Market Internals Dashboard (Time-Based Adaptive)

Market Internals Dashboard (Time-Based Adaptive)
⚠️ IMPORTANT DISCLAIMER
This indicator is for CONFIRMATION purposes only and should NEVER be used as a standalone trading signal.

✅ Always test thoroughly in paper trading first
✅ Use as ONE confluence factor within your complete trading model
✅ Combine with price action, support/resistance, and your strategy rules
✅ Never enter trades based solely on this indicator
❌ Past performance does not guarantee future results

You are responsible for your own trading decisions and risk management.

📊 WHAT THIS INDICATOR DOES
This comprehensive Market Internals Dashboard monitors real-time NYSE and NASDAQ market breadth indicators to help traders identify:

Market Bias - Is the overall market bullish, bearish, or neutral?
Market Strength - How strong is the current move?
Divergences - Are internals confirming price action or warning of reversal?
Chop Zones - When to avoid trading due to choppy conditions
Extreme Levels - Overbought/oversold conditions for potential fades
Sector Rotation - Is money flowing to Value (NYSE) or Tech (NASDAQ)?

Key Market Internals Tracked:
NYSE Internals:

TICK - Net advancing vs declining stocks
ADD - Advance/Decline Line
VVOLD - Volume difference (up vol - down vol)
Volume Ratio - Up volume / Down volume
Cumulative TICK - Session momentum

NASDAQ Internals:

TICKQ - NASDAQ tick indicator
ADDQ - NASDAQ Advance/Decline
VOLDQ - NASDAQ volume difference
NASDAQ Volume Ratio
Cumulative TICKQ

Additional Features:

VIX - Volatility index for risk sentiment
Volume Pulse - Institutional volume detection
TICK Delta - Momentum acceleration/deceleration
Adaptive Extreme Levels - Dynamic overbought/oversold zones
Fade Detection - Mean reversion opportunities



🎯 HOW THIS HELPS YOUR TRADING
1. Confirmation of Bias

If you're looking for longs, check if NYSE/NASDAQ show bullish alignment
Strong confluence when both markets agree with your directional bias
Avoid counter-trend trades when internals strongly oppose your setup

2. Timing Entries

Wait for internals alignment before entering
Use extreme levels for fade opportunities (mean reversion)
TICK Delta shows acceleration - enter on momentum confirmation

3. Risk Management

CHOP DETECTION warns when conditions are unfavorable
Reduce position size or stay flat during "DANGER ZONE" readings
Exit trades early if internals flip against your position

4. Divergence Alerts

When VOLD rises but price falls = potential bullish reversal
When VOLD falls but price rises = potential bearish reversal
Early warning system before price confirms the reversal

5. Session Context

Cumulative TICK shows session-wide bias
"Strong Bull Session" = favor longs, be selective with shorts
"Strong Bear Session" = favor shorts, be selective with longs


⚙️ SETTINGS GUIDE
📊 Dashboard Display
Dashboard Position - Choose where the dashboard appears (Top Right recommended)
Text Size - Adjust for screen resolution (Normal recommended)
Compact Mode - Shows only Overall Status + Scores (useful for small screens)
Color Settings - Customize background colors for different states:

Bullish/Bearish - Clear directional signals
Neutral - No clear bias
Chop/Warning - Avoid trading
No Data - Outside trading hours


💎 Signal Label
Show Signal Label - Diamond marker on chart when important signals trigger
The label's tooltip shows:

Aligned Bullish/Bearish
Strong market moves
Divergences
Extreme levels
Fade opportunities


📈 Market Internals Sources
Data Timeframe - ⚠️ CRITICAL SETTING

'1' minute = MAXIMUM ACCURACY (recommended for live trading)
'5' minute = Lower accuracy, saves memory
'15' minute = Lowest accuracy

💡 For real-time trading, ALWAYS use '1' minute!
RTH Only (9:30-16:00 EST) - Filters data to Regular Trading Hours only

Recommended: ON (internals are only meaningful during RTH)

Show NYSE/NASDAQ Groups - Enable/disable entire sections
Individual Indicators - Toggle specific internals on/off:

TICK - Most reactive, shows immediate sentiment
ADD - Confirms breadth, slower than TICK
VVOLD - Shows institutional money flow
Vol Ratio - Relative volume strength
VOLD Trend - Compares VOLD direction vs price direction
Vol Ratio Trend - Compares Vol Ratio vs price


