a primary indicator or as a complement to your strategy, it helps clarify the trading path ahead, empowering you with confidence in every trade you make.
Core Features of Signals Master
Real-time buy and sell signal alerts
Adjustable sensitivity for tailored signal precision
Customizable alert settings for efficient strategy execution
Advanced backtesting system for strategy optimization
Multiple take profit and stop loss options
Detailed dashboard display for strategy monitoring and adjustments
Support and resistance level identification
Trend lines and color-coded volume bars for easy trend following
Candlestick pattern recognition to anticipate market moves
In the image below, you can see our indicator at work and the explanations.
On the chart, you see buy and sell signals, as well as potential trade exits. The "X" mark can also be interpreted as a trend reversal and a potential signal for a trend change. But always stick to your own exit strategy!
Autopilot \ Optimization
One of the standout features of our Signals Master indicator is its auto-optimization and autopilot capabilities. This function automatically identifies the best settings for specific charts and timeframes, ideal for novice traders.
The autopilot feature simplifies the trading process by continuously adjusting settings to optimize your strategy under varying market conditions. This allows for a more efficient trading experience, focusing on strategy effectiveness rather than constant configuration adjustments.
Signal Mode
The Signal Mode functionality of our Signals Master indicator optimizes signals specifically for either buying or selling, tailoring the best settings to enhance one-directional trading. This feature is particularly useful for traders who prefer to focus exclusively on asset purchases. By optimizing for a single direction, Signal Mode ensures that traders can maximize their strategic approach and efficiency in the markets where they feel most confident. This targeted optimization helps to streamline decision-making processes and improve overall trading precision.
Additional Features
Reversal Zones: This feature identifies potential reversal points in the market, helping traders to spot opportunities where trends might change direction. By marking these zones, traders can anticipate market turns with greater accuracy.
Trend Assistant: Streamline your trend analysis with the Trend Assistant, which highlights ongoing trends and their strength. This tool aids in confirming the trend’s stability, making it easier to decide on entry or exit points.
Neo Cloud: Enhance your market analysis with Neo Cloud, which provides a dynamic visualization of support and resistance levels. This feature helps traders understand the current market state, indicating bullish or bearish conditions.
Candlestick Patterns Detection: Quickly identify key candlestick patterns that signal potential market moves. This detection tool simplifies the complexity of candlestick analysis, allowing for swift, informed trading decisions based on traditional charting techniques.
Volume Candlestick
Enhance your market reading with RunRox’s color-coded volume bars that gauge the strength of buying or selling within each bar. This intuitive feature adds a layer of depth to your analysis, allowing for quick recognition of vital market movements and informed trading decisions.
RISK DISCLAIMER
It is crucial for traders to recognize that while indicators are powerful tools, they should serve as aids rather than definitive solutions. No indicator, including those provided by RunRox, can offer a 100% win rate or replace the need for personal judgment and comprehensive analysis. Our goal is to equip traders with sophisticated instruments that can enhance their understanding and evaluation of market conditions.
We encourage all users of RunRox indicators to utilize them as supplements to their own trading strategies and analyses. The ultimate responsibility for trade decisions lies with the trader, informed by their own knowledge, risk assessment, and market research. Our indicators are designed to support this decision-making process, not to dictate it.
Index Generator [By MUQWISHI]▋ INTRODUCTION :
The “Index Generator” simplifies the process of building a custom market index, allowing investors to enter a list of preferred holdings from global securities. It aims to serve as an approach for tracking performance, conducting research, and analyzing specific aspects of the global market. The output will include an index value, a table of holdings, and chart plotting, providing a deeper understanding of historical movement.
_______________________
▋ OVERVIEW:
The image can be taken as an example of building a custom index. I created this index and named it “My Oil & Gas Index”. The index comprises several global energy companies. Essentially, the indicator weights each company by collecting the number of shares and then computes the market capitalization before sorting them as seen in the table.
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▋ OUTPUTS:
The output can be divided into 3 sections:
1. Index Title (Name & Value).
2. Index Holdings.
3. Index Chart.
1. Index Title , displays the index name at the top, and at the bottom, it shows the index value, along with the daily change in points and percentage.
2. Index Holdings , displays list the holding securities inside a table that contains the ticker, price, daily change %, market cap, and weight %. Additionally, a tooltip appears when the user passes the cursor over a ticker's cell, showing brief information about the company, such as the company's name, exchange market, country, sector, and industry.
3. Index Chart , display a plot of the historical movement of the index in the form of a bar, candle, or line chart.
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▋ INDICATOR SETTINGS:
(1) Naming the index.
(2) Entering a currency. To unite all securities in one currency.
(3) Table location on the chart.
(4) Table’s cells size.
(5) Table’s colors.
(6) Sorting table. By securities’ (Market Cap, Change%, Price, or Ticker Alphabetical) order.
(7) Plotting formation (Candle, Bar, or Line)
(8) To show/hide any indicator’s components.
(9) There are 34 fields where user can fill them with symbols.
Please let me know if you have any questions.
ITG Scalper with Early SignalsThe TEMA-MACD Fusion Indicator combines the Triple Exponential Moving Average (TEMA) and Moving Average Convergence Divergence (MACD) to provide traders with a comprehensive insight into market momentum and trend direction.
TEMA is a powerful smoothing indicator that reduces lag and provides a clearer representation of price trends. By applying TEMA to MACD, this fusion indicator enhances the traditional MACD signals, offering more accurate and timely indications of trend changes and potential entry/exit points.
Key Features:
TEMA: The Triple Exponential Moving Average offers a unique perspective on price movements by providing a triple-smoothed average. It adapts more swiftly to changes in price compared to traditional moving averages, making it well-suited for capturing short to medium-term trends.
MACD: The Moving Average Convergence Divergence is a versatile momentum oscillator that depicts the relationship between two moving averages of an asset's price. It is widely used to identify trend direction, momentum strength, and potential reversal points.
