Directional Matrix

Returns a dashboard showcasing the directional movements of four key overlay trading indicators: SMA (Simple Moving Average), TMA (Triangular Moving Average), WMA (Weighted Moving Average), and REG (Linear Regression). These indicators are calculated using various length periods to provide traders a comprehensive view of market trends.

Configuring Your Dashboard

To customize your dashboard, you can adjust the periods for each indicator by setting specific parameters:

• Maximum Length: This parameter sets the maximum period value for the indicators you want to analyze.
• Minimum Length: This determines the minimum period value from which to start the analysis.
• Step: Defines the increment gap between consecutive indicator period values.
• Src: Selects the data source for each of the four indicators.

Styling Your Dashboard

Personalize the appearance of your dashboard with these style settings:

• Normalized Change Mode: Offers a different perspective by displaying normalized first differences of each indicator, instead of just the directional sign.
• Dashboard Location: Sets where the dashboard will appear on your chart.
• Dashboard Size: Adjusts the size of the dashboard on your chart.
• Text/Frame Color: Determines the grid frame and text colors.
• Bullish Cell Color: Specifies the color for cells that indicate a rising indicator direction.
• Bearish Cell Color: Specifies the color for cells that denote a falling indicator direction.
• Cell Transparency: Adjusts the transparency level of each cell.

How to Trade Using the Dashboard Indicators

The indicators within this dashboard are designed to estimate the underlying price trend. Understanding their directions can provide insights into short-term and long-term market trends, but their utility extends beyond this primary function.

Within the dashboard, rising indicators are highlighted in blue (or another selected color for bullish cells), whereas declining indicators appear in red (or another chosen bearish color). The top-left cell of the dashboard indicates the proportion of bullish cells.

Leverage the Normalized Change Mode

Activating the Normalized Change mode enables viewing of normalized changes across various indicator periods. This measure ranges from 0 to 1, with 1 showing the most significant change over the selected period, and 0 the least.

Cells in this mode employ a color gradient stretching from the bearish cell color to the bullish cell color, offering visual clarity on change intensity.

Advanced Indicator Insights

The direction of specific indicators can reveal more insights than anticipated. Often, the change sign of one indicator is corroborated by others.

• A positive change in the Simple Moving Average (SMA) suggests current prices exceed those from p periods ago, where p represents the SMA period.
• A positive change in the Triangular Moving Average (TMA) occurs when an SMA of period p surpasses that of period p × 2, assuming the TMA is derived from two cascaded SMAs of period p.
• For the Weighted Moving Average (WMA), a positive change indicates current prices surpass an SMA of the period p+1.
• A positive shift in Linear Regression (REG) indicates that a WMA is above an SMA of period p, where p is the REG period.

FAQ

How can I access the Dashboard Indicator?

You can access it on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.

What does the Bullish Cell Color represent?

The Bullish Cell Color illustrates the color used to mark rising trends within the dashboard.

Can the dashboard size be customized?

Yes, the size of the dashboard can be adjusted according to your preference.