IBD Distribution Days Study for ThinkOrSwim

[gogoisgone]

@IsItPossible Now I get the idea.. and I uploaded the script as a custom script. Wondering if you could share your screenshot
1) Screenshot
2) settings
or the TOS Link?

Thanks in advance.

 

[UT2Pro1689]

@IsItPossible Now I get the idea.. and I uploaded the script as a custom script. Wondering if you could share your screenshot
1) Screenshot
2) settings
or the TOS Link?

Thanks in advance.

My 1st time to use the image service. Hope it pops and the extra descriptions give you some ideas.
Currently this indicator shows 6 days for SPX and 1 day for Nasdaq.

 

[gogoisgone]

I know custom scripts onto the top....but on the volume not sure how to do it...wondering if you can share your tos link as a shared item please...Sorry for the extra work....

 

[Praful005]

My 1st time to use the image service. Hope it pops and the extra descriptions give you some ideas.
Currently this indicator shows 6 days for SPX and 1 day for Nasdaq.

Can you please share the entire code for this image showing volumes and those lables ?

 

[UT2Pro1689]

@gogoisgone, @Praful005

Here're some info you need.

#
# SMO_MktVolumesDaily.ts
# For daily charts only.
# Nasdaq total volume: $TVOL/Q ;   NYSE total volume: $TVOL
# Distribution day count tracking by IBD:
# https://www.investors.com/how-to-invest/investors-corner/
# tracking-distribution-days-a-crucial-habit/
# Stalling daysFromDate tracking by IBD:
# https://www.investors.com/how-to-invest/investors-corner/
# can-slim-market-tops-stalling-distribution/

declare lower;
declare zerobase;

def length = 20;        # volume moving average lenth in days

input volumeSymbol = {default NYSE, NASDAQ, SPX};

def volCl;
def volHi;
def findSymbol;

# To make volume differences more visible, use a base volume number
# The subtracted volume number is then magnified to present a bigger difference
def volMin;    # base number for volume

switch (volumeSymbol) {

# It was found there may be erratic volume data on close values
# On 2/19/2020, NYSE volume close values were 0 on 2/18 & 2/12
case NYSE:
    volCl = if close("$TVOL") == 0 then high("$TVOL") else close("$TVOL");
    #volCl = close("$TVOL");
    volHi = high("$TVOL");
# use SPX volume change percentage to replace erratic NYSE volume   
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOLSPC") - close("$TVOLSPC")[1])/close("$TVOLSPC")[1]) else volCl;
    volMin = 40000;
case NASDAQ:
    volcl = if close("$TVOL/Q") == 0 then high("$TVOL/Q") else close("$TVOL/Q");
    #volCl = close("$TVOL/Q");
    volHi = high("$TVOL/Q");
# use SPX volume change percentage to replace erratic NASDAQ volume   
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOLSPC") - close("$TVOLSPC")[1])/close("$TVOLSPC")[1]) else volCl;   
    volMin = 30000;
case SPX:
    volcl = if close("$TVOLSPC") == 0 then high("$TVOLSPC") else close("$TVOLSPC");     
    #volCl = close("$TVOLSPC");
    volHi = high("$TVOLSPC");
# use NYSE volume change percentage to replace erratic SPX volume   
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOL") - close("$TVOL")[1])/close("$TVOL")[1]) else volCl;
    volMin = 10000;
#case Other:
#    findSymbol = close;    #No plots if volume() is used here!?
}


def cls = close;

def lastBar = HighestAll(if (IsNaN(cls), Double.NaN, BarNumber()));
def volumes = if IsNaN(findSymbol) and BarNumber() == lastBar then volumes[1] else findSymbol;

plot Vol = 3 * (volumes - volMin);
plot VolAvg = 3 * (Average(volumes, length) - volMin);

Vol.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
Vol.SetLineWeight(3);
Vol.DefineColor("Up", Color.UPTICK);
Vol.DefineColor("Down", Color.DOWNTICK);
Vol.AssignValueColor(if cls > cls[1] then Vol.color("Up")
                     else if cls < cls[1] then Vol.color("Down")
                     else GetColor(1));
VolAvg.SetDefaultColor(GetColor(8));

# Display useful texts starting at upper left corner
# End of Day volume change
def VolChangePercentDay = if (IsNaN(volumes[1]), 0,
                              100 * (volumes - volumes[1])/volumes[1]);

# InvalidDay was added since volume on 2019/11/29 (after Thanksgiving) was N/A.
addLabel( yes, if volChangePercentDay == 0 then "InvalidDay" else "" +
               "VolmChg="+ Concat("", round(VolChangePercentDay)) +
               "%", if VolChangePercentDay < 0 then
               Color.DARK_GRAY else if cls > cls[1] then Color.DARK_GREEN
               else Color.DARK_RED);

# Count distributionDay only if market price drops 0.2% or more
def downDay = cls <= (cls[1] * 0.998);

def volIncrease = volumes > volumes[1];

#
# After 25 sessions, a distribution day expires
# Use 25 bar numbers to represent 25 live sessions. GetDay or alike includes weekends.
#

def lastDays = if (BarNumber() > lastBar - 25) then 1 else 0;

# a distribution day can fall off the count if the index rises 6% or more,
# on an intraday basis, from its close on the day the higher-volume loss appears.
# Remove distribution days after prices increases 6% WHEN market is in uptrend.
# Need to fix:
# During market bottomed on 2-28-2020, stock price rose to 9.8% with market still in
# correction. The high volume selloff on 2-28 would still be counted as a distribution.
# The highest date should be after the distribution day

# Get proper high for future 25 days
def prHi = high;
def prLo = low;

def futureHigh = if isNaN(prHi[-25]) then futureHigh[1] else prHi[-25];
def prHighest = Highest(futureHigh, 25);
# Note: This condition disqualifies D-Days after large bear rally
# This is acceptable for now since D-Days in bear market are not really useful
def priceInRange = (cls * 1.06 >= prHighest);


def distributionDay = downDay and volIncrease and LastDays and priceInRange;
#def distributionDay = downDay and volIncrease and LastDays;

