Trend Strength Analyzer Pro - Advanced Momentum Analysis System

Quick Start Guide

📊

Installation Steps

Join our Discord Community
Request access from admins
Open TSA Pro on TradingView
Click "Add to Favorites" after authorization
Apply to your chart

⚙️

Default Settings

Trend Sensitivity: 5
Market Responsiveness: 5.0
ATR Normalization: Enabled
Multi-timeframe: Active
Market Flow: Enabled

🎯

Key Features

ATR-based volatility adjustment
Dynamic trend detection
Multi-timeframe confirmation
Advanced divergence detection
Market flow analysis

💡 Pro Tip: The default settings are optimized for most markets. Start with these settings and adjust based on your specific trading style and market conditions.

⚠️ Authorization Required: TSA Pro is a premium indicator. You must join our Discord Community and get authorization from admins before using it on TradingView.

Q: How do I track extreme value counts for trend exhaustion?

A: Monitor consecutive extreme readings (overbought/oversold signals) in the same direction:

Count each time the extreme ratio exceeds the threshold without an opposite extreme
Reset the count when an opposite extreme occurs or trend changes
3 consecutive extremes often mark trend exhaustion
Combine with divergence analysis for highest probability reversal signals
The statistics panel helps track current extreme strength

This is one of the most reliable methods for identifying trend exhaustion points.

Core Concepts

ATR Volatility Normalization

TSA Pro uses Average True Range (ATR) to normalize momentum readings, providing consistent signals across different volatility regimes:

📈 How ATR Normalization Works:

Standard Mode: Raw price momentum without volatility adjustment
ATR Mode: Momentum divided by ATR for volatility-adjusted readings
Adaptive Decay: Momentum decay adjusts based on volatility rank
Regime Detection: Identifies low, normal, and high volatility periods

Volatility Regime	ATR Behavior	Trading Impact
Low Volatility	Reduced extreme thresholds	More sensitive signals
Normal Volatility	Standard thresholds	Balanced signal generation
High Volatility	Increased extreme thresholds	Fewer but stronger signals

Dynamic EMA System

The indicator uses an adaptive EMA that responds to market conditions:

🎯 Response Factor

Measures how rapidly market conditions are changing and adjusts EMA alpha accordingly.

📊 Dynamic Length

EMA length varies between 5 and your sensitivity setting based on normalized price differences.

⚡ Alpha Adjustment

The smoothing factor adapts to market responsiveness, creating more reactive trends during volatile periods.

Wave Metrics Analysis

TSA Pro analyzes market waves with comprehensive metrics:

┌─────────────────────────────────────┐
│ METRIC        │ AVERAGE │ CURRENT   │
├─────────────────────────────────────┤
│ Bull Power    │ 2.45    │ 3.21      │
│ Bear Power    │ -2.12   │ -         │
│ Market Bias   │ 1.16x   │ 1.32x     │
│ Market Flow   │ -       │ 1.45x     │
│ Volatility    │ NORMAL  │ 0.0125    │
│ Signal        │ 🚀 STRONG BUY        │
└─────────────────────────────────────┘

Signal Analysis

⚠️ Critical Concept: Extreme Value Counts

The number of extreme readings is a powerful method for measuring trend exhaustion and continuation:

🔢 Understanding Extreme Counts:

1st Extreme: Initial warning - trend is strong but monitor closely
2nd Extreme: Caution zone - trend momentum is mature
3rd Extreme: High probability of reversal - most common exhaustion point
4th+ Extreme: Rare but indicates exceptional trend strength or climax

📊 Why 3 is Common

Market psychology typically exhausts after three pushes in the same direction. This aligns with Elliott Wave theory and represents the natural rhythm of market cycles.

🎯 Trading Application

Count consecutive extreme readings in the same direction. As the count increases, reduce position size and tighten stops. Consider counter-trend setups after the 3rd extreme.

Pro Tip: The more extreme readings in succession, the closer the trend is to reversal. This is one of the most reliable exhaustion indicators when combined with divergence analysis.

Signal Types and Strength

Signal	Type	Conditions	Action
STRONG BUY	Primary	Multi-timeframe alignment + momentum confirmation	Full position with tight stop
STRONG SELL	Primary	Multi-timeframe alignment + momentum confirmation	Full short position
OVERBOUGHT	Warning	Extreme ratio > threshold	Take profits, avoid new longs
OVERSOLD	Warning	Extreme ratio > threshold	Cover shorts, prepare for bounce
↗️ BULL DIV	Secondary	Price/momentum divergence detected	Prepare for potential reversal
↘️ BEAR DIV	Secondary	Price/momentum divergence detected	Prepare for potential reversal

🔑 Key Understanding: Signal strength is determined by multiple factors including momentum speed, wave metrics, market flow, and multi-timeframe alignment. The strongest signals occur when all factors align.

Multi-Timeframe Confirmation

TSA Pro can confirm signals using higher timeframe analysis:

✅ Aligned Signals

Current TF and HTF momentum same direction
Both timeframes above/below trend
High probability setup

⚠️ Conflicting Signals

Timeframes show opposite momentum
Suggests consolidation or reversal
Reduce position size or wait

💡 MTF Label: When enabled, you'll see a label showing "MTF: [Current TF] -> [Higher TF]" confirming which timeframes are being analyzed.

