For free use on the TradingView platform
Overview: The "Triple Z (Geometrical Mean) " indicator calculates three Z-scores of closing prices with different lengths, computes their geometric mean, and visualizes it on the chart with gradient colors and labeled values. Signals are generated when the geometric mean crosses above or below zero.
Geometric Mean: The geometric mean is the central tendency of a set of numbers, calculated by multiplying them together and then taking the nth root (where n is the count of numbers). It is especially useful for sets of numbers that are products or exponential in nature, providing a more accurate measure of central tendency than the arithmetic mean for growth rates and ratios.
Key Features:
⯁ Z-Scores Calculation:
⯁ Geometric Mean:
⯁ Visualization:
⯁ Signals:
⯁ Usage Break Down:
Use this indicator to analyze market trends via Z-scores and their geometric mean. Crossings of the geometric mean can signal potential trend up or trend down. Color gradients provide visual cues on market direction and strength.