⚙️ Thresholds
TICK/ADD Thresholds - Standard levels for bullish/bearish signals

NYSE TICK: 500 (conservative), 300 (aggressive)
NYSE ADD: 500 (conservative), 300 (aggressive)
NASDAQ TICK: 400 (conservative), 250 (aggressive)
NASDAQ ADD: 400 (conservative), 250 (aggressive)

VOLD Thresholds - Only for display color coding, not scoring

⚙️ Adaptive Extreme Levels
Use Adaptive Extreme Levels - 🔥 KEY FEATURE

ON = Dynamic thresholds based on recent volatility (RECOMMENDED)
OFF = Fixed extreme levels

Range Lookback (minutes) - Time window for calculating extremes
⚠️ IMPORTANT: Effective lookback depends on chart timeframe!

1min chart: max ~40min effective
5min chart: max ~200min effective
15min+ chart: full range available ✅

Recommended:

60min = Quick adaptation to changing volatility
120min = Balanced
180min = Stable (requires 5min+ chart)

Early Session Period - First X minutes after open use reduced lookback

30min = recommended (first half hour)
Prevents false extremes when range is still building

Early Session Multiplier - Reduces lookback during early session

0.50 = 50% of normal lookback (recommended)
0.25 = Very conservative

Extreme % from High/Low - How far from range extremes to trigger

0.90 = 90% of range (conservative)
0.80 = 80% of range (aggressive)


⚙️ Volume Ratio
Vol Ratio Bullish Threshold - e.g., 1.5 = up volume is 1.5× down volume

1.5 = balanced (recommended)
2.0 = more selective

Vol Ratio Extreme Threshold - For extreme signals

2.5 = very strong imbalance (recommended)


⚙️ VOLD Trend
VOLD Trend Period - Bars back for trend comparison

3 = recent trend (recommended for scalping)
5 = broader trend (swing trading)

VOLD Trend Weight - Importance in scoring

1.0 = equal to other indicators (recommended)


⚙️ Vol Ratio Trend
Same as VOLD Trend but for Volume Ratio

📊 Volume Pulse
Volume Pulse Lookback - Rolling average window

30min = balanced (recommended)
15min = sensitive to volume spikes
60min = stable, longer-term context

Shows when volume is:

🔵 Institutional (2.0×+ average)
High Volume (1.3×+ average)
Normal (0.7-1.3× average)
⚠️ Low Volume (<0.7× average)


📊 Cumulative TICK
Tracks session-wide momentum by summing all TICK readings.
Strong Bullish/Bearish - Thresholds for session bias

+3000 / -3000 = strong session bias (recommended)

Cumulative TICK Trend - Lookback - Bars on YOUR chart timeframe

On 15min chart: 3 bars = 45min trend
On 5min chart: 3 bars = 15min trend

Threshold - Minimum change for trend detection

200 = balanced (recommended)
500 = only strong trends


🔄 Fade Logic
Enable Fade Detection - Mean reversion after extremes
When TICK hits extreme (e.g., +1200) then reverses by X points, signals potential fade.
Fade Reversal Amount - How much TICK must reverse

200 = moderate fade (recommended)
300 = stronger confirmation needed

Require ADD Confluence - Fade signal needs ADD confirmation

ON = safer (recommended)
OFF = more signals, less reliable


⚙️ Hysteresis
Use Hysteresis - Prevents signal flickering

ON = recommended (smoother signals)

Hysteresis % - How much value must change to flip state

10% = balanced (recommended)


⚠️ Chop Detection
Warns when market conditions are unfavorable for trading.
TICK Range for Chop - If TICK stays within ±X for lookback period

400 = identifies tight consolidation (recommended)

ADD Threshold for Chop - If ADD is weak

300 = balanced (recommended)

Lookback Period - Bars to analyze

30 = recent conditions (recommended)

Max Score Difference for Chop - If bull/bear scores are similar

40% = identifies indecision (recommended)

Lunch Time Warning - 11:00-13:30 EST

ON = recommended (lunch chop is real!)

Chop Score Interpretation:

0-40% = 🟢 Tradeable
40-70% = 🟡 Choppy (be careful)
70-100% = 🔴 DANGER (avoid trading)


🎯 Scoring
Weights - Importance of each indicator in final score:

TICK Weight: 1.5 (most reactive)
ADD Weight: 1.5 (breadth confirmation)
Vol Ratio Weight: 1.0 (volume strength)
VOLD Trend Weight: 1.0 (trend confirmation)
Vol Ratio Trend Weight: 1.0 (trend confirmation)
Cumulative TICK Trend Weight: 1.5 (session momentum - very important!)

