This is a very important volume-price indicator for me.
Displays the average cost of chips for the short term (30 days), medium term (60 days), and long term (200 days). Chip lines act as support and resistance. The longer the trend days, the greater the strength.
usage: 1. Breakout: If the stock rises, it must be above the short-term chip line. And gradually rise.
2. Sequence: When a bullish trend is formed, the short-term stack is higher than the mid-term stack, and the mid-flag stack is higher than the long-term stack. When there is a bear trend, the order is reversed.
3. Intensive: When the three chip lines are dense, there will be a periodical resonance effect, and the long-term trend will rise or fall sharply
Versionsinformation
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Added smoothing parameter to reduce the jaggedness of the indicator.
Nice, how do you better define the moment were the three lines are close or dense how do you say? There’s a volatile move because because of that fact?
shivanjalikn
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very nice script. thanks.
darockra3123
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I just found this and it seems very interesting. What is the best condition for entry? I feel like 1 hour charts work well too in the stock market
noparking
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What do you mean by average cost of chips? Looks pretty good.
rsu9
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@noparking, This indicator gets the average cost of users for 30 days. If current stock price is higher than short-term chips average price, it means that everyone is in a profitable state within 30 days, so it is easy to raise the stock price. If there is a 30, 60, 200 days long arrangement, and the stock price is easy to make new highs, otherwise it will encounter resistance in the short situation.
noparking
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@rsu9, Thanks for the explanation. Seems pretty useful!
edgarragde
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is this inicator working only in 1D tf ? i can't see medium and long term trend below 1D tf
rsu9
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@edgarragde, I'll update a version in a while so that it shows up at all timeframe.