# Count valid distribution days in last 25 days
def distDayCount = sum(distributionDay, 25);


# A broad market correction makes the distribution day count irrelevent
# reset distribution count to 0
# Distribution day count should reset after 2nd confirmation day
# To do: automate the reset day when correction or follow-up day appears
# input distributionRstDay = 20191010;   a prior 2nd confirmation day
# input distributionRstDay = 20200402;   a prior 2nd confirmation day
input distributionRstDay = 20191010;

def newDistributionCycle = GetYYYYMMDD() > distributionRstDay;
# Need to use above variable to restart d-day count
def newDistDays = sum(distributionDay and newDistributionCycle, 25);

# Display bubble red is count > 5, yellow >3, else while
AddChartBubble(distributionDay and !newDistributionCycle, vol, concat("", distDayCount),
                if distDayCount < 3 then color.WHITE
                else if distDayCount < 5 then color.LIGHT_ORANGE
                else color.RED);

# Show D-Day reset line at the reset date input by user
# It appears at the left side of the volume bar
AddVerticalLine( if (GetYYYYMMDD() == distributionRstDay ) then yes
                 else no,
                "2ndCnfm", Color.GREEN, Curve.MEDIUM_DASH);


# to do: Comparison of preholiday data may be invalid.

#------------------------------------------------------------
# Stalling day counts
# 1. market has been rising and price is within 3% of 25 day high
# 2. Price making a high
#      current close >= prior 2 day close, or
#      current close >= prior day high
# 3. volume >= 95% of prior day volume
# 4. close in lower half of daily range
# 5. small gain within 0.4% for SPX & NASDAQ
# 6. The above IBD criteria disclosed in one article generates too many stalling days
#    Additional rules from IBD book are used to further reduce stalling counts
#    6.1 close up smaller than prior 2 days
#    6.2 low is lower than high of prior day (No unfilled gap-up)
#    6.3 there is at least one decent gain in prior 2 days
#    6.4 daily trading range should be similar to last 2 days
# 7. stalling counts are reduced due to time (25 days) and significantly upward
#    movement (6%) of the index
# Ex. 2019/11/12 was a stalling day on SPX, 2019/12/18 was stalling for Nasdaq

def priceIsHigh = cls >= cls[2] or cls >= prHi[1];
def priceLowHalf = cls < (prHi - prLo)/2 + prLo;
def priceGainSmall = cls - cls[1] > 0 and
                     ((cls - cls[1] < (cls[1] - cls[2])) or
                     ((cls - cls[1] < cls[2] - cls[3])));

# Added a 0.2% gap from prior day high to allow 2020/05/26 to count
# as a stalling day for NASDAQ
def priceGapFill = prLo < prHi[1] * 1.002;
def priceGainOk = (cls[1] - cls[2] > 0.002 * cls[2]) or
                   (cls[2] - cls[3] > 0.002 * cls[3]);
# price trading range is the high - low plus the gapup if any
def priceRange = if prLo > prHi[1] then prHi-prHi[1] else prHi -prLo;
def priceRangeBig = priceGainOk and priceRange > 0.8 * min(priceRange[1], priceRange[2]);

def stallDay = cls - cls[25] > 0 and
               cls >= 0.97 * Highest( prHi, 25) and
               volumes > 0.95 * volumes[1] and
               cls - cls[1] > 0 and
               cls - cls[1] < 1.004 * cls[1] and
               priceIsHigh and priceLowHalf and priceGainSmall and priceGapFill and
               priceRangeBig and lastDays;

# Count stalling days
def stallDayCount = sum(stallDay, 25);


# calculate new stalling days after the reset day (e.g. follow-up date)
def newStallDays = sum(StallDay and newDistributionCycle, 25);

# Display final distribution count (incl. stall days)
# red if >= 5, >3: yellow, else green
def totalDdays = distDayCount+stallDayCount;
def totalNdDays = newDistDays+newStallDays;

AddChartBubble(distributionDay and newDistributionCycle, vol,
                if volCl == 0 then concat("?", newDistDays) else concat("", newDistDays),
                if totalNdDays < 3 then color.WHITE
                else if totalNdDays < 5 then color.LIGHT_ORANGE
                else color.RED);

AddChartBubble(stallDay AND lastDays, vol,
                if volCl == 0 then "?S" + concat("", stallDayCount)
                              else "S" + concat("", stallDayCount),
                if totalNdDays < 3 then color.WHITE
                else if totalNdDays < 5 then color.LIGHT_ORANGE
                else color.RED);
AddChartBubble(volCl == 0 AND !stallDay AND !distributionDay, vol, "?", color.LIGHT_GRAY);

addLabel(totalDdays != totalNdDays, "AllDdays =" + concat("", totalDdays), Color.GRAY);

#-------------------------------------------------------------------------------------
# Follow-through signals (FTD) are more likely to fail if distribution days
# occur in the first few days of a new uptrend. This is one key red flag.
# Quantification in script is implemented with a concept of critical score (critScore):
#   critScore = 3 for the 1st 5 days after FTD
#   critScore = 2 on the 6th, critScore = 1 on 7th day, critScore = 0 after 7th day
#   Total Distribution days = critScore + regular D-day count
#   critScore is used only if there is at least one D-day in the 1st 5th day after FTD         
#-------------------------------------------------------------------------------------

def ftdBar = if GetYYYYMMDD() == distributionRstDay then barnumber() else 0;
def lastFtdBar = highestall(ftdBar);
def daysAfterFTD = lastBar - lastFtdBar;

def critScore = if daysAfterFTD <= 0 then 0 else
                if daysAfterFTD <= 5 then 3 else
                if daysAfterFTD <= 6 then 2 else
                if daysAfterFTD <= 7 then 1 else 0;

def totalNdDaysC = totalNdDays + if totalNdDays > 0 then critScore else 0;

