Renko Dynamic Index Zones

2 באוק׳ 2019

The goal of this indicator is to plot the Dynamic Index, Signal, and Histogram values "as if" the chart is a true price action based Renko chart. It can be used on a time series chart or Renko series chart. The Dynamic Index is derived from the raw price action of a time-based chart, where the historic and live price values are clustered into Renko bricks. The Renko brick production algorithm is entirely backed by Renko Overlay Ribbon and thoroughly tested. The Dynamic Index gets its inspiration from the Commodity Channel Index.

The algorithm takes into account rapid brick production within a single time candle and adjusts accordingly. The output may vary slightly between different chart time frames for the same indicator settings, but this is due to the lack of price fluctuation visibility that can occur in higher chart time frames. If the brick tick size is low, an appropriate chart interval should be selected that maximizes the amount of price volatility visible to the indicator. A bad setting would be something like a 1 tick EURUSD Renko setting on an H4 or Day chart, there simply is no way to derive the exact and ordered price fluctuations in a single candle, 1 pip at a time. A more appropriate chart time frame would be 1-5 minutes for this selected Renko brick size.

The difference between this indicator and the companion Renko Dynamic Index oscillator can be understood in the following video. The indicator plots the current Dynamic Index - Signal cross and Dynamic Index - Zero cross thresholds on the chart so that you know exactly where the most important crossing values are at all times. These can be used as a dynamic stop or a dynamic entry location for trades. The overbought and oversold dynamic zones are also plotted on the chart.

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Contact me in Trading View or telegram for more information and access instructions.

23 באוק׳ 2019

הערות שחרור

• New coloring for entering overbought and oversold.
  
• New coloring for trend change is up or down
  
• New depictions for when the price exits from overbought or from oversold.
  
• Added logic for trend changes and trend pending changes.
  
• Added alerts for exit overbought, exit oversold, trend change up, trend change down, and trend change pending.
  

New Videos:

Video 2:

Video 3:

25 באוק׳ 2019

הערות שחרור

• Slight tweak to the trend change and trend direction algorithm.
  

25 באוק׳ 2019

הערות שחרור

• Updated member features.
  

29 באוק׳ 2019

הערות שחרור

• Fixed bug in trend direction algorithm.
  

14 בנוב׳ 2019

הערות שחרור

• Fixed trend change display label offset.
  

6 בינו׳ 2020

הערות שחרור

• Updated member features.