Sentiment Ratio Oscillator MT5
- Indicators
- Eda Kaya
- Version: 1.3
Sentiment Ratio Oscillator for MT5
The Sentiment Ratio Oscillator for MT5 is a technical tool designed to evaluate overall market behavior and highlight potential overbought and oversold conditions.
By incorporating Exponential Moving Averages (EMA) along with price variations, this indicator reflects the prevailing trader sentiment for a selected instrument and plots it as a dynamic oscillator beneath the main price chart.
«Indicator Installation & User Guide»
Specification Table of Sentiment Ratio Oscillator
Below are the key technical details of the Sentiment Ratio Oscillator:
| Category | Oscillator – Forecast & Signal – Volatility |
| Platform | MetaTrader 5 |
| Skill Level | Intermediate |
| Indicator Type | Continuation – Reversal |
| Time Frame | Multi-Time Frame |
| Trading Style | Scalping – Swing Trading – Day Trading |
| Market | All Financial Markets |
Overview of Sentiment Ratio Oscillator
This oscillator primarily signals by detecting sentiment extremes. When its curve approaches overbought or oversold thresholds, it suggests the probability of a price reversal. Line crossovers within these areas often serve as trade entry confirmations.
Buy Setup
On the 1-hour Solana (SOL) chart, the oscillator line descended into the oversold region, signaling exhaustion of the downtrend. As the curve crosses upward through the grey reference line, it generates a valid buy entry signal.
Sell Setup
In the USD/CHF example, the oscillator touched the overbought band, triggering a reversal to the downside. At this stage, the crossover of the sentiment lines acts as a confirmation for a sell setup.
Sentiment Ratio Oscillator Settings
The customizable settings of the Sentiment Ratio Oscillator include:
- Time frame: Active chart timeframe for calculations
- Sentiment zone period: Number of candles considered for sentiment zone analysis
- Sentiment zone MA method: Chosen moving average type for sentiment zones
- Applied price: Price source used for calculations
- Price filtering period: Candle count for filtering prices
- Filtering method: Moving average type for filtering process
- Levels period: Candle count for detecting sensitive levels
- Levels percent: Percentage values for defining overbought/oversold areas
- Average period: Candle count for smoothing the main oscillator line
- Average type for signal line: Type of averaging applied to the sentiment signal line
- Color change criteria: Condition for line color modification
- Alerts options: On/off controls for sound, message, email, and push notifications
- Interpolate: Smooth display of the oscillator curve
- Message settings: Timeout interval and subject configuration for alert messages
Conclusion
The Sentiment Ratio Oscillator for MT5 leverages moving averages and sentiment-based percentage thresholds to determine critical market zones. Its line crossovers—especially with the grey sentiment reference line—serve as practical signals for trade entries, helping traders anticipate market shifts with greater accuracy.
