Tidan
Member
To use Ehlers Bull Bear Power (also known as the Elder Ray Index) in day trading, primarily focus on the relationship between the "Bull Power" and "Bear Power" histograms, comparing them to the price action and a 13-period Exponential Moving Average (EMA) to identify potential trend reversals and confirm existing trends, looking for divergences between price and the indicators as key signals; when Bull Power is significantly higher than Bear Power, it indicates bullish pressure, while the opposite suggests bearish pressure.
I combined the Ray Bull Power and Ray Bear Power as I trade both long and short near equally.
https://usethinkscript.com/threads/renko-bar-based-trading-system-for-thinkorswim.3252/
Perhaps someone may find this useful.
Set up your chart:
Plot the price chart with a 13-period EMA.
Add the Bull Bear Power script below.
Identify potential entry points:
Bullish entry: Look for a situation where price is near a support level, the EMA is flat or slightly upwards, and Bull Power is rising while Bear Power is falling.
Bearish entry: Search for a scenario where price is near a resistance level, the EMA is flat or slightly downwards, and Bear Power is rising while Bull Power is falling.
I combined the Ray Bull Power and Ray Bear Power as I trade both long and short near equally.
https://usethinkscript.com/threads/renko-bar-based-trading-system-for-thinkorswim.3252/
Perhaps someone may find this useful.

Code:
declare lower;
# Ray component
input bullLength = 13;
input bearLength = 13;
plot zeroline = 0;
def Bull = high - ExpAverage(close, bullLength);
def Bear = low - ExpAverage(close, bearLength);
def bullOver = if bull > zeroline then bull else double.nan;
def bullUnder = if bull < zeroline then bull else double.nan;
def bearOver = if bear > zeroline then bear else double.nan;
def bearUnder = if bear < zeroline then bear else double.nan;
plot minorBullPower = if bearOver then bearOver else double.nan;
plot BullPower = if bullOver then bullOver else double.nan;
plot minorBearPower = if bullUnder then bullUnder else double.nan;
plot BearPower = if bearUnder then bearUnder else double.nan;
minorBullPower.assignValueColor(Color.dark_green);
minorBullPower.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
minorBullPower.SetLineWeight(3);
minorBullPower.hideTitle();
minorBearPower.assignValueColor(color.dark_red);
minorBearPower.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
minorBearPower.SetLineWeight(3);
minorBearPower.hideTitle();
BullPower.assignValueColor(Color.green);
BullPower.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
BullPower.SetLineWeight(3);
BearPower.assignValueColor(Color.red);
BearPower.SetPaintingStrategy(PaintingStrategy.HISTOGRAM);
BearPower.SetLineWeight(3);
ZeroLine.SetDefaultColor(GetColor(3));
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