ANDROMEDA - Directional Strength Matrix [Multi-Asset]

ANDROMEDA - Directional Strength Matrix [Multi-Asset]
Pedro Canto – Portfolio Manager | CGA/CGE

OVERVIEW
The Directional Strength Matrix [Multi-Asset] is a multi-symbol indicator designed to track and compare the directional momentum of up to five financial instruments simultaneously.

It builds upon the logic of the classic Currency Strength Slope, but expands its utility beyond currencies—making it applicable to indices, commodities, stocks, and crypto assets. The core of the system relies on a normalized slope algorithm, using a TMA-compensated moving average and ATR-based scaling to deliver accurate, real-time momentum readings.

This tool is ideal for traders seeking a quantitative view of strength and weakness across multiple assets, enabling fast relative analysis and improved decision-making in both trend-following and mean-reversion strategies.

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WALKTHROUGH
Each asset’s directional strength is calculated using the slope of a weighted moving average (WMA), adjusted for volatility using the Average True Range (ATR). To reduce lag while maintaining stability, a TMA-compensated formula is applied — replicating behavior seen in the classic MQL4 CSS Indicator.

The normalized slope values are plotted as independent lines in a dedicated window, making it easy to spot which assets are strengthening or weakening at any given moment.

Key logic flow:
i) Calculate a TMA-style WMA for each instrument
ii) Estimate directional slope via differential between current and previous weighted averages
iii) Normalize by ATR to make values comparable across different assets and price ranges
iv) Plot all slope values on a shared matrix

Traders can compare multiple symbols side by side and visually identify the relative direction, strength, and acceleration of each asset.

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USE CASES
- Comparing strength across indices like US30, US500, NASDAQ, Oil and Crypto
- Detecting early momentum shifts between competing assets
- Timing entries based on momentum divergence or alignment
- Filtering out weaker assets in trend strategies
- Creating custom strength overlays in multi-asset dashboards

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KEY FEATURES
1. Multi-Asset Capability
Analyze up to 5 assets in real time, including the chart’s native symbol plus 4 customizable inputs.

2. TMA-Compensated Slope Algorithm
Provides low-lag slope estimation with high reactivity and accuracy.

3. ATR-Based Normalization
Ensures comparability across assets with different price scales and volatility levels.

4. Customizable Color Scheme
Assign distinct colors to each asset line for clean visual separation.

5. Real-Time Responsiveness
Supports shift adjustments to align with candle timing (real-time or closed-bar mode).

6. Compatible with All Asset Classes
Works with forex, indices, commodities, stocks, and crypto (a major improvement from the original Currency Strength Slope Indicator).

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INPUTS AND CUSTOMIZATION
- Moving Average Period: Adjustable WMA length
- ATR Period: Volatility scaling parameter
- Shift: Choose between real-time view (-1) or closed-candle confirmation (0)
- Asset Inputs: Symbol selection for Asset 2 to 5
- Colors: Fully customizable for each line

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DISCLAIMER
This indicator is a tool for technical analysis and educational purposes only. It is not intended as financial advice or a trading signal provider. Always apply proper risk management and consider fundamental and macroeconomic context before making investment decisions.
Past performance does not guarantee future results.