PINE LIBRARY
Demand Index
Library "DemandIndex"
di()
The Demand Index is a complex technical indicator that uses price and volume to assess buying and selling pressure affecting a security.
James Sibbet established six rules for using Demand Index when the technical indicator was originally published. While traders may use variations of these rules, they serve as a great baseline for using the indicator in practice.
The six rules are as follows:
A divergence between the Demand Index and price is a bearish indication.
Prices often rally to new highs following an extreme peak in the Demand Index.
Higher prices with a low Demand Index often indicate a top in the market.
The Demand Index moving through the zero line suggests a change in trend.
The Demand Index remaining near the zero line indicates weak price movement that won’t last long.
A long-term divergence between the Demand Index and price predicts a major top or bottom.
Traders should use the Demand Index in conjunction with other technical indicators and chart patterns to maximize their odds of success.
di()
The Demand Index is a complex technical indicator that uses price and volume to assess buying and selling pressure affecting a security.
James Sibbet established six rules for using Demand Index when the technical indicator was originally published. While traders may use variations of these rules, they serve as a great baseline for using the indicator in practice.
The six rules are as follows:
A divergence between the Demand Index and price is a bearish indication.
Prices often rally to new highs following an extreme peak in the Demand Index.
Higher prices with a low Demand Index often indicate a top in the market.
The Demand Index moving through the zero line suggests a change in trend.
The Demand Index remaining near the zero line indicates weak price movement that won’t last long.
A long-term divergence between the Demand Index and price predicts a major top or bottom.
Traders should use the Demand Index in conjunction with other technical indicators and chart patterns to maximize their odds of success.
Biblioteca do Pine
In true TradingView spirit, the author has published this Pine code as an open-source library so that other Pine programmers from our community can reuse it. Cheers to the author! You may use this library privately or in other open-source publications, but reuse of this code in publications is governed by House Rules.
Aviso legal
As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.
Biblioteca do Pine
In true TradingView spirit, the author has published this Pine code as an open-source library so that other Pine programmers from our community can reuse it. Cheers to the author! You may use this library privately or in other open-source publications, but reuse of this code in publications is governed by House Rules.
Aviso legal
As informações e publicações não devem ser e não constituem conselhos ou recomendações financeiras, de investimento, de negociação ou de qualquer outro tipo, fornecidas ou endossadas pela TradingView. Leia mais em Termos de uso.