Comments for https://ctrader.com/products/2365
Comments for: https://ctrader.com/products/2365
- VVolatilityVortex
Whatβs the core signal logic behind this indicator (momentum, mean-reversion, volume, pattern)?
Here is the breakdown of its core signal logic:
- Volatility (The "Pressure" / Squeeze) ππ₯
This is the primary filter of the indicator. It identifies the state of the market's energy.
Logic: It compares Bollinger Bands (Standard Deviation) against Keltner Channels (ATR/Range).
The Signal:
Compression (Pressure ON - Black Dots): When the Bollinger Bands fall inside the Keltner Channels, it means volatility has dropped to historically low levels. The market is "coiling" or building up potential energy.
Expansion (Pressure RELEASED - Gray Dots): When the bands explode outwards, the pressure is released, often leading to a strong trend or breakout.
- Momentum (The "Scanner" / Direction) π
While Volatility tells you something is about to happen, Momentum tells you where it is going.
Logic: It calculates a Linear Regression of the price's deviation from a mean (dynamic midline). This measures the "drift" or "drive" of the price.
The Signal:
Direction: Histogram > 0 is Bullish; Histogram < 0 is Bearish.
Strength (Acceleration):
Lime/Red: Momentum is increasing (Strong Drive).
Green/Maroon: Momentum is decreasing (Fading Drive).
π Join our Discord for Ready-to-Use Set Files https://discord.gg/8rz9TQfSYE- Volatility (The "Pressure" / Squeeze) ππ₯