# Trend-quality Composites

Trend-quality Composites blends five 0-100 ingredients into one weighted trend-quality score: a percentile-ranked RAVI spread from a 7/65 average pair, plus Kaufman Efficiency Ratio, directional consistency, R-squared fit and ATR-adjusted slope sharing a 14-bar window. Tier thresholds at 60/40 gate trend-following versus range tactics, with a component dashboard and tier alerts.

- Indicator in the LuxAlgo Library, by LuxAlgo, published May 13, 2026.
- Access: free.
- Concepts: [Trend-quality Composites](https://www.luxalgo.com/library/concept/trend-quality-composites/) (primary)
- Open on Vela: https://vela.luxalgo.com/chart?pineScriptCodeId=z8ngp7us35149nfud5zg4pzm
- Page: https://www.luxalgo.com/library/indicator/trend-quality-composites/

**Trend-quality Composites** condenses five readings of how cleanly price is trending into a single 0–100 score, a complete [trend-quality composite](https://www.luxalgo.com/library/concept/trend-quality-composites/) in one pane. Chande's RAVI spread runs its own 7/65 average pair, while the Kaufman Efficiency Ratio, directional consistency of closes, R-squared fit and volatility-adjusted slope share one quality window; unbounded ingredients are percentile-ranked against their own history so the blend adapts to any symbol.

## How to Trade the Trend-quality Composites?

- **Score at or above the high threshold**: high-quality trend. The trend-following gate is open, or use the score as a graded weight on size and confidence.
- **Score at or below the low threshold**: range conditions. Route signals to mean-reversion or stand aside.
- **Between the thresholds**: a transitional read; tier alerts fire on every entry into and exit from the outer tiers.

The dashboard lists each ingredient with its dimension (strength, noise, direction, smoothness, volatility), score bar and weight, then sums up the composite, tier, direction and gate state.

## Trend-quality Composites Settings

- **Source** (default close): series the ingredients are measured on.
- **Quality Window** (default 14): shared lookback of the four price-action ingredients.
- **Normalization Window** (default 100): history used to percentile-rank the RAVI spread and volatility-adjusted slope.
- **Score Smoothing** (default 3): EMA on the blend so the tier read does not flicker; 1 shows the raw composite.
- **MA Spread (RAVI)**, **Efficiency Ratio**, **Directional Consistency**, **R-squared Fit** and **Vol-adjusted Slope**: each on by default at weight 1, with **RAVI Fast/Slow** defaulting to 7 and 65.
- **High Quality Threshold** (default 60) and **Low Quality Threshold** (default 40): the tier boundaries.
- Style and dashboard toggles cover the directional tint, gradient fill, tier background and panel placement.

## Frequently Asked Questions

### How does this differ from the Choppiness Index?

The [Choppiness Index](https://www.luxalgo.com/library/indicator/choppiness-index/) reads one dimension, range-boundness, from a single formula. The composite blends five and exposes each score separately, so a weak reading traces to noise, poor fit or a slope lost in volatility.

### Does a high score mean the trend is up?

No. The score measures quality, not direction. A clean downtrend rates as highly as a clean uptrend; the direction row and optional tint report which way the move points.

### Should I adjust the component weights?

Sparingly. All five ingredients read the same price series, so stacking similar ones inflates confidence without adding information. Disable a component rather than zero-weighting several toward one idea.

## Related indicators

- [Structure & Trend Dashboard](https://www.luxalgo.com/library/indicator/structure-trend-dashboard/) (Trend Regime Label): markdown at https://www.luxalgo.com/library/indicator/structure-trend-dashboard.md
- [Trending Market Toolkit](https://www.luxalgo.com/library/indicator/trending-market-toolkit/) (Trend Regime Label): markdown at https://www.luxalgo.com/library/indicator/trending-market-toolkit.md
- [Change-Point Detection (CUSUM)](https://www.luxalgo.com/library/indicator/change-point-detection-cusum/) (Trend Regime Label): markdown at https://www.luxalgo.com/library/indicator/change-point-detection-cusum.md
- [Correlation Trend Indicator](https://www.luxalgo.com/library/indicator/correlation-trend-indicator/) (Trend): markdown at https://www.luxalgo.com/library/indicator/correlation-trend-indicator.md
- [HyperTrend](https://www.luxalgo.com/library/indicator/hypertrend/) (Trend Regime Label): markdown at https://www.luxalgo.com/library/indicator/hypertrend.md
- [HTF Candle Consistency](https://www.luxalgo.com/library/indicator/htf-candle-consistency/) (Higher-timeframe Trend Filter): markdown at https://www.luxalgo.com/library/indicator/htf-candle-consistency.md
- [Average Directional Index](https://www.luxalgo.com/library/indicator/average-directional-index/) (ADX / DMI System): markdown at https://www.luxalgo.com/library/indicator/average-directional-index.md
- [Anchored Powered KAMA](https://www.luxalgo.com/library/indicator/anchored-powered-kama/) (Kaufman Efficiency Ratio): markdown at https://www.luxalgo.com/library/indicator/anchored-powered-kama.md

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Source: https://www.luxalgo.com/library/indicator/trend-quality-composites/ (LuxAlgo Library). Free to use with attribution: https://www.luxalgo.com/library/license/
