Trend SeekerĀ®
Indicator Type: Overlay (Main Window)
Trend SeekerĀ® is a computerized trend analysis system, developed by Barchart.com. The system uses a combination of wave theory, market momentum and volatility in an attempt to find a general trend for a specific market. Trend SeekerĀ® attempts to cut losers early and let winners run.
A graphical interpretation of Trend SeekerĀ® can be viewed using Interactive Charts.
- When there is a single dot above the price, this is a resistance point and represents a bearish trend.
- When there is a single dot below the price, this is a support point and represents a bullish trend.
- When there are 2 dots, one above and one below the price, this represents a neutral or hold trend (these are the entry prices to make a new buy or sell trade).
- When a trend EXITS either a bullish or bearish trend, the trend is forced as a neutral trend for at least one day.
Interactive Charts color the dots for easier identification of the trend. Bearish trends (red dots above the price) identify the resistance level. Bullish trends (green dots below the price) identify the support level. In the BAC chart below, the price scale also shows the resistance at 32.09 with support at 31.57.
Sample Interactive Chart:
Parameters
- VelocityUpTrend - default = 3
- VelocityDownTrend - default = 3
- VelocitySideTrend - default = 3
These parameters are used in our intenal calculation to show when a Buy, Sell, or Hold signal stops out. The higher the velocity settings, the tighter the stops and the quicker entries for each of the 3 different types of trends. The lower the velocity settings, the looser the stops and the slower entries for each of the 3 different types of trends.
The legacy version of Trend SeekerĀ® showed a looser stop with long trends and a tighter stop with short trends. To replicate the legacy settings, change the VelocityUpTrend and VelocitySideTrend to "5", and the VelocityDownTrend to "2".
Notes: The study is calculated using delayed data, so when viewed on an intraday chart, you will only see Trend SeekerĀ® generated at 5 minute intervals, and on a delay. In addition, for Interactive charts: if viewing a streaming intraday chart, you will have to manually refresh the chart to pull new Trend SeekerĀ® data in. Trend SeekerĀ® will also not calculate on a chart that uses Extended Hours.