The Global Index SMA Overlay indicator allows traders to compare the price movements of a chosen stock with a chosen global index by overlaying the SMA of the index onto the stock's price chart. The indicator supports major global indexes such as the S&P 500, NASDAQ 100, Dow Jones, DAX, CAC 40, FTSE 100, Nikkei 225, and ASX 200.
The indicator normalizes the SMA value by applying the price ratio between the stock and the index, which allows traders to easily compare the relative performance of the stock with respect to the index. The user can choose the length of the SMA and the index to compare against, making it a versatile tool for a variety of trading strategies.
With the Global Index SMA Overlay indicator, traders can quickly and easily identify trends and potential trading opportunities by comparing the price movements of a stock with a chosen global index.