TWR - indicator for MetaTrader 5

TWR is calculated based on the color of the previous bar and the closing price of the current bar, ignoring the other price information, and actually redrawing the candle chart using the closing price.

Color definition:

• Red indicates a rise.
• Green indicates a drop.

Define the color of the first bar:

Open > Close - Green; Open < Close - Red;

The calculation principle is as follows:

1.Upward trend:

Figure 1: calculation principle of upward trend

2.Down trend:

Figure 2: calculation principle of down trend

Classic turning signal of indicators:

Figure 3: upward trend signal turn

Figure 4: downtrend signal turn

3.In fact, we can add EMA to filter the noise signal and improve the quality of the signal.

If TWR give us the trend signal, and the bar closes above the EMA or under the EMA, then the trend will be true.

Figure 5: example