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SP500 Droite CAGR Auto (bandes + label dynamique)

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This indicator plots the long-term Compound Annual Growth Rate (CAGR) line of the S&P500 from a chosen start date (default: 1973).
It helps visualize whether the index is currently overvalued or undervalued compared to its historical growth trend.

Key Features:

CAGR Trendline (red): straight line connecting the start price (e.g. 1973 = 111.05 points) to today’s price based on compounded average growth.

Observed vs Fixed Mode:

Observed → CAGR automatically calculated from start date to the present.

Fixed → user-defined CAGR (e.g. 8.3%/year).

±20% and ±10% Bands (toggle on/off):

Provide tolerance zones around the long-term trend.

Useful to identify over/undervaluation ranges.

Customizable colors: for trendline and both bands.

Dynamic label (at the latest bar):

Displays the CAGR used (% per year).

Shows current deviation of the S&P500 from the CAGR line.

Gives a clear reading:

✅ “SP500 in the central band”

🟧 “SP500 between ±10% and ±20%”

🔴 “SP500 > +20% (overvalued)”

🟩 “SP500 < -20% (undervalued)”

Purpose:

This tool is designed for long-term investors. It helps to:

Spot periods of structural overvaluation (excessive bull markets).

Identify historical undervaluation phases (long-term opportunities).

Serve as an objective benchmark against short-term market noise.

⚠️ Tip: use the indicator with a logarithmic scale for correct visualization of compounded growth (the CAGR line appears straight on a log chart).

Penafian

Maklumat dan penerbitan adalah tidak bertujuan, dan tidak membentuk, nasihat atau cadangan kewangan, pelaburan, dagangan atau jenis lain yang diberikan atau disahkan oleh TradingView. Baca lebih dalam Terma Penggunaan.