Resonance Bar color-codes the status of eight underlying oscillators, with each row averaging over twice the time of the row above.
Resonance Bar shifts its timescales along with your choice of main chart timescale:
- 1 minute chart: 1 minute through 128 minute (~2 hour) oscillators.
- 15 minute chart: 15 minute through 1920 minute (~32 hour) oscillators.
- 1 hour chart: 1 hour through 128 hour (~2 week) oscillators.
- Daily chart: 1 day through 128 day (~4 month) oscillators.
The color map is configured as follows:
- Hot Pink: Extreme Overbought (> 100%) rolled over to sell, but oscillators probably embedded with more upside (revert to Dark Green) possible after a pause.
- Deep Red: Overbought (> 75%) crossover ripe for selling (validated when red spreads to timescales below).
- Brown: Minor (< 75%) crossover sell from which could bounce back green or start a plunge toward gray/black.
- Gray/Black: Mature (< -75%) sells turning full black in a plunge before the dawn.
- Lime Green: Extreme Oversold (< -100%) and bouncing, though may yet bottom even lower.
- Green: Oversold (< -75%) crossover ripe for buy. Green spreading to all timescales below will validate bottom is in.
- Dark Green/Teal: Mature buy in overbought (> 75%) range, waiting for sell crossover to Hot Pink for a pause or correction.
White Stripes are Impulsive Trend Warning
Resonance Bar warns of oscillator embedding by showing white stripes when it detects strong, early surges in the timescale rows below.The white stripes usually accompany Hot Pink warning it's too early to go short, or Lime Green warning it's too early to go long.
Heeding these warnings will probably miss the exact top or bottom, but you're less likely to get overrun in a momentum move.
Usually the market gives us a second opportunity to short very close to the top or buy very close to the bottom after the warning white stripes have subsided.
NOTE: Recently rolled over contracts may not have enough history for all oscillator calculations, in which case no bar colors will appear.
- The default Channel Length, Ratio Length and Lag Length work reasonably well on all timescales in our experience. Minor tweaks don't hurt but this may just overfit to a particular chart history.
- We don't recommend changing the 75% Overbought and 100% Extreme Overbought default levels as these are ideal numbers relative to the underlying oscillator statistic calculations. But these settings can shift the color transition levels.
- Embedded attribute controls the sensitivity/conservativeness of the white strip embedding detectors. Closer to 75 increases the warning sensitivity while closer to 100 decreases the aggressiveness of blocking white stripes.
- Embed Separation also affects the white stripe sensitivity.
- Row width increases each row's thickness to fill the available screen height you've afforded the bar.
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.