PROTECTED SOURCE SCRIPT
[TTI] Ned Davis 3 day Price Thrust Indicator
The NedDavis 3 Day Price Thrust Indicator
HISTORY AND CREDITS–––––––––––––––––––––––––––––––––––––––––––––––––––––––
The indicator is inspired by studies from Ned Davis' NDR Institutional Service. I have shared before the backtest of this indicator, and now have coded it for TradingView so that you can have it on your charts.
Link to idea here:
https://www.tradingview.com/chart/SPX/48NNrxwK-Ned-Davis-3-Day-Price-Thrust/
WHAT IT DOES––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
Thrusts occur when the S&P 500 rises at least 1.5% for one day, at least 1.15% for a second day, and at least 1.5% on the third day. The record since 1970 is perfect one year later. However, the prior 18 cases, ending in 1938, only show 11 out of 18 profitable one year later.
HOW TO USE IT–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
I use the indicator as a gauge tool, in other words it is a piece of the puzzle to justify bullish or bearish trades. I put this type of analysis in my secondary tools that give me additional confidence for market direction and aggressiveness in my trading
HISTORY AND CREDITS–––––––––––––––––––––––––––––––––––––––––––––––––––––––
The indicator is inspired by studies from Ned Davis' NDR Institutional Service. I have shared before the backtest of this indicator, and now have coded it for TradingView so that you can have it on your charts.
Link to idea here:
https://www.tradingview.com/chart/SPX/48NNrxwK-Ned-Davis-3-Day-Price-Thrust/
WHAT IT DOES––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
Thrusts occur when the S&P 500 rises at least 1.5% for one day, at least 1.15% for a second day, and at least 1.5% on the third day. The record since 1970 is perfect one year later. However, the prior 18 cases, ending in 1938, only show 11 out of 18 profitable one year later.
HOW TO USE IT–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
I use the indicator as a gauge tool, in other words it is a piece of the puzzle to justify bullish or bearish trades. I put this type of analysis in my secondary tools that give me additional confidence for market direction and aggressiveness in my trading
👉 I provide FREE EDUCATION + COURSES here: tintintrading.substack.com/
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👉 I share my TRADING everyday here: discord.gg/gTmcqWyWWe
👉 I sell premium indicators here: tradingviewindicators.net
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.