Enhanced Signals: By integrating TEMA with MACD, this indicator generates enhanced signals that filter out noise and provide a clearer picture of market dynamics. It helps traders to identify trend reversals, confirm trend strength, and pinpoint potential entry and exit points with greater precision.
Customizable Parameters: Traders can customize the indicator's parameters according to their trading style and preferences, allowing for flexibility in signal generation and adaptability to various market conditions.
User-Friendly Interface: The indicator is designed with a user-friendly interface, making it accessible to traders of all levels of experience. Clear visual representations of signals and trend dynamics facilitate easy interpretation and decision-making.
Multi-Timeframe Compatibility: The TEMA-MACD Fusion Indicator is compatible with multiple timeframes, enabling traders to analyze trends and signals across different time horizons, from intraday to long-term perspectives.
Incorporate the TEMA-MACD Fusion Indicator into your trading strategy to gain deeper insights into market trends and make informed trading decisions with greater confidence.
True stock performance based on EY Bar divergenceI created this indicator to be used in conjunction with my other indicator "True stock performance based on Earnings Yield". I've detailed in that description how true performance is calculated. In short it measures how much EY is moving in relation to the stock price. The theory is that if stock price is moving heavily while EY isn't you have a sentiment driven trend and the stock isn't traded on fundamentals.
This indicators marks bars when stock performance divergences from true performance.
Green upward triangle = The true performance closes lower than previous while stock price is closing higher. This indicates a optimistic sentiment as stock price is pushed up even though price based on EY is moving down.
Red downward triangle = The true performance closes higher than previous while stock price closing lower. This indicates a negative sentiment as stock price is pushed down even though price based on EY is moving up.
How do I use it?
I use it to confirm when sentiment has taken taken over a stock. If you have a fair uptrend (when both stock performance and true performance are doing higher highs), optimistic divergencies are welcome. I've used NVIDIA from 2017 to 2019 to demonstrate.
But if true performance starts to make lower highs while stock performance keeps going up and you see optimistic divergencies, you can tell that the market is getting overoptimistic.
When the stock had crashed it eventually bottomed and started to make higher lows together with an uptrend of true performance, which I count as a fair uptrend. Regardless of that you start to see some negative divergencies indicating that people are scared that the stock will drop again and oversell. These opportunities can be good places to buy more.
But i don't care about earnings, I'm a technical trader. Do i have any use for it?
You possibly could, yes. If you want to follow the crowd, optimistic divergencies confirms that the market is still interested in the stock and may keep pushing the price up. But be careful. Negative divergencies almost never marks any tops, it often confirms downtrends and may indicate bottoms. Often the optimistic divergencies marks the top so don't buy more blindly using this indicator.
True stock performance based on Earnings YieldThe whole basis of the stock market is that you invest your money into a business that can use that money to increase it's earnings and pay you back for that investment with dividends and increased stock value. But because we are human the market often overbuy stocks that cant keep up their earnings with the current inflow of investments. We can also oversell a stock that is keeping up with earnings in regards to the stock price but we don't care because of the sentiment we have.
Earnings Yield is simply the percentage of Earnings Per Share in relation to the stock price. Alone, it's a great fundamental indicator to analyze a company. But I wanted to use it in another way and got tired of using the calculator all the time so that's why I made this indicator.
The goal is to see if the STOCK price is moving accordingly to the BUSINESS earnings. It works by calculating the difference of EY (TTM) previous close (1 bar) to the close thereafter. It then calculates the stock performance of the latest bar and divides that to get decimal form instead of percent. Then it divides the stock performance in decimal form with the difference of EY calculated before. The result shows how much the stock prices moves in relation to how much EY is moving. The theory is that if EY barely moves but the stock price moves heavily, you have a sentiment driven trend.
Example: Week 1 EY = 1.201. Week 2 EY = 1.105.
1.201 - 1.105 = 0.096
Week 2 performed a 11,2% increase in stock price. = 0.112 in decimal form.
0.112 / 0.096 = 1.67
1.67 is the multiple that plots this indicator.
Here is an good example of a stock that's currently in a highly sentiment driven trend, NVIDIA! (Posted 2024-03-30)
Here is an example of a Swedish stock that retail investors flocked to that have been blowned out completely.
When do I buy and sell?
This indicator is not meant to give exact entries or exits. The purpose is to scout the current and past sentiment, possible divergencies and see if a stock is over or under valued. I did add a 50 EMA to get some form of mean plotted. One could buy when true performance is low and sell when true performance drops below the 50 EMA. You could also just sell a part of your position and set a trailing exit with a ordinary 50 EMA or something like that. Often the sentiment will keep driving the price up. But if it last for 1 month or 1 year is impossible to tell.
Try it out and learn how it works and use it as you like. Cheers!
NVT Z-ScoreNVT Z-Score Script:
Data Source and Calculation: This script calculates the NVT ratio by dividing the market cap (assumed from QUANDL data) by a 90-day MA of the transaction volume (also from QUANDL), similar to the NVTS calculation. However, the adaptation lies in further analyzing the NVT ratio through a Z-score approach, not explicitly described in the original NVTS methodology.
Z-Score Analysis: The script calculates the mean and standard deviation of the NVT ratio over a user-defined period (daysForMean, defaulting to 180 days) and then computes the Z-score of the current NVT ratio relative to this historical data. This Z-score analysis introduces a standardized way of understanding the NVT ratio's deviation from its historical average, offering a nuanced view of market valuation states.
Visualization and Dynamic Zones: The visualization emphasizes Z-score-based dynamic zones (green, yellow, and red), determined by the stdDevMultiplier. These zones are plotted and filled on the chart, providing visual cues for interpreting the NVT ratio's current state in relation to its historical norm. This aspect significantly differs from the traditional NVTS approach by directly incorporating the concept of standard deviation and Z-scores into the analysis.
Trade-o-Scope: Plot Custom DataTrade-o-Scope team presents the "Plot Custom Data" indicator.
"Plot Custom Data" is designed to help you bring the custom timeseries data and plot it on the chart.
