OPEN-SOURCE SCRIPT

Fourier Spectrometer of Price w/ Extrapolation Forecast [Loxx]

Fourier Spectrometer of Price w/ Extrapolation Forecast [Loxx] is a forecasting indicator that forecasts the sinusoidal frequency of input price. This method uses Linear Regression with a Fast Fourier Transform function for the forecast and is different from previous forecasting methods I've posted. Dotted lines are the forecast frequencies. You can change the UI colors and line widths. This comes with 8 frequencies out of the box. Instead of drawing sinusoidal manually on your charts, you can use this instead. This will render better results than eyeballing the Sine Wave that folks use for trading. this is the real math that automates that process.

Each signal line can be shown as a linear superposition of periodic (sinusoidal) components with different periods (frequencies) and amplitudes. Roughly, the indicator shows those components. It strongly depends on the probing window and changes (recalculates) after each tick; e.g., you can see the set of frequencies showing whether the signal is fast or slow-changing, etc. Sometimes only a small number of leading / strongest components (e.g., 3) can extrapolate the signal quite well.

Related Indicators

Fourier Extrapolator of 'Caterpillar' SSA of Price [Loxx]

Fourier Extrapolator of 'Caterpillar' SSA of Price [Loxx]

Real-Fast Fourier Transform of Price w/ Linear Regression [Loxx]

Fourier Extrapolator of Price w/ Projection Forecast [Loxx]

Itakura-Saito Autoregressive Extrapolation of Price [Loxx]

Helme-Nikias Weighted Burg AR-SE Extra. of Price [Loxx]

***The period parameter doesn't correspond to how many bars back the drawing begins. Lines re rendered according to skipping mechanism due to TradingView limitations.

Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.

Want to use this script on a chart?

loxx

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