# Actual distribution day count is shown but color depends on totalNdDaysC
addLabel(yes, "NewDdays =" + concat("",totalNdDays ),
         if totalNdDaysC <=2 then Color.Green
         else if totalNdDaysC <= 4 then Color.ORANGE
         else Color.RED);

# Add an indication of 1st rally day to start FTD count
# in a market correction period
# pink rally day is a day satisfying the following conditions:
# 1). Close above ½ of daily TRUE range and below prior day close
# 2). Low is the lowest during the market correction,
#     including future lows if available

# resolution of each 1st rally day is set to about 2 weeks
def rDayInterval = round(25/2, 0);

def futureLow = if isNaN(prLo[-rDayInterval]) then futureLow[1]
                else prLo[-rDayInterval];
def futureCls = if isNaN(cls[-rDayInterval]) then futureCls[1]
                else cls[-rDayInterval];

# market correction is currently defined as down 8% from top
def mktCr    = prLo <= highest(high, 25) * .92;
def prRng    = TrueRange(prHi, cls, prLo); #prHi - prLo;
def pinkRday = cls > (prLo + (prHi - prLo)/2) and cls < cls[1] and
               prLo <= lowest(prLo[1],rDayInterval) and
               prLo <= lowest(futureLow, rDayInterval);
def realRday = cls > cls[1] and
               cls <= lowest(futureCls, rDayInterval) and
               cls[1] <= lowest(cls[1], rDayInterval) and
               sum(pinkRday[1], rDayInterval) == 0;               
def RallyDay1 = (mktCr or mktCr[1]) and (pinkRday or realRday);

AddChartBubble(RallyDay1, vol, "R1", color.LIGHT_GREEN);

 

[Praful005]

@gogoisgone, @Praful005

Here're some info you need.

#
# SMO_MktVolumesDaily.ts
# For daily charts only.
# Nasdaq total volume: $TVOL/Q ;   NYSE total volume: $TVOL
# Distribution day count tracking by IBD:
# https://www.investors.com/how-to-invest/investors-corner/
# tracking-distribution-days-a-crucial-habit/
# Stalling daysFromDate tracking by IBD:
# https://www.investors.com/how-to-invest/investors-corner/
# can-slim-market-tops-stalling-distribution/

declare lower;
declare zerobase;

def length = 20;        # volume moving average lenth in days

input volumeSymbol = {default NYSE, NASDAQ, SPX};

def volCl;
def volHi;
def findSymbol;

# To make volume differences more visible, use a base volume number
# The subtracted volume number is then magnified to present a bigger difference
def volMin;    # base number for volume

switch (volumeSymbol) {

# It was found there may be erratic volume data on close values
# On 2/19/2020, NYSE volume close values were 0 on 2/18 & 2/12
case NYSE:
    volCl = if close("$TVOL") == 0 then high("$TVOL") else close("$TVOL");
    #volCl = close("$TVOL");
    volHi = high("$TVOL");
# use SPX volume change percentage to replace erratic NYSE volume  
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOLSPC") - close("$TVOLSPC")[1])/close("$TVOLSPC")[1]) else volCl;
    volMin = 40000;
case NASDAQ:
    volcl = if close("$TVOL/Q") == 0 then high("$TVOL/Q") else close("$TVOL/Q");
    #volCl = close("$TVOL/Q");
    volHi = high("$TVOL/Q");
# use SPX volume change percentage to replace erratic NASDAQ volume  
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOLSPC") - close("$TVOLSPC")[1])/close("$TVOLSPC")[1]) else volCl;  
    volMin = 30000;
case SPX:
    volcl = if close("$TVOLSPC") == 0 then high("$TVOLSPC") else close("$TVOLSPC");    
    #volCl = close("$TVOLSPC");
    volHi = high("$TVOLSPC");
# use NYSE volume change percentage to replace erratic SPX volume  
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOL") - close("$TVOL")[1])/close("$TVOL")[1]) else volCl;
    volMin = 10000;
#case Other:
#    findSymbol = close;    #No plots if volume() is used here!?
}


def cls = close;

def lastBar = HighestAll(if (IsNaN(cls), Double.NaN, BarNumber()));
def volumes = if IsNaN(findSymbol) and BarNumber() == lastBar then volumes[1] else findSymbol;

plot Vol = 3 * (volumes - volMin);
plot VolAvg = 3 * (Average(volumes, length) - volMin);

Vol.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
Vol.SetLineWeight(3);
Vol.DefineColor("Up", Color.UPTICK);
Vol.DefineColor("Down", Color.DOWNTICK);
Vol.AssignValueColor(if cls > cls[1] then Vol.color("Up")
                     else if cls < cls[1] then Vol.color("Down")
                     else GetColor(1));
VolAvg.SetDefaultColor(GetColor(8));

# Display useful texts starting at upper left corner
# End of Day volume change
def VolChangePercentDay = if (IsNaN(volumes[1]), 0,
                              100 * (volumes - volumes[1])/volumes[1]);

# InvalidDay was added since volume on 2019/11/29 (after Thanksgiving) was N/A.
addLabel( yes, if volChangePercentDay == 0 then "InvalidDay" else "" +
               "VolmChg="+ Concat("", round(VolChangePercentDay)) +
               "%", if VolChangePercentDay < 0 then
               Color.DARK_GRAY else if cls > cls[1] then Color.DARK_GREEN
               else Color.DARK_RED);

# Count distributionDay only if market price drops 0.2% or more
def downDay = cls <= (cls[1] * 0.998);

def volIncrease = volumes > volumes[1];

#
# After 25 sessions, a distribution day expires
# Use 25 bar numbers to represent 25 live sessions. GetDay or alike includes weekends.
#

def lastDays = if (BarNumber() > lastBar - 25) then 1 else 0;