Motivation:
In the fast-evolving landscape of markets, traders often find themselves analyzing a plethora of data sources, specialized market information, various metrics, etc. While TradingView offers a rich catalog of instruments and market data, there are cases where traders rely on unique data sources, custom calculations, bespoke metrics, or refined analytics that demand visualization.
In some cases, traditional visualization approaches for custom data like plotting in Excel or other platforms may suffice for some. still, we really adore all the great features TradingView supercharts have - native scaling and scrolling, drawing, combining data, applying indicators and strategies on top of any series, etc. The ability to play with custom data on TradingView charts is just a whole new level compared to any alternatives.
With this indicator, we aim to empower traders to effortlessly bring their custom data to the familiar and friendly interface of the TradingView chart.
Basic Features:
Easy Data Input : Simply paste your numerical timeseries data, whether it's a column from Excel, Google Sheets, CSV file, or multiline text from any text editor.
Flexible Configuration : Define the order of values, starting date, and timeframe to match the specifications of your data.
Custom appearance : Personalize your chart by assigning a title to your data and selecting colors for the plot.
Advanced Features:
Value Multiplier : Set a multiplier for the provided values to adjust their scale as needed.
Formatting Options : Customize the display format of values on the chart, whether as price, percentage, or volume.
Conditional Coloring : Define conditions for changing the plot color based on a specific threshold.
Plot Style Selection : Choose from various plot styles such as line, histogram, area, columns, and more, to best visualize your data.
Additional Visual References : Enhance data analysis by activating fixed horizontal lines to aid in visual interpretation.
Leverage TradingView Capabilities : Seamlessly apply various indicators from the TradingView catalog, such as Bollinger Bands or RSI, onto your custom data chart for comprehensive analysis.
Chart Example:
On the chart above, you can observe several "Plot Custom Data" indicators added to demonstrate what your custom data can look like and how multiple indicators can be combined, as well as the indicator configuration screen.
How it works:
The "Plot Custom Data" indicator processes the list of values provided on the configuration form and converts it into data points to be plotted on the chart. To determine the timing of plotting each value, the indicator uses the configured 'starting date' and 'timeframe'. This means the indicator will always plot each subsequent value from your list at the distance of one timeframe from the previous one.
Limitations and Best Practices:
1) The way timeseries data is inputted on the "Plot Custom Data" indicator configuration page, leverages a standard input text field. This input type has a limited character capacity, approximately 4000-4400 symbols. Therefore, the timeseries data cannot exceed this limit.
Let's illustrate this with an example.
Suppose you have a column in Excel that you wish to plot using the indicator. Consider the first 5 rows of values in your column:
| -123.45
| -43.5
| 3.12
| 9.6
| 146.78
To calculate the total symbols used, we need to account for the minus sign, numbers, decimal point, and two invisible symbols at the end of each line, which helps structure the text into multiple lines. So, in total, these 5 rows will use:
row_1 + row_2 + row_3 + row_4 + row_5 = 9 + 7 + 6 + 5 + 8 = 35 symbols or 7 symbols per row on avarage.
If we assume the remaining data follows a similar format, we can estimate the number of rows that can be inputted on the indicator configuration page:
from ~4000 / 7 = 571 rows
to ~4400 / 7 = 628 rows
The right approach to overcome this limitation is to reduce the number of symbols representing each value as much as possible. In our example, consider dropping all decimals, which would lead to an average of 5.4 symbols per row and allow for up to ~800 rows to be accepted by the input field.
If your data primarily consists of large values such as thousands or millions, consider dividing it by a multiplier like x1000 and activating the same multiplier in the indicator settings.
For example, instead of storing values like 5,620,000 in your list, store the value 562 and activate an x10,000 multiplier in the configuration to display the original value on the chart.
It is also possible to combine multiple indicators on one chart and split a larger list of values between them. If you need to display significantly more custom data on charts, you may contact us in DM to find\develop a proper solution.
2) Another important consideration is to ensure that all your data aligns with the selected timeframe in the indicator configuration.
Remember, you provide only the values to the indicator without corresponding dates. Dates are calculated automatically by the indicator based on the configured starting date and chosen timeframe. This means the indicator will always plot each subsequent value from your list at the distance of one timeframe from the previous one.
Here's an example:
Suppose you have a timeseries with 'date' and 'value' columns and a timeframe of 30 minutes:
# | date | value
--|---------------------------|---------
1 | 2024-01-01 11:30:00 | -241.45
2 | 2024-01-01 12:02:13 | -11.56
3 | 2024-01-01 13:00:00 | 21.87
..
..
6 | 2024-01-01 14:30:00 | 19.6
7 | 2024-01-01 15:00:00 |
8 | 2024-01-01 15:30:00 | 46.78
Rows 1-3 represent bad practice:
Row 2 is not precisely aligned with the timeframe, as it has a time of 12:02:13 instead of the expected 12:00:00. This won't cause errors, but the plot will show this value at 12:00:00.
Row 3 has a 1-hour difference from Row 2, which poses a real problem. As the indicator doesn't know the actual dates, it expects Row 3 to be 30 minutes later than Row 2, so it will plot 21.87 at 12:30:00 instead of the actual 13:00:00. And the rest of the values from your list will have offset on the chart as well.
Rows 6-7 represent the correct approach to overcome gaps in your data:
If, for some reason, there is no value for 15:00:00 in the original dataset, adding an empty Row 7 ensures each subsequent row is located 30 minutes from the previous one. The indicator will treat the empty row correctly, not plotting anything at this date on the chart, but will plot a line connecting the value of 19.6 from Row 6 with the value of 46.78 from Row 8.
How to use:
1) Add the "Plot Custom Data" indicator to the chart.
Voila! You'll see the plot based on the default timeseries values list and settings.
2) Paste your numerical timeseries data.
Define the order of values, starting date, and timeframe.
Assign a title to your data and select colors for the plot.
Voila! You'll see the plot based on your timeseries values list and settings.
3) Customize the indicator's settings:
Set a values multiplier if needed.
Specify the appropriate format for the values (price, percentage, or volume).
