A comprehensive momentum indicator that normalizes MACD, RSI, and Stochastic RSI to a unified 0-100 scale, enabling traders to quickly assess market momentum and potential trend reversals.
Explore complementary indicator rolesHow it works
The indicator combines three momentum indicators by normalizing their values to a consistent 0-100 scale. MACD is transformed using a tanh function to match RSI and Stochastic RSI ranges. The midline at 50 represents neutral momentum, with values above indicating bullish and below indicating bearish conditions.
Traders can observe crossovers and extreme levels to identify potential trading signals. The normalized approach allows for easier comparison between different momentum metrics, providing a more intuitive visualization of market dynamics
Why it may be useful
This indicator simplifies complex momentum analysis by presenting multiple indicators on a unified scale. By normalizing MACD, it eliminates the challenge of interpreting different numerical ranges. Traders can quickly identify momentum shifts, overbought or oversold conditions, and potential trend reversals.
The harmonized view reduces subjective interpretation and provides a clearer, more comprehensive market perspective. It combines the strengths of MACD, RSI, and Stochastic RSI into a single, powerful analytical tool
When to explore it
The indicator works best in markets with clear momentum trends and during periods of potential trend reversals. It is most effective in liquid markets with consistent price movements, such as major forex pairs, stock indices, and cryptocurrencies.
Traders should use it alongside other technical analysis tools and confirm signals with price action, support/resistance levels, and additional indicators. It is particularly useful for day and swing traders seeking to capture short to medium-term market movements
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What we’ve verified
Access, alerts and repainting behaviour have not been independently verified for this indicator. Check the creator’s current publication and settings.
General descriptions and classifications are recovered research. Verified details above identify the specific checks we have completed. Check the creator’s current publication for later changes.
