Absolute Strength Index Oscillator [LazyBear] — Indicator by LazyBear

lazybear custom indicators momentumoscillator

This oscillator is derived from Absolute Strength Index, originally developed by Tudor Marcelin (Art Invest).

I made it an oscillator mainly to make it easy to identify the divergences and price-flows. There is not much documentation available online for Absolute Strength Index afaik, lets hope Mr.Tudor comes across this and provides us a detailed writeup :)

Quick testing showed lots of good signals (with minimal lag). Let me know what you guys find in your testing.

Indicator options support coloring bars based on the oscillator/signal values, and a histogram-only mode.

List of my public indicators:
List of my app-store indicators:

List of my free indicators: bit.ly/1LQaPK8
List of my indicators at Appstore: blog.tradingview.com/?p=970

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 a publication is governed by House Rules. You can favorite it to use it on a chart.

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.

Want to use this script on a chart?

//
// @author LazyBear 
// 
// List of my public indicators: http://bit.ly/1LQaPK8 
// List of my app-store indicators: http://blog.tradingview.com/?p=970 
//
study("Absolute Strength Index Oscillator [LazyBear]", shorttitle="ABSSIO_LB")
sh=input(false, title="Show as Histo")
ebc=input(false, title="Enable Bar Colors")
lma=input(21, title="EMA Length")
ld=input(34, title="Signal Length")
osl=10 
calc_abssio( ) =>
    A=iff(close>close[1], nz(A[1])+(close/close[1])-1,nz(A[1]))
    M=iff(close==close[1], nz(M[1])+1.0/osl,nz(M[1]))
    D=iff(close<close[1], nz(D[1])+(close[1]/close)-1,nz(D[1]))
    iff (D+M/2==0, 1, 1-1/(1+(A+M/2)/(D+M/2)))

abssi=calc_abssio()
abssio = (abssi - ema(abssi,lma))
alp=2.0/(ld+1)
mt=alp*abssio+(1-alp)*nz(mt[1])
ut=alp*mt+(1-alp)*nz(ut[1])
s=((2-alp)*mt-ut)/(1-alp)
d=abssio-s
hline(0, title="ZeroLine")
plot(not sh ? abssio : na, color=(abssio > 0 ? abssio >= s ? green : orange : abssio <=s ? red :orange), title="ABSSIO", style=histogram, linewidth=2)
plot(not sh ? abssio : na, color=black, style=line,title="ABSSIO_Points", linewidth=2)
plot(not sh ? s : na, color=gray, title="MA")
plot(sh ? d : na, style=columns, color=d>0?green:red)
barcolor(ebc?(abssio > 0 ? abssio >= s ? lime : orange : abssio <=s ? red :orange):na)