Ultimate Strength Index For ThinkOrSwim

[xoxoJNN]

Author's notes:

• The USI is a modified version of Wilder's original Relative Strength Index (RSI) that incorporates Ehlers' UltimateSmoother lowpass filter to produce an output with significantly reduced lag.
• John Ehlers reformulated the RSI to substantially reduce lag by applying his UltimateSmoother filter to upward movements (strength up - SU) and downward movements (strength down - SD) in the time series, replacing the standard process of smoothing changes with rolling moving averages (RMAs).
• Ehlers also modified the RSI formula to produce an index that ranges from -1 to +1 instead of 0 to 100.
• As a result, the USI indicates bullish conditions when its value moves above 0 and bearish conditions when it falls below 0.

Original Tradingview code
https://www.tradingview.com/script/NwmP4Iau-TASC-2024-11-Ultimate-Strength-Index/

Must scroll down to the next post for the new ThinkOrSwim code.

 

[samer800]

I was doing some further reading recommended by thinkorswim on the “Technical Analysis of Stocks & Commodities” magazine website and came across their “Trader's Tips” section where they provide source code implementations for various platforms focusing on the month's featured article. They used to include converted codes for thinkorswim, but they haven't done so for a while, possibly due to the Schwab transition. Anyway, long story short, I found their TradingView's page and saw a lot of interesting scripts. One in particular was the Ultimate Strength Index (USI) indicator, introduced by John Ehlers in his article titled “Ultimate Strength Index (USI)” from the November 2024 edition of TASC's Traders' Tips. If it's not too much trouble, I would really appreciate it if anyone could help convert this indicator. Thank you in advance for your time.

AUTHOR'S NOTES:

• The USI is a modified version of Wilder's original Relative Strength Index (RSI) that incorporates Ehlers' UltimateSmoother lowpass filter to produce an output with significantly reduced lag.
• John Ehlers reformulated the RSI to substantially reduce lag by applying his UltimateSmoother filter to upward movements (strength up - SU) and downward movements (strength down - SD) in the time series, replacing the standard process of smoothing changes with rolling moving averages (RMAs).
• Ehlers also modified the RSI formula to produce an index that ranges from -1 to +1 instead of 0 to 100.
• As a result, the USI indicates bullish conditions when its value moves above 0 and bearish conditions when it falls below 0.

TRADINGVIEW:

https://www.tradingview.com/script/NwmP4Iau-TASC-2024-11-Ultimate-Strength-Index/

check the below:

#// Indicator for TOS
#// © PineCodersTASC
#//  TASC Issue: November 2024
#//     Article: Less Lag, More Data
#//              Ultimate Strength Index (USI)
#//  Article By: John Elhers
#//    Language: TradingView's Pine Script™ v5
#// Provided By: PineCoders, for tradingview.com
#title ='TASC 2024.11 Ultimate Strength Index' stitle = 'USI'
# Converted by Sam4Cok@Samer800    - 11/2024
Declare lower;

input timeframe = AggregationPeriod.MIN;
input usiLength = 28; #, 'USI Length:', minval = 1)
input Source = FundamentalType.CLOSE; #, "Source")

def na = Double.NaN;
def last = isNaN(close);
def cap = GetAggregationPeriod();
def tf = Max(cap, timeframe);
def src = Fundamental(Source, Period = tf);
#// @function The UltimateSmoother is a filter created
Script UltimateSmoother {
input src = close;
input period = 14;
    def pi = Double.Pi;
    def a1 = exp(-1.414 * pi / period);
    def c2 = 2.0 * a1 * cos(1.414 * pi / period);
    def c3 = -a1 * a1;
    def c1 = (1.0 + c2 - c3) / 4.0;
    def us = CompoundValue(1, (1.0 - c1) * src +
              (2.0 * c1 - c2) * src[1] -
              (c1 + c3) * src[2] +
              c2 * us[1] + c3 * us[2], src);
    plot out = us;
}
#// @function Ultimate Strength Index is a new version of
Script UltimateStrengthIndex {
input src = close;
input l1 = 14;
input l2 = 4;
    def eps = TickSize();
    def diff = src - src[1];
    def SU = if diff > 0.0 then  diff else 0.0;
    def SD = if diff < 0.0 then -diff else 0.0;
    def avgSU = Average(SU, l2);
    def avgSD = Average(SD, l2);
    def USU = UltimateSmoother(avgSU, l1);
    def USD = UltimateSmoother(avgSD, l1);
    def USI = if (USU + USD) != 0 and USU > eps and USD > eps then (USU - USD) / (USU + USD) else USI[1];
    plot out = USI;
}