Choose whether to change the plot color based on conditions.
Select the plot style.
Add horizontal lines.
4) Explore your data, apply additional indicators and strategies from the TradingView catalog, or develop your own scripts using Pine.
Inflation CorrelationHeyo fellas,
In today’s dynamic economic landscape, understanding the relationship of market prices to other economical factors like inflation rate is crucial. The Inflation Correlation Indicator is designed to provide traders with a clear visualization of this relationship. By correlating average inflation rates from selected countries with market closing prices, this indicator offers a unique perspective on potential market movements influenced by inflationary trends.
Features:
Country Selection: Choose from the European Union (EU), Germany (DE), or the United States (US) to tailor the correlation analysis to your specific market interest.
Correlation Length Customization: Adjust the correlation length to refine the sensitivity of the indicator to recent inflation data.
Visual Clarity: The correlation histogram changes color based on the direction of the correlation, providing an intuitive understanding of the inflation correlation.
Whether you’re a fundamental analyst seeking to incorporate macroeconomic indicators into your strategy or a trader looking for an edge in inflation-sensitive markets, the Inflation Correlation Indicator is an indispensable tool in your TradingView arsenal.
Thanks for checking this out!
Best regards,
simwai
Oster's Fair Index (OFI)Note : Excitingly, this indicator is optimized to work exclusively with weekly candles (1W) ! Because fundamental analyses, with their longer-term outlook, thrive on the broader perspective provided by weekly data.
Overview:
Oster's Fair Index (OFI) stands out as a sophisticated indicator to offer traders a comprehensive assessment of a stock's fundamental valuation. Unlike many conventional indicators that focus solely on technical analysis, OFI places a strong emphasis on fundamental metrics, providing traders with a deeper understanding of a stock's intrinsic worth. It applies Oster's method (explained below) to determine the fundamental fair price of a stock.
Innovative Approach to Fundamental Analysis:
OFI employs a unique approach to fundamental analysis, integrating multiple key metrics including Yield , P/S (Price-to-Sales) ratio , P/E (Price-to-Earnings) ratio , Debt/Asset ratio , and P/FCF (Price-to-Free-Cash-Flow) ratio . These metrics collectively offer a holistic view of a company's financial health, allowing traders to gauge its potential for growth and profitability. Notably, the fundamental metrics included in OFI are regarded as the most crucial indicators for fundamental stock evaluation according to Oster's method. Dividend yield and P/S ratio are prioritized as the most significant, followed by the P/E ratio, with supplementary consideration given to the debt-to-asset ratio and price-to-free cash flow ratio. This weighting reflects their importance in determining a stock's fair value according to the methodology, which is integrated into OFI's calculation process.
Customizable Parameters for Tailored Analysis:
One of OFI's standout features is its flexibility, allowing users to customize the fundamental parameters based on their specific investment strategy or preferences. Traders can selectively include or exclude metrics , adjust weighting factors , and set alarm thresholds to align with their unique trading objectives. This customization empowers traders to tailor OFI according to their individual preferences and market perspectives. Although a default value has been set for the weighting of the parameters, traders still have the option to customize it based on their own trading strategy and preference, ensuring that OFI remains adaptable to diverse trading styles and objectives.
Sophisticated Calculation Methodology:
Behind the scenes, OFI employs a sophisticated calculation methodology to derive its insights. It retrieves fundamental data for the selected stock, such as total revenue, earnings per share, debt-to-asset ratio, free cash flow per share, and dividend yield. However, these metrics are not viewed in isolation; rather, they are considered in relation to historical trends . For instance, while a low debt-to-asset ratio may indicate fundamental strength for a company, it must be interpreted in the context of its historical performance. If the debt-to-asset ratio has historically been consistently lower, it may suggest weaker performance despite the seemingly favorable current ratio. Furthermore, OFI goes beyond mere fundamental metrics by incorporating the stock price itself into its analysis . A low debt-to-asset ratio becomes even more attractive for the company if the stock price is also historically low, indicating undervaluation. OFI takes all these aspects into account, providing traders with a comprehensive and nuanced evaluation of a stock's fundamental attractiveness, considering all these aspects in relation to each of the fundamental metrics mentioned above.
Normalized Fairness Differentials for Standardized Comparison:
OFI employs a method where the aforementioned fundamental metrics interact as described earlier. These metrics are combined into a fundamental, normalized value using weighting factors. This value is then normalized by the moving price range of the last 12 months. The result provides insights not only into when the stock price was undervalued, overvalued, or fair, but also enables traders to estimate potential price movements based on the fundamental health of the company. Additionally, a dashed fair price line simply represents the sum of the current stock price and the OFI value. This line illustrates the fair price level of the stock derived from the methodology.
Interpretation:
A negative OFI indicates that the stock may be undervalued based on fundamental metrics. Conversely, a positive OFI suggests that the stock may be overvalued according to fundamental analysis. A zero OFI implies that the stock is trading at a fair price relative to its fundamentals, indicating a balanced valuation scenario. The values of OFI are not arbitrary; they represent the degree of overvaluation or undervaluation in the currency set in the chart settings. This means traders can discern, for example, how many USD the stock is undervalued or overvalued by . Additionally, a dashed fair price line simply represents the sum of the current stock price and the OFI value, illustrating the fair price levels of the stock derived from the methodology.
Dynamic Color Coding for Visual Clarity:
To enhance usability, OFI features dynamic color coding that visually highlights the fair price differentials. Green signifies potential undervaluation , red indicates potential overvaluation , and neutral colors represent fair valuation . This intuitive visual feedback enables traders to quickly identify opportunities and risks.
Alerts:
OFI generates alerts based on these interpretations to assist traders in making informed decisions. An Undervalued Signal (BUY) is triggered when the OFI is below zero and meets the buy threshold criteria. This indicates that the stock is fundamentally undervalued, prompting a BUY alert. Conversely, an Overvalued Signal (SELL) is generated when the OFI surpasses zero and meets the sell threshold criteria. This signals that the stock is fundamentally overvalued, prompting a SELL alert. When OFI hovers around zero, suggesting that the stock is trading at a fair price, a Fair Price Reached (FAIR) alert is generated. This encourages traders to consider profit-taking strategies given the balanced valuation.
