Overview:The Two-Pole Oscillator is an advanced smoothing oscillator designed to provide traders with precise market signals by leveraging deviation-based calculations combined with a unique two-pole filtering technique. It offers clear visual representation and actionable signals for smart trading decisions.
Example:![Two-Pole Oscillator [BigBeluga] in TradingView - Pine Script Indicators_topic=4596](https://www.forex.zone/dlattach/topic=4596.0;attach=79527;image "Two-Pole Oscillator [BigBeluga] in TradingView - Pine Script Indicators_topic=4596")
Features:- Two-Pole Filtering: Smooths out the main oscillator signal to reduce noise, providing a cleaner and more reliable view of market momentum and trend strength.
- Deviation-Based Oscillator: Utilizes price deviations from the mean to generate dynamic signals, making it ideal for detecting overbought and oversold conditions.
- Signal Gradient Strength: Signals on the main oscillator line feature gradient coloring based on their proximity to the 0 level(Closer to 0: More transparent, indicating weaker signals. Closer to 1 or -1: Less transparent, highlighting stronger signals.)
- Level-Based Signal Validation: Parallel levels are plotted on the chart for each signal(If a level is crossed by price, the signal is invalidated, marked by an "X" at the invalidation point.)
- Invalidation Levels: Serve as potential stop-loss or trade-reversal zones, enabling traders to make more informed and disciplined trading decisions.
- Dynamic Chart Plotting: Signals are plotted directly on the chart with corresponding levels, providing a comprehensive visual representation for easy interpretation.
- Trend Continuation
How It Works:- The oscillator calculates price deviation from a mean value and applies two-pole filtering to smooth the resulting signal.
- Gradient-colored signals reflect their strength, with transparency indicating proximity to the 0 level on the oscillator scale.
- Buy and sell signals are generated based on crossovers and crossunders of the oscillator line with a signal line.
- If a level is crossed, the corresponding signal is marked with a "X" plotted on the chart at the crossover point.
Availability:Linkback: https://www.forex.zone/tradingview-pine-script-indicators/41/two-pole-oscillator-bigbeluga/4596/
