Sentiment Ratio

The Sentiment Ratio indicator gauges current Market Sentiment between -100% and 100%, where lower than -40% is considered Bearish and higher than 40% is Bullish. The channel between the two is considered Neutral.

The indicator has been a very useful filter tool for signals within a trading system.

Example call function:

 int SentimentIndicator(double triggerLevel)//Return sentiment if trigger level is activated

{

  double sentimentRatio=iCustom(NULL,0,"Sentiment Ratio",0,0,0);

  if(sentimentRatio>=triggerLevel) return(OP_BUY);

  else if(sentimentRatio<=-triggerLevel) return(OP_SELL);

  return(-1);//Default: No indication

}

Basis of calculation:

The calculation in the indicator applies weighted averages from RSI, Stochastic Oscillator, and William’s Percent Range.