Justification of Originality and Value:
In a landscape saturated with technical indicators, OFI distinguishes itself by offering traders a refreshingly simple yet powerful approach to fundamental analysis. While traditional methods often involve laborious scrutiny of financial metrics or even poring over entire company balance sheets, OFI streamlines this process, providing traders with a swift overview of a stock's fundamental health. Its strength lies in seamlessly integrating fundamental analysis with stock price movements, offering insights into how price correlates with fundamental metrics.
One could say we marry the simplicity of technical analysis with the depth of fundamental analysis. This unique combination empowers traders to make informed decisions with ease, leveraging the best of both worlds to navigate the markets effectively.
Conclusion:
In conclusion, Oster's Fair Index (OFI) represents a pioneering advancement in the realm of fundamental analysis, offering both sophisticated calculation methodologies and intuitive, user-friendly features. By marrying these elements with customizable parameters and intuitive visuals, OFI equips traders with a powerful tool for evaluating the fundamental valuation of stocks. Whether you're a seasoned investor or a novice trader, OFI offers invaluable insights that can inform and enrich your trading journey.
Trade-o-Scope: Highlight IntervalsTrade-o-Scope team presents the Highlight intervals indicator.
Highlight intervals is a simple yet powerful indicator that helps highlight adjustable time intervals on the chart.
Overview and functionality:
You can define time intervals at three different levels: Month, Day of the Week, and Day of the Month. The indicator will then highlight intervals at the intersection of these levels.
By default, the indicator will use the exchange timezone, but you can easily switch to any timezone that suits you best.
You can activate an info-panel about the type of asset displayed on the chart and the timezone used by the exchange.
You can select your preferred color for highlighting intervals.
With Highlight intervals, you're equipped to visualize and focus on the intervals that matter most to you while seeking alpha!
How it works:
You define which bars will be highlighted by configuring the indicator settings. These settings revolve around the time intervals and may combine:
Months: Jan, Feb, Mar, Apr, May, Jun, Jul, Aug, Sep, Oct, Nov, Dec
Days of Month: 1 - 31
Days of Week: Mon, Tue, Wed, Thu, Fri, Sat, Sun
Example:
In the attached chart you can see an example where the time intervals are highlighted according to such a configuration:
Months: Feb, Mar
Days of Month: 1 - 15
Days of Week: Mon - Fri
NSE Option Straddle Candle Chart
'NSE Option Straddle Candle Chart' plot a straddle chart of the mentioned strike.
Straddle means combine price of a call price and a put price.
User has 4 inputs :
1 : Spot Symbol
2 : Expiry date
3 : Straddle Strikes
4 : Ema Length
5 : Supertrend Inputs
How to use :
1 : Trade need to know first what is a straddle. If ATM straddle price is 405, than it means market is likely to close within 405 points up or down at the expiry.
2 : Straddle is traded on pairs only
3 : If trader sells a straddle than , straddle price should move down. For there reference supertrend and moving average is plotted on chart
4 : Both this indicators helps trade to identify the trend , hence predict market.
5 : Options are dying assite , so is straddle , so prefer selling straddle instead of buying.
Buffett IndicatorThis is an open-source version of the Buffett indicator. The old version was code-protected and broken, so I created another version.
It's computed simply as the entire SPX 500 capitalization divided by the US GDP. Since TradingView does not have data for the SPX 500 capitalization, I used quarterly values of SPX devisors as a proxy.
I tried to create another version of the Buffett indicator for other countries/indexes, but I can't find the data. If you can help me find data for index divisors, I can add more choices to this indicator.
It's interesting to see how this indicator's behavior has changed in the last few years. Levels that looked crazy are not so crazy anymore.
Disclaimer
Please remember that past performance may not be indicative of future results.
Due to various factors, including changing market conditions, the strategy may no longer perform as well as in historical backtesting.
This post and the script don’t provide any financial advice.
NSE Option Chain
This Indicator show Options Data on signal dashboard , that help trader to analyse the market.
Options data consist of two things , Call and Put.
Every Strike has its Call and Put price.
So if user Opens any chart which is traded in options , dashboard will show total 16 Call and 16 Put strikes
8 Above from ATM and 8 Below from ATM.
On left hand side of dashboard there is Call data and on right side there is Put data.
Call side datas are , Call LTP which is latest price of that call strike , Call Chg which is change in points from previous day close and third is Call % which is % change from previous day close.
Same is on put side.
Color code is done based on positive or negative of data. If change or % is negative then color is red else green.
ATM strike data is plotted in bold
Inputs :
Spot Symbol Input for Option dashboard
Expiry date of that option contract
Strike interval between 2 strikes
Reference ATM strike ( user should keep this input as current ATM strike )
How to Use :
If dashboard shows call side is negative and put side is positive then that means market Bearish , because falling market leads to falling price of call and increase in price of Put.
Similarly if put is negative and call is positive then market is bullish.
This dashboard give trend conformation , trader should take other conformation also before taking trade.
Statistics • Chi Square • P-value • SignificanceThe Statistics • Chi Square • P-value • Significance publication aims to provide a tool for combining different conditions and checking whether the outcome is significant using the Chi-Square Test and P-value.
🔶 USAGE
The basic principle is to compare two or more groups and check the results of a query test, such as asking men and women whether they want to see a romantic or non-romantic movie.
