Artemis Squeeze Momentum

The Artemis Squeeze Momentum indicator provides a consolidated momentum and volatility analysis system that integrates squeeze detection, directional flux, multi-timeframe alignment, and divergence tracking into a single oscillator pane. It aims to identify high-conviction breakout setups and trend reversals by aligning multiple analytical layers across 12 adaptive color themes.

Usage

The Usage section describes how the script can be used to identify market cycles and trade setups.

• Squeeze Breakouts: Use the bottom-of-pane squeeze column to identify periods of price compression. When the column disappears and a diamond (♦) appears, it indicates a "Squeeze Release," signaling the start of volatility expansion.
• Directional Confirmation: Monitor the "Directional Flux" oscillator and the confluence gauges at the top and bottom of the pane. A valid breakout is strongest when the momentum line, flux oscillator, and higher-timeframe alignment all point in the same direction.
• Mean Reversion: Look for confluence Buy (▲) or Sell (▼) triangles. these appear when momentum crosses its signal line from extreme levels while contrasting with the directional flux, suggesting a potential trend exhaustion.
• Trend Continuation: Use Hidden Divergences (dashed lines) to find opportunities to join an existing trend during pullbacks.
• Bar Coloring: Enable Bar Color Mode to overlay technical states (like squeeze intensity or momentum regime) directly onto the price action for easier visual correlation.

Details

The indicator is built upon several core technical concepts:

• Momentum Engine: Computes ATR-normalized residual values smoothed via linear regression. This provides a "forward-leaning" momentum curve relative to the channel midpoint and SMA midline.
• Directional Flux: A custom ADX-style oscillator that measures the ratio of positive high-changes to negative low-changes, identifying structural directional pressure.
• Three-Tier Squeeze: Uses a Welford-algorithm standard deviation compared against ATR. It categorizes compression into Tight, Mid, and Loose tiers.
• Smart Divergence Filter: Employs an analytical gate that requires a minimum momentum swing, a minimum price swing (%), and Flux confirmation before rendering a divergence signal to reduce market noise.
• Composite TS Score: Aggregates Momentum, Flux, Signal slope, and Confluence into a single weighted score (0–100) to provide a macro view of trend strength.

Settings

Visual & Bar Coloring

• Theme: Select from 12 cohesive palettes (e.g., Tropic, Cyber, Bloomberg) that update all visual elements.
• Bar Color Mode: Choose how price bars are colored (None, Momentum, Flux, Squeeze, Confluence, or Slope).

Core Engines

• Momentum Length: Lookback period for momentum and squeeze calculations.
• Signal Length: Smoothing for the momentum trigger line.
• Flux Length: Lookback for the Directional Flux oscillator.
• Use Heiken Ashi Bias: Smoothes Flux input using Heiken Ashi data.

Squeeze & Confluence

• Squeeze Multipliers: Adjust thresholds for Tight, Mid, and Loose compression detection.
• Signal Threshold: The momentum level required for mean-reversion confluence signals.
• Display Mode: Toggles visibility for Bull, Bear, or both confluence gauges.

Divergence & Filter

• Sensitivity: Sets the momentum floor for Regular divergence detection.
• Smart Divergence Filter (AI): Enables the multi-gate filter to reject low-quality signals.
• Min Price Swing (%): Minimum percentage move required between price pivots for a divergence to be valid.

Panels & Alerts

• Multi-Timeframe Preset: Select predefined TF groups (Scalp, Swing, Crypto, etc.) for the alignment panel.
• Dashboard Position: Choose the anchor point and size for the data dashboard.
• Alert Toggles: Enable or disable specific alerts for the 22 available conditions.

FAQ

How do I interpret the Squeeze Release marker? The diamond (♦) indicates that volatility compression has ended and expansion has begun. Traders typically look for the momentum line slope and Flux direction immediately following this marker to determine the breakout direction.

What is the difference between Regular and Hidden divergence in this tool? Regular divergence (solid lines) indicates potential trend reversals at price extremes. Hidden divergence (dashed lines) indicates trend continuation, often appearing during shallow pullbacks within a strong trend.

How do I access the Artemis Squeeze Momentum? You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.