Movement Exhaustion

The movement exhaustion is a color rule that helps indicate when the movement will revert its direction.

The darker the color, the greater the probability to revert.

The indicator is based on the price statistic.

Works on every timeframe, every instrument.

Five color options:

0. Natural movement. (Gray)

1 - 4. Movement exhaustion (Yellow to maroon)

The trader can use it as reversal or exhaustion signal.

In a trend following trade it can be used as an exhaustion signal, indicating the movement can revert soon.

In a reversion trade it can be used as an entry region signal.

(Indicator do not repaint)

To use its signal as a Custom Indicator:

The buffer_num to access the signal is 5.

int h_Exhaustion;
double Exhaustion[];

int OnInit()
{
   //--- on init stuff ...

   h_Exhaustion = iCustom(_Symbol, _Period, "Exhaustion");

   //--- on init stuff ...
}

int OnCalculate()
{
   //--- The buffer_num to get the indicator signal is 5
   ArraySetAsSeries(Exhaustion, true);
   if (CopyBuffer(h_Exhaustion, 5, 0, bars + 1, Exhaustion) < 0 || h_Exhaustion < 0)
      return (-1);

   //--- on calculate stuff ...
}