Customer Support : 020-61923200, [email protected] | Call and Trade : 020-61923220
Concept: Definedge
When we plot US and LS indicators, two lines appear on the chart.
1 – Upper shadow line
2 – Lower shadow line
On the chart, the upper shadow and lower shadow lines show the percentage of upper shadow and lower shadow of the sessions.
A higher upper shadow indicates a higher supply, and a higher lower shadow indicates a higher demand.
Lower shadow lines (green) above upper shadow lines (red) indicate more demand, thus indicating a bullish trend.
There is more supply below the lower shadow line (green) as compared to the upper shadow line (red), indicating a bearish trend.
The indicator table value in TradePoint & RZone also provides you with a list of all values of this indicator for any group of stocks. This will allow you to compare the readings of this indicator across different stocks.
This indicator is also available in the System Builder of RZone & TradePoint for all charting methods. Using the system builder, you can develop various strategies based on the different conditions already present in this indicator. Additionally, it can be used with other indicators or price patterns to develop effective trading strategies. For any group of stocks and market segments, you can scan and backtest stocks based on those strategies.
The indicator is applicable to all types of charting. Calculated based on the number of columns on P&F charts, bricks on Renko charts, lines on Line-break charts, candles on Heikin ashi charts, and lines on Kagi charts. While the formula and reading of the indicators remain the same, they become more dynamic on these charts.