This NEW Indicator Is Beyond Your Imagination! It Will Blow Your Mind!

Summary

This video introduces a new and free indicator on TradingView called 'Market Sentiment' by Lock Algo. It overlays on the price chart, utilizing various technical indicators to provide insights into market sentiment. The indicator combines trend, momentum, and volatility measures, with features like an oscillator, market sentiment meter, and divergence analysis to help traders identify trends, overbought/oversold conditions, and potential reversals. The video also advises on using additional confirmations for trading decisions and offers a link to a divergence strategy video.

Takeaways

• 📈 The video introduces a new, free indicator called 'Market Sentiment' on TradingView, developed by Lock Algo.
• 🔍 The 'Market Sentiment' indicator overlays on the price chart and provides diverse information by combining various technical indicators.
• 📊 It incorporates trend, momentum, volatility indicators, and price action market structures to assess market sentiment.
• 📝 The left side of the indicator displays a list of individual indicators and the specific information they provide.
• 📊 Momentum oscillators like RSI, Stochastic Oscillator, and CCI are included, with visual bars indicating current levels.
• 📉 Trend indicators such as moving averages, Bollinger Bands, and linear regression are used to identify market trends and volatility.
• 📊 The right side of the indicator offers an overall market sentiment in the form of a horizontal bar and a market sentiment meter.
• 📊 The market sentiment oscillator can be used to monitor current and historical sentiment, identifying trends and overbought/oversold conditions.
• 📌 Center line crossovers on the oscillator can act as trading signals but should be confirmed with other technical analysis for reliability.
• 🔄 The indicator can also be used to spot divergences, which may signal a potential change in market trend.
• ⚠️ Traders are advised not to rely solely on divergence for trading decisions and to seek additional confirmation of market reversals.
• 🔗 A link to a video explaining a divergence strategy and its backtest results is provided in the video description for further learning.

Q & A

What is the main topic of the video?

The video introduces a new indicator called 'Market Sentiment' on TradingView, which combines various technical indicators to provide insights into market sentiment.

How is the 'Market Sentiment' indicator added to a chart on TradingView?

To add the 'Market Sentiment' indicator, one needs to click on 'Indicators' in TradingView, search for 'Market Sentiment' under the 'Technicals' category, and then apply it to the chart.

What types of indicators are included in the 'Market Sentiment' indicator?

The 'Market Sentiment' indicator includes trend indicators, momentum indicators, volatility indicators, and price action market structures.

What is the purpose of the momentum oscillators in the 'Market Sentiment' indicator?

Momentum oscillators, such as RSI, Stochastic, and CCI, are used to identify overbought and oversold conditions in the market.

What does the 'Bu B Power' indicator measure?

The 'Bu B Power' indicator evaluates the strength of buying or selling pressure in the market.

How does the 'Market Sentiment' indicator combine multiple indicators into a single value?

The indicator synthesizes information from various indicators to show the overall market sentiment, which can be displayed as a horizontal bar, a market sentiment meter, or a market sentiment oscillator.

What does the horizontal bar in the 'Market Sentiment' indicator represent?

The horizontal bar represents the overall market sentiment, indicating whether the market is uptrending, consolidating, or downtrending.

How can the market sentiment oscillator be used as a trading signal?

Crossovers of the market sentiment oscillator above or below the center line can be used as trading signals, indicating advancing or declining price movements, respectively.

What is the significance of divergence in the 'Market Sentiment' indicator?

Divergence occurs when the market makes a lower low but the oscillator makes a higher low (bullish divergence), or when the market makes a higher high but the oscillator makes a lower high (bearish divergence). It suggests a potential trend reversal, but confirmation from other indicators is needed.

What additional feature can be enabled in the 'Market Sentiment' indicator settings?

In the settings, one can enable the display of divergences, choosing to show regular, hidden, or all divergences based on personal preference.

What advice does the video give regarding trading based on the 'Market Sentiment' indicator?

The video advises not to trade solely based on crossover signals or divergences, but to use them in conjunction with other indicators or technical analysis aspects for confirmation.

How can viewers learn more about trading based on divergences?

The video creator has a separate video explaining a divergence strategy and has backtested it 100 times. The link to that video is provided in the video description.