Trend detection index - indicator for MetaTrader 5
Theory :
Based on the "Are You in A Trend" article by M.H.Pee :
The trend detection index (TDI) is used to detect when a trend has begun and when it has come to an end. The TDI can be used as a stand-alone indicator or combined with others; it will perform well in detecting the beginning of trends. However, this does not mean its signals are totally accurate. Protective stops as well as trailing stops† must be incorporated to produce a complete mechanical system. These stops are required to protect against large losses when the indicator generates a losing trade. The T DI is robust; it can trade a diverse portfolio of markets profitably over many years, using the same parameters throughout.
In this version we are adding smoothing option prior to using prices in the calculation. The lag added is small, hence the smoothing can help in filtering out some false signals
Usage :
You can use the color change as signal
Download link :Trend detection index
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