–––––––––––––––––––––––––––––––––––––––––––––
| | ROMANTIC | NON-ROMANTIC | ⬅︎ MOVIE |
–––––––––––––––––––––––––––––––––––––––––––––
| MEN | 2 | 8 | 10 |
–––––––––––––––––––––––––––––––––––––––––––––
| WOMEN | 7 | 3 | 10 |
–––––––––––––––––––––––––––––––––––––––––––––
|⬆︎ SEX | 10 | 10 | 20 |
–––––––––––––––––––––––––––––––––––––––––––––
We calculate the Chi-Square Formula, which is:
Χ² = Σ ( (Observed Value − Expected Value)² / Expected Value )
In this publication, this is:
chiSquare = 0.
for i = 0 to rows -1
for j = 0 to colums -1
observedValue = aBin.get(i).aFloat.get(j)
expectedValue = math.max(1e-12, aBin.get(i).aFloat.get(colums) * aBin.get(rows).aFloat.get(j) / sumT) //Division by 0 protection
chiSquare += math.pow(observedValue - expectedValue, 2) / expectedValue
Together with the 'Degree of Freedom', which is (rows − 1) × (columns − 1) , the P-value can be calculated.
In this case it is P-value: 0.02462
A P-value lower than 0.05 is considered to be significant. Statistically, women tend to choose a romantic movie more, while men prefer a non-romantic one.
Users have the option to choose a P-value, calculated from a standard table or through a math.ucla.edu - Javascript-based function (see references below).
Note that the population (10 men + 10 women = 20) is small, something to consider.
Either way, this principle is applied in the script, where conditions can be chosen like rsi, close, high, ...
🔹 CONDITION
Conditions are added to the left column ('CONDITION')
For example, previous rsi values (rsi ) between 0-100, divided in separate groups
🔹 CLOSE
Then, the movement of the last close is evaluated
UP when close is higher then previous close (close )
DOWN when close is lower then previous close
EQUAL when close is equal then previous close
It is also possible to use only 2 columns by adding EQUAL to UP or DOWN
UP
DOWN/EQUAL
or
UP/EQUAL
DOWN
In other words, when previous rsi value was between 80 and 90, this resulted in:
19 times a current close higher than previous close
14 times a current close lower than previous close
0 times a current close equal than previous close
However, the P-value tells us it is not statistical significant.
NOTE: Always keep in mind that past behaviour gives no certainty about future behaviour.
A vertical line is drawn at the beginning of the chosen population (max 4990)
Here, the results seem significant.
🔹 GROUPS
It is important to ensure that the groups are formed correctly. All possibilities should be present, and conditions should only be part of 1 group.
In the example above, the two top situations are acceptable; close against close can only be higher, lower or equal.
The two examples at the bottom, however, are very poorly constructed.
Several conditions can be placed in more than 1 group, and some conditions are not integrated into a group. Even if the results are significant, they are useless because of the group formation.
A population count is added as an aid to spot errors in group formation.
In this example, there is a discrepancy between the population and total count due to the absence of a condition.
The results when rsi was between 5-25 are not included, resulting in unreliable results.
🔹 PRACTICAL EXAMPLES
In this example, we have specific groups where the condition only applies to that group.
For example, the condition rsi > 55 and rsi <= 65 isn't true in another group.
Also, every possible rsi value (0 - 100) is present in 1 of the groups.
rsi > 15 and rsi <= 25 28 times UP, 19 times DOWN and 2 times EQUAL. P-value: 0.01171
When looking in detail and examining the area 15-25 RSI, we see this:
The population is now not representative (only checking for RSI between 15-25; all other RSI values are not included), so we can ignore the P-value in this case. It is merely to check in detail. In this case, the RSI values 23 and 24 seem promising.
NOTE: We should check what the close price did without any condition.
If, for example, the close price had risen 100 times out of 100, this would make things very relative.
In this case (at least two conditions need to be present), we set 1 condition at 'always true' and another at 'always false' so we'll get only the close values without any condition:
Changing the population or the conditions will change the P-value.
In the following example, the outcome is evaluated when:
close value from 1 bar back is higher than the close value from 2 bars back
close value from 1 bar back is lower/equal than the close value from 2 bars back
Or:
close value from 1 bar back is higher than the close value from 2 bars back
close value from 1 bar back is equal than the close value from 2 bars back
close value from 1 bar back is lower than the close value from 2 bars back
In both examples, all possibilities of close against close are included in the calculations. close can only by higher, equal or lower than close
Both examples have the results without a condition included (5 = 5 and 5 < 5) so one can compare the direction of current close.
🔶 NOTES
• Always keep in mind that:
Past behaviour gives no certainty about future behaviour.
Everything depends on time, cycles, events, fundamentals, technicals, ...
• This test only works for categorical data (data in categories), such as Gender {Men, Women} or color {Red, Yellow, Green, Blue} etc., but not numerical data such as height or weight. One might argue that such tests shouldn't use rsi, close, ... values.
• Consider what you're measuring
For example rsi of the current bar will always lead to a close higher than the previous close, since this is inherent to the rsi calculations.
• Be careful; often, there are na -values at the beginning of the series, which are not included in the calculations!
• Always keep in mind considering what the close price did without any condition
• The numbers must be large enough. Each entry must be five or more. In other words, it is vital to make the 'population' large enough.
• The code can be developed further, for example, by splitting UP, DOWN in close UP 1-2%, close UP 2-3%, close UP 3-4%, ...
• rsi can be supplemented with stochRSI, MFI, sma, ema, ...
🔶 SETTINGS
🔹 Population
• Choose the population size; in other words, how many bars you want to go back to. If fewer bars are available than set, this will be automatically adjusted.
🔹 Inputs
At least two conditions need to be chosen.
• Users can add up to 11 conditions, where each condition can contain two different conditions.
🔹 RSI
• Length
🔹 Levels
• Set the used levels as desired.
🔹 Levels
• P-value: P-value retrieved using a standard table method or a function.