# a distribution day can fall off the count if the index rises 6% or more,
# on an intraday basis, from its close on the day the higher-volume loss appears.
# Remove distribution days after prices increases 6% WHEN market is in uptrend.
# Need to fix:
# During market bottomed on 2-28-2020, stock price rose to 9.8% with market still in
# correction. The high volume selloff on 2-28 would still be counted as a distribution.
# The highest date should be after the distribution day

# Get proper high for future 25 days
def prHi = high;
def prLo = low;

def futureHigh = if isNaN(prHi[-25]) then futureHigh[1] else prHi[-25];
def prHighest = Highest(futureHigh, 25);
# Note: This condition disqualifies D-Days after large bear rally
# This is acceptable for now since D-Days in bear market are not really useful
def priceInRange = (cls * 1.06 >= prHighest);


def distributionDay = downDay and volIncrease and LastDays and priceInRange;
#def distributionDay = downDay and volIncrease and LastDays;

# Count valid distribution days in last 25 days
def distDayCount = sum(distributionDay, 25);


# A broad market correction makes the distribution day count irrelevent
# reset distribution count to 0
# Distribution day count should reset after 2nd confirmation day
# To do: automate the reset day when correction or follow-up day appears
# input distributionRstDay = 20191010;   a prior 2nd confirmation day
# input distributionRstDay = 20200402;   a prior 2nd confirmation day
input distributionRstDay = 20191010;

def newDistributionCycle = GetYYYYMMDD() > distributionRstDay;
# Need to use above variable to restart d-day count
def newDistDays = sum(distributionDay and newDistributionCycle, 25);

# Display bubble red is count > 5, yellow >3, else while
AddChartBubble(distributionDay and !newDistributionCycle, vol, concat("", distDayCount),
                if distDayCount < 3 then color.WHITE
                else if distDayCount < 5 then color.LIGHT_ORANGE
                else color.RED);

# Show D-Day reset line at the reset date input by user
# It appears at the left side of the volume bar
AddVerticalLine( if (GetYYYYMMDD() == distributionRstDay ) then yes
                 else no,
                "2ndCnfm", Color.GREEN, Curve.MEDIUM_DASH);


# to do: Comparison of preholiday data may be invalid.

#------------------------------------------------------------
# Stalling day counts
# 1. market has been rising and price is within 3% of 25 day high
# 2. Price making a high
#      current close >= prior 2 day close, or
#      current close >= prior day high
# 3. volume >= 95% of prior day volume
# 4. close in lower half of daily range
# 5. small gain within 0.4% for SPX & NASDAQ
# 6. The above IBD criteria disclosed in one article generates too many stalling days
#    Additional rules from IBD book are used to further reduce stalling counts
#    6.1 close up smaller than prior 2 days
#    6.2 low is lower than high of prior day (No unfilled gap-up)
#    6.3 there is at least one decent gain in prior 2 days
#    6.4 daily trading range should be similar to last 2 days
# 7. stalling counts are reduced due to time (25 days) and significantly upward
#    movement (6%) of the index
# Ex. 2019/11/12 was a stalling day on SPX, 2019/12/18 was stalling for Nasdaq

def priceIsHigh = cls >= cls[2] or cls >= prHi[1];
def priceLowHalf = cls < (prHi - prLo)/2 + prLo;
def priceGainSmall = cls - cls[1] > 0 and
                     ((cls - cls[1] < (cls[1] - cls[2])) or
                     ((cls - cls[1] < cls[2] - cls[3])));

# Added a 0.2% gap from prior day high to allow 2020/05/26 to count
# as a stalling day for NASDAQ
def priceGapFill = prLo < prHi[1] * 1.002;
def priceGainOk = (cls[1] - cls[2] > 0.002 * cls[2]) or
                   (cls[2] - cls[3] > 0.002 * cls[3]);
# price trading range is the high - low plus the gapup if any
def priceRange = if prLo > prHi[1] then prHi-prHi[1] else prHi -prLo;
def priceRangeBig = priceGainOk and priceRange > 0.8 * min(priceRange[1], priceRange[2]);

def stallDay = cls - cls[25] > 0 and
               cls >= 0.97 * Highest( prHi, 25) and
               volumes > 0.95 * volumes[1] and
               cls - cls[1] > 0 and
               cls - cls[1] < 1.004 * cls[1] and
               priceIsHigh and priceLowHalf and priceGainSmall and priceGapFill and
               priceRangeBig and lastDays;

# Count stalling days
def stallDayCount = sum(stallDay, 25);


# calculate new stalling days after the reset day (e.g. follow-up date)
def newStallDays = sum(StallDay and newDistributionCycle, 25);

# Display final distribution count (incl. stall days)
# red if >= 5, >3: yellow, else green
def totalDdays = distDayCount+stallDayCount;
def totalNdDays = newDistDays+newStallDays;

AddChartBubble(distributionDay and newDistributionCycle, vol,
                if volCl == 0 then concat("?", newDistDays) else concat("", newDistDays),
                if totalNdDays < 3 then color.WHITE
                else if totalNdDays < 5 then color.LIGHT_ORANGE
                else color.RED);

AddChartBubble(stallDay AND lastDays, vol,
                if volCl == 0 then "?S" + concat("", stallDayCount)
                              else "S" + concat("", stallDayCount),
                if totalNdDays < 3 then color.WHITE
                else if totalNdDays < 5 then color.LIGHT_ORANGE
                else color.RED);
AddChartBubble(volCl == 0 AND !stallDay AND !distributionDay, vol, "?", color.LIGHT_GRAY);

addLabel(totalDdays != totalNdDays, "AllDdays =" + concat("", totalDdays), Color.GRAY);