#// --- Calculations ---
def usi = UltimateStrengthIndex(src, usiLength);

def col = if isNaN(usi) then 0 else if usi > 1 then 1 else if usi < -1 then -1 else usi;
#-- plot
plot usiLine   = if last then na else usi; #, 'USI', #377eb8)
plot midLine   = if last then na else 0; #, 'Zero Line', color.silver)


usiLine.SetDefaultColor(Color.CYAN);
midLine.SetDefaultColor(Color.DARK_GRAY);

AddCloud(usiLine, midLine, Color.DARK_GREEN, Color.DARK_RED);
AddCloud(if col>= 0.4 then usiLine else na, 0.4, Color.DARK_GREEN);
AddCloud(if col<=-0.4 then -0.4 else na, usiLine, Color.DARK_RED);

#-- END of CODE

 

[xoxoJNN]

check the below:

#// Indicator for TOS
#// © PineCodersTASC
#//  TASC Issue: November 2024
#//     Article: Less Lag, More Data
#//              Ultimate Strength Index (USI)
#//  Article By: John Elhers
#//    Language: TradingView's Pine Script™ v5
#// Provided By: PineCoders, for tradingview.com
#title ='TASC 2024.11 Ultimate Strength Index' stitle = 'USI'
# Converted by Sam4Cok@Samer800    - 11/2024
Declare lower;

input timeframe = AggregationPeriod.MIN;
input usiLength = 28; #, 'USI Length:', minval = 1)
input Source = FundamentalType.CLOSE; #, "Source")

def na = Double.NaN;
def last = isNaN(close);
def cap = GetAggregationPeriod();
def tf = Max(cap, timeframe);
def src = Fundamental(Source, Period = tf);
#// @function The UltimateSmoother is a filter created
Script UltimateSmoother {
input src = close;
input period = 14;
    def pi = Double.Pi;
    def a1 = exp(-1.414 * pi / period);
    def c2 = 2.0 * a1 * cos(1.414 * pi / period);
    def c3 = -a1 * a1;
    def c1 = (1.0 + c2 - c3) / 4.0;
    def us = CompoundValue(1, (1.0 - c1) * src +
              (2.0 * c1 - c2) * src[1] -
              (c1 + c3) * src[2] +
              c2 * us[1] + c3 * us[2], src);
    plot out = us;
}
#// @function Ultimate Strength Index is a new version of
Script UltimateStrengthIndex {
input src = close;
input l1 = 14;
input l2 = 4;
    def eps = TickSize();
    def diff = src - src[1];
    def SU = if diff > 0.0 then  diff else 0.0;
    def SD = if diff < 0.0 then -diff else 0.0;
    def avgSU = Average(SU, l2);
    def avgSD = Average(SD, l2);
    def USU = UltimateSmoother(avgSU, l1);
    def USD = UltimateSmoother(avgSD, l1);
    def USI = if (USU + USD) != 0 and USU > eps and USD > eps then (USU - USD) / (USU + USD) else USI[1];
    plot out = USI;
}

#// --- Calculations ---
def usi = UltimateStrengthIndex(src, usiLength);

def col = if isNaN(usi) then 0 else if usi > 1 then 1 else if usi < -1 then -1 else usi;
#-- plot
plot usiLine   = if last then na else usi; #, 'USI', #377eb8)
plot midLine   = if last then na else 0; #, 'Zero Line', color.silver)


usiLine.SetDefaultColor(Color.CYAN);
midLine.SetDefaultColor(Color.DARK_GRAY);

AddCloud(usiLine, midLine, Color.DARK_GREEN, Color.DARK_RED);
AddCloud(if col>= 0.4 then usiLine else na, 0.4, Color.DARK_GREEN);
AddCloud(if col<=-0.4 then -0.4 else na, usiLine, Color.DARK_RED);

#-- END of CODE

Thank you so much @samer800! You are awesome!

 

[Zlotko]

samer800​

Could the USI line change color over 0 red to green?