Laplace Momentum Percentile ║ BullVision

🔬 Overview

Laplace Momentum Percentile ║ BullVision is a custom-built trend analysis tool that applies Laplace-inspired smoothing to price action and maps the result to a historical percentile scale. This provides a contextual view of trend intensity, with optional signal refinement using a Kalman filter.

This indicator is designed for traders and analysts seeking a normalized, scale-independent perspective on market behavior. It does not attempt to predict price but instead helps interpret the relative strength or weakness of recent movements.

⚙️ Key Concepts

📉 Laplace-Based Smoothing

• The core signal is built using a Laplace-style weighted average, applying an exponential decay to price values over a specified length. This emphasizes recent movements while still accounting for historical context.
  

🎯 Percentile Mapping

• Rather than displaying the raw output, the filtered signal is converted into a percentile rank based on its position within a historical lookback window. This helps normalize interpretation across different assets and timeframes.
  

🧠 Optional Kalman Filter

• For users seeking additional smoothing, a Kalman filter is included. This statistical method updates signal estimates dynamically, helping reduce short-term fluctuations without introducing significant lag.
  

🔧 User Settings

🔁 Transform Parameters

• Transform Parameter (s): Controls the decay rate for Laplace weighting.
  
• Calculation Length: Sets how many candles are used for smoothing.
  

📊 Percentile Settings

• Lookback Period: Defines how far back to calculate the historical percentile ranking.
  

🧠 Kalman Filter Controls

• Enable Kalman Filter: Optional toggle.
  
• Process Noise / Measurement Noise: Adjust the filter’s responsiveness and tolerance to volatility.
  

🎨 Visual Settings

• Show Raw Signal: Optionally display the pre-smoothed percentile value.
  
• Thresholds: Customize upper and lower trend zone boundaries.
  

📈 Visual Output

• Main Line: Smoothed percentile rank, color-coded based on strength.
  
• Raw Line (Optional): The unsmoothed percentile value for comparison.
  
• Trend Zones: Background shading highlights strong upward or downward regimes.
  
• Live Label: Displays current percentile value and trend classification.
  

🧩 Trend Classification Logic

The indicator segments percentile values into five zones:

• Above 80: Strong upward trend
  
• 50–80: Mild upward trend
  
• 20–50: Neutral zone
  
• 0–20: Mild downward trend
  
• Below 0: Strong downward trend
  

🔍 Use Cases

This tool is intended as a visual and contextual aid for identifying trend regimes, assessing historical momentum strength, or supporting broader confluence-based analysis. It can be used in combination with other tools or frameworks at the discretion of the trader.

⚠️ Important Notes

• This script does not provide buy or sell signals.
  
• It is intended for educational and analytical purposes only.
  
• It should be used as part of a broader decision-making process.
  
• Past signal behavior should not be interpreted as indicative of future results.