#-------------------------------------------------------------------------------------
# Follow-through signals (FTD) are more likely to fail if distribution days
# occur in the first few days of a new uptrend. This is one key red flag.
# Quantification in script is implemented with a concept of critical score (critScore):
#   critScore = 3 for the 1st 5 days after FTD
#   critScore = 2 on the 6th, critScore = 1 on 7th day, critScore = 0 after 7th day
#   Total Distribution days = critScore + regular D-day count
#   critScore is used only if there is at least one D-day in the 1st 5th day after FTD        
#-------------------------------------------------------------------------------------

def ftdBar = if GetYYYYMMDD() == distributionRstDay then barnumber() else 0;
def lastFtdBar = highestall(ftdBar);
def daysAfterFTD = lastBar - lastFtdBar;

def critScore = if daysAfterFTD <= 0 then 0 else
                if daysAfterFTD <= 5 then 3 else
                if daysAfterFTD <= 6 then 2 else
                if daysAfterFTD <= 7 then 1 else 0;

def totalNdDaysC = totalNdDays + if totalNdDays > 0 then critScore else 0;

# Actual distribution day count is shown but color depends on totalNdDaysC
addLabel(yes, "NewDdays =" + concat("",totalNdDays ),
         if totalNdDaysC <=2 then Color.Green
         else if totalNdDaysC <= 4 then Color.ORANGE
         else Color.RED);

# Add an indication of 1st rally day to start FTD count
# in a market correction period
# pink rally day is a day satisfying the following conditions:
# 1). Close above ½ of daily TRUE range and below prior day close
# 2). Low is the lowest during the market correction,
#     including future lows if available

# resolution of each 1st rally day is set to about 2 weeks
def rDayInterval = round(25/2, 0);

def futureLow = if isNaN(prLo[-rDayInterval]) then futureLow[1]
                else prLo[-rDayInterval];
def futureCls = if isNaN(cls[-rDayInterval]) then futureCls[1]
                else cls[-rDayInterval];

# market correction is currently defined as down 8% from top
def mktCr    = prLo <= highest(high, 25) * .92;
def prRng    = TrueRange(prHi, cls, prLo); #prHi - prLo;
def pinkRday = cls > (prLo + (prHi - prLo)/2) and cls < cls[1] and
               prLo <= lowest(prLo[1],rDayInterval) and
               prLo <= lowest(futureLow, rDayInterval);
def realRday = cls > cls[1] and
               cls <= lowest(futureCls, rDayInterval) and
               cls[1] <= lowest(cls[1], rDayInterval) and
               sum(pinkRday[1], rDayInterval) == 0;              
def RallyDay1 = (mktCr or mktCr[1]) and (pinkRday or realRday);

AddChartBubble(RallyDay1, vol, "R1", color.LIGHT_GREEN);

Thank you very much @UT2Pro1689 . much appreciated. I will check this evening and let you know.

 

[gogoisgone]

Thank you very much @UT2Pro1689 . much appreciated. I will check this evening and let you know.

Thank you !...works like a charm...

 

[gogoisgone]

@gogoisgone, @Praful005

Here're some info you need.

#
# SMO_MktVolumesDaily.ts
# For daily charts only.
# Nasdaq total volume: $TVOL/Q ;   NYSE total volume: $TVOL
# Distribution day count tracking by IBD:
# https://www.investors.com/how-to-invest/investors-corner/
# tracking-distribution-days-a-crucial-habit/
# Stalling daysFromDate tracking by IBD:
# https://www.investors.com/how-to-invest/investors-corner/
# can-slim-market-tops-stalling-distribution/

declare lower;
declare zerobase;

def length = 20;        # volume moving average lenth in days

input volumeSymbol = {default NYSE, NASDAQ, SPX};

def volCl;
def volHi;
def findSymbol;

# To make volume differences more visible, use a base volume number
# The subtracted volume number is then magnified to present a bigger difference
def volMin;    # base number for volume

switch (volumeSymbol) {

# It was found there may be erratic volume data on close values
# On 2/19/2020, NYSE volume close values were 0 on 2/18 & 2/12
case NYSE:
    volCl = if close("$TVOL") == 0 then high("$TVOL") else close("$TVOL");
    #volCl = close("$TVOL");
    volHi = high("$TVOL");
# use SPX volume change percentage to replace erratic NYSE volume  
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOLSPC") - close("$TVOLSPC")[1])/close("$TVOLSPC")[1]) else volCl;
    volMin = 40000;
case NASDAQ:
    volcl = if close("$TVOL/Q") == 0 then high("$TVOL/Q") else close("$TVOL/Q");
    #volCl = close("$TVOL/Q");
    volHi = high("$TVOL/Q");
# use SPX volume change percentage to replace erratic NASDAQ volume  
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOLSPC") - close("$TVOLSPC")[1])/close("$TVOLSPC")[1]) else volCl;  
    volMin = 30000;
case SPX:
    volcl = if close("$TVOLSPC") == 0 then high("$TVOLSPC") else close("$TVOLSPC");    
    #volCl = close("$TVOLSPC");
    volHi = high("$TVOLSPC");
# use NYSE volume change percentage to replace erratic SPX volume  
    findSymbol = if volCl == 0 then volCl[1] * (1+ (close("$TVOL") - close("$TVOL")[1])/close("$TVOL")[1]) else volCl;
    volMin = 10000;
#case Other:
#    findSymbol = close;    #No plots if volume() is used here!?
}


def cls = close;

def lastBar = HighestAll(if (IsNaN(cls), Double.NaN, BarNumber()));
def volumes = if IsNaN(findSymbol) and BarNumber() == lastBar then volumes[1] else findSymbol;

plot Vol = 3 * (volumes - volMin);
plot VolAvg = 3 * (Average(volumes, length) - volMin);

Vol.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
Vol.SetLineWeight(3);
Vol.DefineColor("Up", Color.UPTICK);
Vol.DefineColor("Down", Color.DOWNTICK);
Vol.AssignValueColor(if cls > cls[1] then Vol.color("Up")
                     else if cls < cls[1] then Vol.color("Down")
                     else GetColor(1));
VolAvg.SetDefaultColor(GetColor(8));

# Display useful texts starting at upper left corner
# End of Day volume change
def VolChangePercentDay = if (IsNaN(volumes[1]), 0,
                              100 * (volumes - volumes[1])/volumes[1]);

