OPEN-SOURCE SCRIPT
Sharpe Ratio Indicator (180)
Meant to be used on the 1D chart and on BTC.
The Sharpe Ratio Indicator (180 days) is a tool for evaluating risk-adjusted returns, designed for investors who want to assess whether BTC is overvalued, undervalued, or in a neutral state. It plots the Sharpe Ratio over the past 180 days, color-coded to indicate valuation states:
- Red: Overvalued (Sharpe Ratio > 5).
- Green: Undervalued (Sharpe Ratio < -1).
-Blue: Critically Undervalued (Sharpe Ratio <-3).
- Yellow: Neutral (between -1 and 5).
Note that you can change those values yourself in the settings of the indicator.
Strengths:
- Real-time feedback on risk-adjusted returns helps in making timely investment decisions.
- Color-coded signals (red, green, blue and yellow) provide an intuitive, visual indication of the asset's valuation.
- Flexible: Easily adjustable to different subjective valuation levels and risk-free rates.
All hail to Professor Adam and The Real World Community!
The Sharpe Ratio Indicator (180 days) is a tool for evaluating risk-adjusted returns, designed for investors who want to assess whether BTC is overvalued, undervalued, or in a neutral state. It plots the Sharpe Ratio over the past 180 days, color-coded to indicate valuation states:
- Red: Overvalued (Sharpe Ratio > 5).
- Green: Undervalued (Sharpe Ratio < -1).
-Blue: Critically Undervalued (Sharpe Ratio <-3).
- Yellow: Neutral (between -1 and 5).
Note that you can change those values yourself in the settings of the indicator.
Strengths:
- Real-time feedback on risk-adjusted returns helps in making timely investment decisions.
- Color-coded signals (red, green, blue and yellow) provide an intuitive, visual indication of the asset's valuation.
- Flexible: Easily adjustable to different subjective valuation levels and risk-free rates.
All hail to Professor Adam and The Real World Community!
Script de código aberto
Em verdadeiro espírito do TradingView, o criador deste script o tornou de código aberto, para que os traders possam revisar e verificar sua funcionalidade. Parabéns ao autor! Embora você possa usá-lo gratuitamente, lembre-se de que a republicação do código está sujeita às nossas Regras da Casa.
Aviso legal
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.
Script de código aberto
Em verdadeiro espírito do TradingView, o criador deste script o tornou de código aberto, para que os traders possam revisar e verificar sua funcionalidade. Parabéns ao autor! Embora você possa usá-lo gratuitamente, lembre-se de que a republicação do código está sujeita às nossas Regras da Casa.
Aviso legal
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.