This indicator was created by LazyBear over at TradingView. It helps to identify the current trend and spotting potential reversal. The ElliotWave Oscillator can also keep you on the right side of the trade without exiting prematurely.
- Higher values during third waves' up
- Lower but still Positive values during the first and fifth waves up
- Negative values during the biggest corrections or downtrend impulse waves.
# ElliotWave Oscillator # Assembled by BenTen at useThinkScript.com # Converted from https://www.tradingview.com/script/uculwCTj-Indicator-ElliotWave-Oscillator-EWO/ declare lower; def s2 = expAverage(close, 5) - expAverage(close, 35); plot diff = s2; Diff.SetDefaultColor(GetColor(5)); Diff.SetPaintingStrategy(PaintingStrategy.HISTOGRAM); Diff.SetLineWeight(3); Diff.DefineColor("Positive and Up", Color.GREEN); Diff.DefineColor("Negative and Down", Color.RED); Diff.AssignValueColor(if s2 <= 0 then Diff.color("Negative and Down") else Diff.color("Positive and Up"));