Strong Signal Threshold - Minimum % for "strong" signal

70% = recommended
80% = more selective


🔄 Alignment & Divergence
Min Score Difference for BIAS - How clear the bias must be

30% = recommended
50% = very clear bias required

Threshold for ROTATION Warning - When one market opposes the other

40% = balanced (recommended)

Rotation Types:

ROTATION TO VALUE = NYSE↑ NASDAQ↓ (buy financials/industrials)
ROTATION TO TECH = NASDAQ↑ NYSE↓ (buy tech stocks)


🔔 Alerts
Configure alerts for various conditions:

Aligned Bullish/Bearish (both markets agree)
Rotation Detected (sector rotation)
Strong Signals (70%+ score)
Chop/Danger (avoid trading)
Extreme Levels (overbought/oversold)
Divergences (early reversal warnings)
Fade Signals (mean reversion)


🎓 USAGE EXAMPLES
Example 1: Scalping ES during RTH
Setup:

Data Timeframe: 1 minute (max accuracy)
Chart: 5-minute ES
Looking for long scalp

Check Dashboard:

✅ Overall Status = "ALIGNED BULL"
✅ NYSE Score = 🟢 75%
✅ NASDAQ Score = 🟢 72%
✅ Market Quality = 🟢 OK (chop score <40%)
✅ Volume Pulse = High Volume or Institutional

Action: Enter long on your strategy signal with high confidence

Example 2: Avoiding Bad Trades
Setup:

Your strategy gives long signal
Price looks good

Check Dashboard:

❌ Overall Status = "🔴 AVOID - Both Choppy"
❌ NYSE Chop = 🔴 DANGER (75%)
❌ NASDAQ Chop = 🔴 DANGER (72%)
❌ TICK Range = narrow consolidation

Action: SKIP THE TRADE - Internals warn conditions are unfavorable

Example 3: Fade Opportunity
Setup:

Market pushed to extreme
Looking for reversal

Check Dashboard:

🔻 NYSE FADE SHORT signal appears
⚡ TICK was +1200 (extreme)
📉 Now reversed to +950
✅ ADD confirmed (turning negative)

Action: Consider short entry (with your reversal setup)

Example 4: Divergence Warning
Setup:

ES making new highs
You're in a long position

Check Dashboard:

⚠️ NYSE BEAR DIVERGENCE
📊 VOLD falling while price rising
🟡 Overall Status changing to "MIXED"

Action: Tighten stops or take profits - internals warn momentum fading

💡 BEST PRACTICES
DO:
✅ Test extensively before live trading
✅ Use on 5min or 15min charts for swing trades
✅ Use on 1min or 3min charts for scalping
✅ Combine with your proven strategy
✅ Respect CHOP DETECTION warnings
✅ Use Data Timeframe = 1 for accuracy
✅ Monitor Volume Pulse for institutional activity
✅ Watch for divergences as early warnings
DON'T:
❌ Trade based on internals alone
❌ Ignore chop warnings ("I'll be careful")
❌ Use Data Timeframe >5 for live trading
❌ Trade against aligned strong signals
❌ Overtrade - wait for quality setups
❌ Ignore session context (Cumulative TICK)

🔧 RECOMMENDED SETTINGS
For Day Trading (Scalping):

Data Timeframe: 1
Adaptive Extremes: ON
Range Lookback: 60 minutes
VOLD Trend Period: 3
Cumulative TICK Weight: 1.5 (important!)
Chop Detection: ON

For Swing Trading:

Data Timeframe: 5
Range Lookback: 120 minutes
VOLD Trend Period: 5
Strong Threshold: 75%


📝 NOTES

Market internals are most reliable during regular trading hours (9:30-16:00 EST)
Lunch period (11:00-13:30 EST) often shows choppy behavior
First 30 minutes after open can be erratic - use early session adjustments
Power hours (9:30-10:30 and 15:00-16:00) tend to have cleaner trends
Volume Pulse helps identify when "smart money" is active


🤝 SUPPORT
If you find this indicator helpful, please consider:

⭐ Leaving a positive review
💬 Sharing your trading experience
📈 Supporting my work with a TradingView subscription (any tier helps!)

Creating and maintaining free, high-quality indicators takes significant time and effort. Your support enables me to continue developing tools for the trading community and keep them updated. Thank you! 🙏

Remember: This is a tool, not a system. Your trading success depends on YOUR complete strategy, risk management, and discipline.

Good luck and trade safe! 🚀