Divergence Detection

🐂 Bullish Divergence

Regular: Price makes lower low, momentum makes higher low

Hidden: Price makes higher low, momentum makes lower low

Action: Prepare for upward reversal

🐻 Bearish Divergence

Regular: Price makes higher high, momentum makes lower high

Hidden: Price makes lower high, momentum makes higher high

Action: Prepare for downward reversal

Professional Trading Strategies

Strategy 1: Momentum Breakout

Entry Conditions (Long):

Momentum crosses above zero line
Price above dynamic EMA
Higher timeframe shows "STRONG BUY" or rising momentum
Market flow ratio > 1.0 (if enabled)

Risk Management:

Signal Strength	Position Size	Stop Loss	Target
Strong + MTF Aligned	100%	Below recent swing low	2:1 or next resistance
Strong Only	75%	Below EMA	1.5:1 minimum
Moderate	50%	Fixed % below entry	1:1 minimum

Strategy 2: Extreme Reversal

⚠️ Important: This is a counter-trend strategy. Use with caution and smaller position sizes.

🔢 Extreme Count Rule: Track consecutive extreme readings. The probability of reversal increases dramatically after the 3rd extreme reading in the same direction. This is your primary timing tool for counter-trend entries.

Setup Requirements:

Overbought Reversal:
- Extreme ratio exceeds threshold
- Bearish divergence present
- Momentum flow ribbon turning down
- Higher timeframe not strongly bullish
Oversold Reversal:
- Extreme ratio exceeds threshold
- Bullish divergence present
- Momentum flow ribbon turning up
- Higher timeframe not strongly bearish

Strategy 3: Trend Following with ATR

Implementation:

Identify Trend: Use higher timeframe momentum direction
Entry on Pullback:
- Wait for momentum to pull back to zero line
- Enter when momentum turns back in trend direction
- Confirm with market flow > 1.0
Dynamic Stops:
- Use ATR multiplier for stop distance
- Trail stop using momentum peaks
- Exit on extreme readings in trend direction

💰 Position Sizing with ATR: When ATR normalization is enabled, use the current ATR value to size positions. Higher ATR = smaller position size to maintain consistent risk.

Parameter Optimization Guide

Core Settings Optimization

Parameter	Default	Range	Impact
Trend Sensitivity	5	1-100	Higher = smoother trends, more lag
Market Responsiveness	5.0	1.0-10.0	Higher = faster adaptation to changes
ATR Period	14	5-50	Lower = more responsive to recent volatility
ATR Multiplier	1.0	0.5-3.0	Higher = more sensitive to price movements

Market-Specific Settings

📈 Trending Markets

Sensitivity: 3-7
Responsiveness: 6-8
Enable MTF confirmation
Use trend confirmation
Market flow: Essential

📊 Ranging Markets

Sensitivity: 5-15
Responsiveness: 3-5
Focus on extremes
Divergence priority: High
Tighter extreme thresholds

⚡ Volatile Markets

ATR normalization: Required
ATR multiplier: 0.7-1.0
Higher extreme threshold
Longer statistics period
Reduced responsiveness

Visual Customization

Display Options:

Statistics Panel: Shows real-time metrics and performance data
Momentum Flow Ribbon: Visual representation of momentum layers
Divergence Alerts: Marks potential reversal points
Extreme Readings: Highlights overbought/oversold conditions

Color Schemes:

Customize colors for better visibility:

Strong Bullish: Dark Green (#006400)
Weak Bullish: Light Green (#90EE90)
Strong Bearish: Dark Red (#8B0000)
Weak Bearish: Light Red (#FFA07A)

Frequently Asked Questions

Q: What's the difference between regular and ATR-normalized mode?

A: Regular mode shows raw momentum based on price changes. ATR-normalized mode divides momentum by ATR, creating volatility-adjusted readings. This makes signals more consistent across different market conditions. Use ATR mode for volatile markets or when comparing different instruments.

Q: How do I interpret the momentum flow ribbon?

A: The ribbon shows three momentum EMAs (3, 5, and 8 periods) offset above the main histogram. When ribbons are:

Expanding upward: Strengthening bullish momentum
Converging: Momentum is slowing, potential reversal
Expanding downward: Strengthening bearish momentum
Flat: Consolidation or indecision

Q: Why are extreme levels adaptive?

A: When ATR normalization is enabled, extreme thresholds adjust based on volatility regime:

Low volatility: Thresholds reduced by 30% (more sensitive)
Normal volatility: Standard thresholds apply
High volatility: Thresholds increased by 30% (less sensitive)

This prevents too many signals in quiet markets and too few in volatile ones.

Q: How should I use multi-timeframe confirmation?

A: MTF confirmation helps filter out false signals:

Enable "Trend Confirmation" in settings
Set multiplier (default 4x means 15m chart uses 1H for confirmation)
Look for alignment between timeframes
Strong signals occur when both TFs agree
Be cautious when timeframes conflict

Q: What do the statistics show?

A: The statistics panel displays:

Bull/Bear Power: Average and peak momentum values
Market Bias: Ratio of bull to bear strength
Market Flow: Current volume relative to average
Volatility: Current regime and ATR value
Signal Status: Current trading recommendation
MTF Info: Timeframes being analyzed