# InvalidDay was added since volume on 2019/11/29 (after Thanksgiving) was N/A.
addLabel( yes, if volChangePercentDay == 0 then "InvalidDay" else "" +
               "VolmChg="+ Concat("", round(VolChangePercentDay)) +
               "%", if VolChangePercentDay < 0 then
               Color.DARK_GRAY else if cls > cls[1] then Color.DARK_GREEN
               else Color.DARK_RED);

# Count distributionDay only if market price drops 0.2% or more
def downDay = cls <= (cls[1] * 0.998);

def volIncrease = volumes > volumes[1];

#
# After 25 sessions, a distribution day expires
# Use 25 bar numbers to represent 25 live sessions. GetDay or alike includes weekends.
#

def lastDays = if (BarNumber() > lastBar - 25) then 1 else 0;

# a distribution day can fall off the count if the index rises 6% or more,
# on an intraday basis, from its close on the day the higher-volume loss appears.
# Remove distribution days after prices increases 6% WHEN market is in uptrend.
# Need to fix:
# During market bottomed on 2-28-2020, stock price rose to 9.8% with market still in
# correction. The high volume selloff on 2-28 would still be counted as a distribution.
# The highest date should be after the distribution day

# Get proper high for future 25 days
def prHi = high;
def prLo = low;

def futureHigh = if isNaN(prHi[-25]) then futureHigh[1] else prHi[-25];
def prHighest = Highest(futureHigh, 25);
# Note: This condition disqualifies D-Days after large bear rally
# This is acceptable for now since D-Days in bear market are not really useful
def priceInRange = (cls * 1.06 >= prHighest);


def distributionDay = downDay and volIncrease and LastDays and priceInRange;
#def distributionDay = downDay and volIncrease and LastDays;

# Count valid distribution days in last 25 days
def distDayCount = sum(distributionDay, 25);


# A broad market correction makes the distribution day count irrelevent
# reset distribution count to 0
# Distribution day count should reset after 2nd confirmation day
# To do: automate the reset day when correction or follow-up day appears
# input distributionRstDay = 20191010;   a prior 2nd confirmation day
# input distributionRstDay = 20200402;   a prior 2nd confirmation day
input distributionRstDay = 20191010;

def newDistributionCycle = GetYYYYMMDD() > distributionRstDay;
# Need to use above variable to restart d-day count
def newDistDays = sum(distributionDay and newDistributionCycle, 25);

# Display bubble red is count > 5, yellow >3, else while
AddChartBubble(distributionDay and !newDistributionCycle, vol, concat("", distDayCount),
                if distDayCount < 3 then color.WHITE
                else if distDayCount < 5 then color.LIGHT_ORANGE
                else color.RED);

# Show D-Day reset line at the reset date input by user
# It appears at the left side of the volume bar
AddVerticalLine( if (GetYYYYMMDD() == distributionRstDay ) then yes
                 else no,
                "2ndCnfm", Color.GREEN, Curve.MEDIUM_DASH);


# to do: Comparison of preholiday data may be invalid.

#------------------------------------------------------------
# Stalling day counts
# 1. market has been rising and price is within 3% of 25 day high
# 2. Price making a high
#      current close >= prior 2 day close, or
#      current close >= prior day high
# 3. volume >= 95% of prior day volume
# 4. close in lower half of daily range
# 5. small gain within 0.4% for SPX & NASDAQ
# 6. The above IBD criteria disclosed in one article generates too many stalling days
#    Additional rules from IBD book are used to further reduce stalling counts
#    6.1 close up smaller than prior 2 days
#    6.2 low is lower than high of prior day (No unfilled gap-up)
#    6.3 there is at least one decent gain in prior 2 days
#    6.4 daily trading range should be similar to last 2 days
# 7. stalling counts are reduced due to time (25 days) and significantly upward
#    movement (6%) of the index
# Ex. 2019/11/12 was a stalling day on SPX, 2019/12/18 was stalling for Nasdaq

def priceIsHigh = cls >= cls[2] or cls >= prHi[1];
def priceLowHalf = cls < (prHi - prLo)/2 + prLo;
def priceGainSmall = cls - cls[1] > 0 and
                     ((cls - cls[1] < (cls[1] - cls[2])) or
                     ((cls - cls[1] < cls[2] - cls[3])));

# Added a 0.2% gap from prior day high to allow 2020/05/26 to count
# as a stalling day for NASDAQ
def priceGapFill = prLo < prHi[1] * 1.002;
def priceGainOk = (cls[1] - cls[2] > 0.002 * cls[2]) or
                   (cls[2] - cls[3] > 0.002 * cls[3]);
# price trading range is the high - low plus the gapup if any
def priceRange = if prLo > prHi[1] then prHi-prHi[1] else prHi -prLo;
def priceRangeBig = priceGainOk and priceRange > 0.8 * min(priceRange[1], priceRange[2]);

def stallDay = cls - cls[25] > 0 and
               cls >= 0.97 * Highest( prHi, 25) and
               volumes > 0.95 * volumes[1] and
               cls - cls[1] > 0 and
               cls - cls[1] < 1.004 * cls[1] and
               priceIsHigh and priceLowHalf and priceGainSmall and priceGapFill and
               priceRangeBig and lastDays;

# Count stalling days
def stallDayCount = sum(stallDay, 25);


# calculate new stalling days after the reset day (e.g. follow-up date)
def newStallDays = sum(StallDay and newDistributionCycle, 25);

# Display final distribution count (incl. stall days)
# red if >= 5, >3: yellow, else green
def totalDdays = distDayCount+stallDayCount;
def totalNdDays = newDistDays+newStallDays;

AddChartBubble(distributionDay and newDistributionCycle, vol,
                if volCl == 0 then concat("?", newDistDays) else concat("", newDistDays),
                if totalNdDays < 3 then color.WHITE
                else if totalNdDays < 5 then color.LIGHT_ORANGE
                else color.RED);

