QuantSignals: Integrated Geometric Momentum Quality

Integrated Geometric Momentum Quality is a momentum-quality oscillator designed to complement traditional momentum indicators, not replace them.

While most momentum tools focus on how much price has moved, IGMQ focuses on how efficiently price has moved. It evaluates whether momentum is supported by smooth, directional structure or distorted by noise and volatility.

IGMQ is path-aware rather than purely price-based.
It penalizes volatility that does not contribute to sustained progress, making it especially useful as a momentum filter in systematic or discretionary trading workflows.

IGMQ analyzes price behavior over a rolling window to determine:

1. Directional strength
   
2. Path efficiency
   
3. Structural consistency
   

The output is a normalized momentum quality score that increases when price movement is clean and persistent, and decreases when momentum becomes choppy or unstable.

How to Use It

This indicator works best as a confirmation and filtering tool, alongside indicators such as:

• RSI
  
• MACD
  
• Rate of Change
  
• Breakout or trend-following systems
  

Common applications:

• Confirm whether momentum signals are supported by quality structure
  
• Filter out trades during noisy or low-efficiency regimes
  
• Rank symbols by momentum quality
  
• Detect early degradation in trending conditions
  

Interpreting the Oscillator

• Positive values → Upward momentum with structural quality
  
• Negative values → Downward momentum with structural quality
  
• Larger magnitude → Cleaner, more reliable momentum
  
• Values near zero → Low-quality or indecisive movement
  

This helps distinguish between strong momentum and usable momentum.