Wyckoff volume benchmarking / market profile bt analysis board

[DowDeva]

d-k,

The second indicator is a top and bottom indicator (the dots) and like any other indicator, it doesn't always generate a signal, and sometimes it can be wrong. I find it very useful with Demark signals overlaid (sequence counter in ToS), Heikin-Ashi candles, and the RSILaGuerre.

If the LaGuerre portion of the RSILaguerre is at the top of the band, at .061, then you know a big trend is coming either up or down. If you remember, the Laguerre measures energy compressed in a move (sort of like Bollinger bands, but easier to read for this dummy), not tops and bottoms. If it is at the bottom of the band, then the energy is exhausted for that move, and a trading range will be established for a while.

I use 5x larger time frames for the Laguerre script, and smaller timer frames for the RSI (entry and exits).

Sometimes in a big move, the Laguerre will reach the mid portion of the band, refuel, and head on up again for either trend continuation or a big reversal.

If you go to the thinkscript lounge, there's a lot of engineers/traders who hand out there who could help you with creating a script. Probably what you want has been already created.

Hope this helps.