• Used function, derived from Chi-Square Distribution Function; JavaScript
LogGamma(Z) =>
S = 1
+ 76.18009173 / Z
- 86.50532033 / (Z+1)
+ 24.01409822 / (Z+2)
- 1.231739516 / (Z+3)
+ 0.00120858003 / (Z+4)
- 0.00000536382 / (Z+5)
(Z-.5) * math.log(Z+4.5) - (Z+4.5) + math.log(S * 2.50662827465)
Gcf(float X, A) => // Good for X > A +1
A0=0., B0=1., A1=1., B1=X, AOLD=0., N=0
while (math.abs((A1-AOLD)/A1) > .00001)
AOLD := A1
N += 1
A0 := A1+(N-A)*A0
B0 := B1+(N-A)*B0
A1 := X*A0+N*A1
B1 := X*B0+N*B1
A0 := A0/B1
B0 := B0/B1
A1 := A1/B1
B1 := 1
Prob = math.exp(A * math.log(X) - X - LogGamma(A)) * A1
1 - Prob
Gser(X, A) => // Good for X < A +1
T9 = 1. / A
G = T9
I = 1
while (T9 > G* 0.00001)
T9 := T9 * X / (A + I)
G := G + T9
I += 1
G *= math.exp(A * math.log(X) - X - LogGamma(A))
Gammacdf(x, a) =>
GI = 0.
if (x<=0)
GI := 0
else if (x
Chisqcdf = Gammacdf(Z/2, DF/2)
Chisqcdf := math.round(Chisqcdf * 100000) / 100000
pValue = 1 - Chisqcdf
🔶 REFERENCES
mathsisfun.com, Chi-Square Test
Chi-Square Distribution Function
Financial Ratio Analysis (with / without Competitors)What Is Financial Ratio Analysis?
Financial Ratio Analysis is a quantitative technique used to assess a company's liquidity, operational efficiency, and profitability by examining its financial statements, including the balance sheet, income statement, and cash flow statement. It provides valuable insights into a company's performance over time and allows for comparisons with other companies within the same industry or sector.
What Are the Uses of Financial Ratio Analysis?
Analysis of financial ratios serves two main purposes:
1. Track company performance
Determining individual financial ratios per period and tracking the change in their values over time is done to spot trends that may be developing in a company.
Current Ratio for Adobe Inc. NASDAQ:ADBE
2. Make comparative judgments regarding company performance
Comparing financial ratios with those of major competitors enables the identification of whether a company is performing better or worse than the industry average. This comparative analysis aids in understanding the company's competitive position and potential areas for improvement.
For comparison, the script would automatically select a maximum of 5 competitors from the US markets based on the ticker's industry. This ensures a relevant comparison with industry peers to evaluate performance and assess competitive positioning.
To compare the Free Cash Flow Margin of Apple Inc. NASDAQ:AAPL with its competitors.
To compare the Free Cash Flow Margin of Apple Inc. NASDAQ:AAPL with its competitors’ average.
Customized competitors list
To customize your own competitors list, you can specify the companies or tickers you want to include in the comparison. This allows for a tailored analysis based on your specific preferences and industry knowledge.
Example:
To compare PayPal NASDAQ:PYPL with NASDAQ:MELI , NASDAQ:DLO , and NYSE:PAY , users can input the following text into the competitors list:
NASDAQ:MELI,NASDAQ:DLO,NASDAQ:PYPL,NYSE:PAY;
This will ensure that the comparison includes these specific companies alongside PayPal.
Financial ratios are grouped into the following categories:
Liquidity ratios
Leverage ratios
Efficiency ratios
Profitability ratios
Market value ratios
Liquidity Ratios
Liquidity ratios are financial ratios that measure a company’s ability to repay both short-term and long-term obligations.
Current Ratio measures a company’s ability to pay off short-term liabilities with current assets:
Current ratio = Total current assets / Total current liabilities
Cash To Debt Ratio measures a company’s ability to pay off short-term liabilities with cash and cash equivalents. A high ratio indicates a company can pay off its debt and remain solvent into the foreseeable future. In addition, it also means that if necessary, the company can take on a larger amount of debt because it has the cash to support that.
Cash to debt ratio = Cash and Short Term Investments / Total debt
Leverage Financial Ratios
Leverage ratios measure the amount of capital that comes from debt. In other words, leverage financial ratios are used to evaluate a company’s debt levels.
Debt To Assets Ratio measures the relative amount of a company’s assets that are provided from debt. This indicator is a measure of assets that are growing at the expense of debt. Because of this, you can see how a company acquired its assets over time. It can be used to assess a company's ability to meet its current debt obligations.
Debt to assets ratio = Total debt / Total assets
Debt To Equity Ratio calculates the weight of total debt and financial liabilities against shareholders’ equity:
Debt to equity ratio = Total liabilities / Shareholder’s equity
Interest Coverage Ratio shows how easily a company can pay its interest expenses:
Interest coverage ratio = Operating income / Interest expense
Efficiency Ratios
Efficiency ratios, also known as activity financial ratios, are used to measure how well a company is utilizing its assets and resources.
Research & Development (R&D) Expense to Revenue Ratio measures the percentage of sales that is allocated to R&D expenditures.
R&D to revenue ratio = Research and development expense / Total revenue * 100%
Asset Turnover Ratio measures a company’s ability to generate sales from assets. The higher it is, the more efficient the company is, since higher ratios mean that the company generates more income per dollar of assets. Conversely, if the company has a low Asset turnover, this indicates that it is inefficiently using its assets.
Asset turnover ratio = Revenue / Average total assets for two periods
Inventory Turnover shows how quickly a company sells its stock. A low turnover can mean weak sales, while a high one can mean good sales or insufficient stock. Inventory turnover is an important indicator of a company's performance.
Inventory turnover = Cost of goods sold / Total inventories
Days Sales Outstanding measures the average number of days it takes for a company to collect cash from credit purchases.
Days sales outstanding = Average Accounts Receivable / Revenue x 365 Days
Days Inventory shows the time in days that is spent turning a company's inventory into sales. This metric is an indicator of a company's inventory management. Low values are preferred for Days Inventory, which means items are selling faster and there is a quick turnaround. Large values indicate that a company has invested too much in stocks and does not have time to sell them.
Days inventory = Average inventories / Cost of goods sold * Days in period
Profitability Ratios
Profitability ratios measure a company’s ability to generate income relative to revenue, balance sheet assets, operating costs, and equity.
