Hull Suite Oscillator - Normalized | IkkeOmarThis script is based off the Hull Suite by @InSilico.
I made this script to provide and calculate the Hull Moving Average (HMA) based on the chosen variation (HMA, TMA, or EMA) and length to then normalize the HMA values to a range of 0 to 100. The normalized values are further smoothed using an exponential moving average (EMA).
The smoothed oscillator is plotted as a line, where values above 80 are colored red, values below 20 are colored green, and values between 20 and 80 are colored blue. Additionally, there are horizontal dashed lines at the levels of 20 and 80 to serve as reference points.
Explanation for the code:
The script uses the close price of the asset as the source for calculations. The modeSwitch parameter allows selecting the type of Hull variation: Hma, Thma, or Ehma. The length parameter determines the calculation period for the Hull moving averages. The lengthMult parameter is used to adjust the length for higher timeframes. The oscSmooth parameter determines the lookback period for smoothing the oscillator.
There are three functions defined for calculating different types of Hull moving averages: HMA, EHMA, and THMA. These functions take the source and length as inputs and return the corresponding Hull moving average.
The Mode function acts as a switch and selects the appropriate Hull variation based on the modeSwitch parameter. It returns the chosen Hull moving average.
The script calculates the Hull moving averages using the selected mode, source, and length. The main Hull moving average is stored in the _hull variable, and aliases are created for the main Hull moving average (HULL), the main Hull value (MHULL), and the secondary Hull value (SHULL).
To create the normalized oscillator values, the script finds the highest and lowest values of the Hull moving average within the specified length. It then normalizes the Hull values to a range of 0 to 100 using a formula. This normalized oscillator represents the strength of the trend.
To smooth out the oscillator values, an exponential moving average is applied using the oscSmooth parameter.
The smoothed oscillator is plotted as a line chart. The line color is determined based on the oscillator value using conditional statements. If the oscillator value is above or equal to 80, the line color is set to red. If it is below or equal to 20, the color is green. Otherwise, it is blue. The linewidth is set to 2.
Additionally, two horizontal reference lines are plotted at levels 20 and 80 for visual reference. They are displayed in gray and dashed style.
Hullsuite
Hull Butterfly Oscillator [LuxAlgo]The Hull Butterfly Oscillator (HBO) is an oscillator constructed from the difference between a regular Hull Moving Average (HMA) and another with coefficients flipped horizontally.
Levels are obtained from cumulative means of the absolute value of the oscillator. These are used to return dots indicating potential reversal points.
Settings
Length: Number of past price inputs processed by the oscillator.
Levels Multiplier: Determine how far the levels are from 0.
Src: Input source of the indicator.
Usage
The oscillator can be used like most available oscillators. The sign of the HBO allows determining the current trend direction, while divergences with price might indicate potential reversals.
The displayed levels can additionally indicate whether the market is overbought or oversold. When the direction of the oscillator changes while being above the upper or lower level a red dot (if above upper level) or green dot (if under lower level) will be displayed, indicating a potential reversal.
Details
The name of the indicator is directly derived behind the coefficients used for its calculation. Displaying regular Hull coefficients alongside those flipped horizontally slightly resemble a butterfly, the difference between these sets of coefficients allows obtaining the HBO.
This operation allows to obtain a more structured impulse response, potentially giving less undesired performances on the frequency domain compared to simpler operation involving subtracting the HMA to a SMA, EMA or WMA.