AddChartBubble(stallDay AND lastDays, vol,
                if volCl == 0 then "?S" + concat("", stallDayCount)
                              else "S" + concat("", stallDayCount),
                if totalNdDays < 3 then color.WHITE
                else if totalNdDays < 5 then color.LIGHT_ORANGE
                else color.RED);
AddChartBubble(volCl == 0 AND !stallDay AND !distributionDay, vol, "?", color.LIGHT_GRAY);

addLabel(totalDdays != totalNdDays, "AllDdays =" + concat("", totalDdays), Color.GRAY);

#-------------------------------------------------------------------------------------
# Follow-through signals (FTD) are more likely to fail if distribution days
# occur in the first few days of a new uptrend. This is one key red flag.
# Quantification in script is implemented with a concept of critical score (critScore):
#   critScore = 3 for the 1st 5 days after FTD
#   critScore = 2 on the 6th, critScore = 1 on 7th day, critScore = 0 after 7th day
#   Total Distribution days = critScore + regular D-day count
#   critScore is used only if there is at least one D-day in the 1st 5th day after FTD        
#-------------------------------------------------------------------------------------

def ftdBar = if GetYYYYMMDD() == distributionRstDay then barnumber() else 0;
def lastFtdBar = highestall(ftdBar);
def daysAfterFTD = lastBar - lastFtdBar;

def critScore = if daysAfterFTD <= 0 then 0 else
                if daysAfterFTD <= 5 then 3 else
                if daysAfterFTD <= 6 then 2 else
                if daysAfterFTD <= 7 then 1 else 0;

def totalNdDaysC = totalNdDays + if totalNdDays > 0 then critScore else 0;

# Actual distribution day count is shown but color depends on totalNdDaysC
addLabel(yes, "NewDdays =" + concat("",totalNdDays ),
         if totalNdDaysC <=2 then Color.Green
         else if totalNdDaysC <= 4 then Color.ORANGE
         else Color.RED);

# Add an indication of 1st rally day to start FTD count
# in a market correction period
# pink rally day is a day satisfying the following conditions:
# 1). Close above ½ of daily TRUE range and below prior day close
# 2). Low is the lowest during the market correction,
#     including future lows if available

# resolution of each 1st rally day is set to about 2 weeks
def rDayInterval = round(25/2, 0);

def futureLow = if isNaN(prLo[-rDayInterval]) then futureLow[1]
                else prLo[-rDayInterval];
def futureCls = if isNaN(cls[-rDayInterval]) then futureCls[1]
                else cls[-rDayInterval];

# market correction is currently defined as down 8% from top
def mktCr    = prLo <= highest(high, 25) * .92;
def prRng    = TrueRange(prHi, cls, prLo); #prHi - prLo;
def pinkRday = cls > (prLo + (prHi - prLo)/2) and cls < cls[1] and
               prLo <= lowest(prLo[1],rDayInterval) and
               prLo <= lowest(futureLow, rDayInterval);
def realRday = cls > cls[1] and
               cls <= lowest(futureCls, rDayInterval) and
               cls[1] <= lowest(cls[1], rDayInterval) and
               sum(pinkRday[1], rDayInterval) == 0;              
def RallyDay1 = (mktCr or mktCr[1]) and (pinkRday or realRday);

AddChartBubble(RallyDay1, vol, "R1", color.LIGHT_GREEN);

Thank yu!

 

[Praful005]

Thank yu!

@UT2Pro1689
Looking really good. Thank you
I have noticed it is working on individual stocks as well.... so it is possible to scan for 'R1' volume bar for stocks ?

 

[UT2Pro1689]

Glad it worked for you folks.
@Praful005: I've not thought of using it for individual stocks or scan before. I don't know if it's possible or not.

Speaking of R1, the 1st rally day, I got a R1 signal on NASDAQ yesterday. IBD mentioned it looked like a vertical violation yesterday at the morning, but it ended up at top half of the price spread. To make the script minic IBD better and to reduce the intraday fluctuation, I decided to make a minor change to the R1 rule: The market correction is defined as the prior day low corrected from 25 day high for 8% or more.

# market correction is currently defined as down 8% from top
def mktCr    = prLo[1] <= highest(high, 25) * .92;

With this minor change on using prLo[1] , the R1 signal on yesterday for Nasdaq would disappear.

I also realized that this code will need to be refined so that it will work in a bear market that is forming a bottom. In this case, the 8% drop may not be required.

 

[IsItPossible]

Glad it worked for you folks.
@Praful005: I've not thought of using it for individual stocks or scan before. I don't know if it's possible or not.

Speaking of R1, the 1st rally day, I got a R1 signal on NASDAQ yesterday. IBD mentioned it looked like a vertical violation yesterday at the morning, but it ended up at top half of the price spread. To make the script minic IBD better and to reduce the intraday fluctuation, I decided to make a minor change to the R1 rule: The market correction is defined as the prior day low corrected from 25 day high for 8% or more.

# market correction is currently defined as down 8% from top
def mktCr    = prLo[1] <= highest(high, 25) * .92;

With this minor change on using prLo[1] , the R1 signal on yesterday for Nasdaq would disappear.

I also realized that this code will need to be refined so that it will work in a bear market that is forming a bottom. In this case, the 8% drop may not be required.

Thanks, appreciate the update.

 

[Praful005]

Glad it worked for you folks.
@Praful005: I've not thought of using it for individual stocks or scan before. I don't know if it's possible or not.

Speaking of R1, the 1st rally day, I got a R1 signal on NASDAQ yesterday. IBD mentioned it looked like a vertical violation yesterday at the morning, but it ended up at top half of the price spread. To make the script minic IBD better and to reduce the intraday fluctuation, I decided to make a minor change to the R1 rule: The market correction is defined as the prior day low corrected from 25 day high for 8% or more.

# market correction is currently defined as down 8% from top
def mktCr    = prLo[1] <= highest(high, 25) * .92;

With this minor change on using prLo[1] , the R1 signal on yesterday for Nasdaq would disappear.