Gross Margin compares the gross profit of a company to its net sales to show how much profit a company makes after paying its cost of goods sold:
Gross margin % = Gross income / Total revenue * 100
Operating Margin , sometimes known as the return on sales ratio, compares the operating income of a company to its net sales to determine operating efficiency:
Operating margin = Operating income / Revenue * 100%
Free Cash Flow Margin is a profitability ratio that compares a company's free cash flow to its revenue to understand the proportion of revenue that becomes free cash flow. The higher the percentage, the more cash is available from sales. A company that shows an increasing cash flow margin from year to year is certainly getting stronger with time. This is a good indicator of its probability for long-term success.
Free cash flow margin = Free Cash Flow / Total Revenue
Return On Assets measures how efficiently a company is using its assets to generate profit. A high ROA indicates that a company successfully converts invested money into income.
Return on assets = Net income before discontinued operations / Total average assets
Return On Equity measures how efficiently a company is using its equity to generate profit:
Return on equity = Net income / Shareholder’s equity
Revenue Growth refers to the increase in a company’s total revenue or income over a specific period
Revenue growth = (Current period revenue - previous period revenue) / Previous period revenue * 100%
Earnings Per Share Growth illustrates the growth of earnings per share over time.
Earnings per share growth = ( Current period EPS - previous period EPS ) / Previous period EPS * 100%
Operating Cash Flow Growth is the long term rate of growth of operating cash, the money that is actually coming into the bank from business operations.
Operating cash flow growth = ( Current period operating cash flow - previous period operating cash flow) / Previous period operating cash flow* 100%
Market Value Ratios
Market value ratios are used to evaluate the share price of a company’s stock.
Book Value Per Share calculates the per-share value of a company based on the equity available to shareholders. In case of the company liquidation, the book value per share shows the monetary value remaining for common shareholders after all assets are sold and all debt is paid. If a company’s Book value per share is higher than a market price of its share, then the stock may be considered undervalued.
Book value per share = Total common equity / Total common shares outstanding
Dividend Yield measures the amount of dividends attributed to shareholders relative to the market value per share:
Dividend yield = Dividends TTM for the primary issue excluding special dividends / Price of the primary issue
Diluted Earnings per Share (Diluted EPS)
EPS stands for earnings per share. Investors use EPS to measure how much money a company makes for every outstanding share the company has. Diluted EPS is slightly different in that it measures the earnings per share for a company if all convertible securities (such as preferred stocks, convertible debt instruments, stock options and warrants) were used to calculate the metric.
1995-Present - Inflation and Purchasing PowerGood day, everyone! Today, we're going to look at a chart that's a bit different from the usual price charts we analyse. This isn't just any chart; it's a lens into the past, adjusted for the reality of inflation—a concept we often hear about but seldom see directly applied to our trading charts.
What we have here is an 'Inflation Adjusted Price' indicator on TradingView, and it's doing something quite special. It's showing us the price of our asset, let's say the S&P 500, not just in today's dollars, but in the dollars of 1995. Why 1995, you ask? Well, it's the starting point we've chosen to measure how much actual buying power has changed since then.
So, every point on this red line we see represents what the S&P 500's value would be if we stripped away the effects of inflation. This is the price in terms of what your money could actually buy you back in 1995.
As traders and investors, we're always looking at prices going up and thinking, 'Great! My investment is growing!' But the real question we should ask is, 'Is my money growing in real terms? Can it buy me more than it did last year, or five, ten, or twenty-five years ago?'
This chart tells us exactly that. If the red line is above the actual price, it means that the S&P 500 has not just grown in nominal terms, but it has actually outpaced inflation. Your investment has grown in real terms; it can buy you more now than it could back in 1995.
On the flip side, if the red line is below the actual price, that's a sign that while the nominal price might be up, the real value, the purchasing power, hasn't grown as much or could even have fallen.
This view is crucial, especially for the long-term investors among us. It gives us a reality check on our investments and savings. Are we truly growing our wealth, or are we just keeping up with the cost of living? This indicator answers that.
Remember, the true measure of financial growth is not just the numbers on a chart. It's what you can do with those numbers—how much bread, or eggs, or yes, even houses, you can buy with your hard-earned money
Blockcircle Hard Forks & HalvingsThe Hard Forks & Halvings indicator simply displays the dates of system wide network upgrades being completed for Bitcoin and Ethereum.
Those upgrades are called hard forks and halvings.
In the screenshot you will see that March 13 marked for the system wide Ethereum network upgrade called "ETH Dencun", it is marked in blue.
HOW IT WORKS?
For example:
Bitcoin Halvings: Nov 28, 2012, Jul 9, 2016, May 11, 2020, etc..
Bitcoin Hard Forks: Aug 2015, Feb 2016, Mar 2016, Aug 2017, etc..
Ethereum Hard Forks: Jul 30, 2015, Mar 14, 2016, Mar 13, 2024, etc...
It's conveniently an indicator so it allows you to overlay it on top of any price chart, e.g. BTC/USD, ETH/USD, ARB/USD, MATIC/USD, OP/USD, RONIN/USD, STRK/USD, etc...so you can measure the exact impact each individual significant event had on the underlying asset price.
HOW TO USE IT?
You can apply this to examine price impact on competing Layer 1s and complimentary and key beneficiary Layer 2s like ARB/OP/MATIC/STRK, which are worth monitoring closely in light of the recent Ethereum Hard Fork Dencun Upgrade and Bitcoin Halving on April 18-19.
WHAT MAKES IT' USEFUL AND ORIGINAL?
I could not find an indicator that does anything remotely close to this, so decided to build it as it's so useful to track these key dates. You can plan ahead!
One of the key benefits is a sharp reduction in Layer 2 transaction processing fees, and will lay the ground work required for "Data Blobs", think of it as a form of transaction optimization to improve scalability for the entire Ethereum ecosystem.
This will strongly accelerate staking and retaking efforts. This indicator has already helped so much in being to forecast that we were going to experience a bit of a pull back post Dencun upgrade, because historically, we've generally reverted back to the mean post upgrade.
If you have any questions about it, please post it them! Thank you