I also realized that this code will need to be refined so that it will work in a bear market that is forming a bottom. In this case, the 8% drop may not be required.

@UT2Pro1689 Thank you for the clarification and reply.
I am not a programmer but just a suggestion about scanning...if you can create plot (arrows) on upper chart for R1 bar then it might be possible to scan.

 

[Praful005]

Glad it worked for you folks.
@Praful005: I've not thought of using it for individual stocks or scan before. I don't know if it's possible or not.

Speaking of R1, the 1st rally day, I got a R1 signal on NASDAQ yesterday. IBD mentioned it looked like a vertical violation yesterday at the morning, but it ended up at top half of the price spread. To make the script minic IBD better and to reduce the intraday fluctuation, I decided to make a minor change to the R1 rule: The market correction is defined as the prior day low corrected from 25 day high for 8% or more.

# market correction is currently defined as down 8% from top
def mktCr    = prLo[1] <= highest(high, 25) * .92;

With this minor change on using prLo[1] , the R1 signal on yesterday for Nasdaq would disappear.

I also realized that this code will need to be refined so that it will work in a bear market that is forming a bottom. In this case, the 8% drop may not be required.

Just a quick question @UT2Pro1689
Rallyday or any other days mentioned on the volume bars .... does any of it repaint ?

 

[UT2Pro1689]

Just a quick question @UT2Pro1689
Rallyday or any other days mentioned on the volume bars .... does any of it repaint ?

I don't know what you mean by "repaint". But the signals are updated daily according to the IBD rules.

 

[rad14733]

I don't know what you mean by "repaint". But the signals are updated daily according to the IBD rules.

@UT2Pro1689 See the following...What does repaint mean?

 

[Praful005]

I don't know what you mean by "repaint". But the signals are updated daily according to the IBD rules.

@UT2Pro1689 I have noticed signals disappear when next day price makes lower lows for RallyDays... I think it is because of it is looking for future lows as well in the code. So if it makes lower lows then it will disappear.

 

[UT2Pro1689]

The 1st rally day signal in the script is intended to show the final and valid signal only, among many attempted rallies during a market correction. So any failed attempted R1 day will disappear from the chart. The code has to be modified if the failed R1 day needs to be shown.

On the other hand, I fixed a bug which caused today as the R1 day on Nasdaq chart. The actual R1 day should be March 5.

Here's the updated section of the code. I kept the old code in comments for references.

# market correction is currently defined as down 8% from top
# need to be refined so that it will work in a bear market that is forming a bottom.
# In this case, the 8% drop may not be required.
def mktCr    = prLo[1] <= highest(high, 25) * .92;
def prRng    = TrueRange(prHi, cls, prLo); #prHi - prLo;
#def pinkRday = cls > (prLo + (prHi - prLo)/2) and cls < cls[1] and
#               prLo <= lowest(prLo[1],rDayInterval) and
#               prLo <= lowest(futureLow, rDayInterval);

def pinkRday = cls > (prLo + prRng/2) and cls < cls[1] and
               prLo <= lowest(prLo[1],rDayInterval) and
               prLo <= lowest(futureLow, rDayInterval);

#def realRday = cls > cls[1] and
#               cls <= lowest(futureCls, rDayInterval) and
#               cls[1] <= lowest(cls[1], rDayInterval) and
#               sum(pinkRday[1], rDayInterval) == 0;             

# The real rally day has its close higher than prior close
# A rally day is invalidated if the low is broken in subsequent days
def realRday = cls > cls[1] and
               prLo <= lowest(futureLow, rDayInterval) and
               sum(realRday[1], rDayInterval) == 0 and
               sum(pinkRday[1], rDayInterval) == 0;

The updated chart should look like the following image.

 

[Zlotko]

The 1st rally day signal in the script is intended to show the final and valid signal only, among many attempted rallies during a market correction. So any failed attempted R1 day will disappear from the chart. The code has to be modified if the failed R1 day needs to be shown.

On the other hand, I fixed a bug which caused today as the R1 day on Nasdaq chart. The actual R1 day should be March 5.

Here's the updated section of the code. I kept the old code in comments for references.

# market correction is currently defined as down 8% from top
# need to be refined so that it will work in a bear market that is forming a bottom.
# In this case, the 8% drop may not be required.
def mktCr    = prLo[1] <= highest(high, 25) * .92;
def prRng    = TrueRange(prHi, cls, prLo); #prHi - prLo;
#def pinkRday = cls > (prLo + (prHi - prLo)/2) and cls < cls[1] and
#               prLo <= lowest(prLo[1],rDayInterval) and
#               prLo <= lowest(futureLow, rDayInterval);

def pinkRday = cls > (prLo + prRng/2) and cls < cls[1] and
               prLo <= lowest(prLo[1],rDayInterval) and
               prLo <= lowest(futureLow, rDayInterval);

#def realRday = cls > cls[1] and
#               cls <= lowest(futureCls, rDayInterval) and
#               cls[1] <= lowest(cls[1], rDayInterval) and
#               sum(pinkRday[1], rDayInterval) == 0;            

# The real rally day has its close higher than prior close
# A rally day is invalidated if the low is broken in subsequent days
def realRday = cls > cls[1] and
               prLo <= lowest(futureLow, rDayInterval) and
               sum(realRday[1], rDayInterval) == 0 and
               sum(pinkRday[1], rDayInterval) == 0;

The updated chart should look like the following image.

Do I add the updated section of the code to the old code in comments or replace it?

 

[UT2Pro1689]

Do I add the updated section of the code to the old code in comments or replace it?

Use the updated code to replace the old code.
If you get it done properly, you should get the following chart. I also added a few descriptions on how to use and understand the chart signals.

 

[Zlotko]

Use the updated code to replace the old code.
If you get it done properly, you should get the following chart. I also added a few descriptions on how to use and understand the chart signals.

Where is the updated code I only see "the updated SECTION of the code"