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TRADE ORBIT: Rate Of Change (ROC)

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DESCRIPTION — TRADE ORBIT: Rate Of Change (ROC)

The Rate of Change (ROC) indicator measures the momentum and speed of price movement by comparing the current price to the price a fixed number of periods ago.

It helps traders identify trend strength, momentum shifts, and potential reversals.

⚙️ Formula
𝑅
𝑂
𝐶
=
(
𝐶
𝑢
𝑟
𝑟
𝑒
𝑛
𝑡
 
𝑃
𝑟
𝑖
𝑐
𝑒

𝑃
𝑟
𝑖
𝑐
𝑒
 
𝑛
 
𝑃
𝑒
𝑟
𝑖
𝑜
𝑑
𝑠
 
𝐴
𝑔
𝑜
)
𝑃
𝑟
𝑖
𝑐
𝑒
 
𝑛
 
𝑃
𝑒
𝑟
𝑖
𝑜
𝑑
𝑠
 
𝐴
𝑔
𝑜
×
100
ROC=
Price n Periods Ago
(Current Price−Price n Periods Ago)


×100
📊 Settings

Length: 18 (number of bars used for ROC calculation)

Levels:

0 → Neutral line (trend direction threshold)

-2 → Minor bearish threshold or potential oversold zone

🎯 Interpretation

ROC > 0 → Positive momentum / Bullish pressure

ROC < 0 → Negative momentum / Bearish pressure

Crossing above 0 → Momentum turning bullish

Crossing below 0 → Momentum turning bearish

ROC near -2 → Possible exhaustion of downside momentum (potential reversal zone)

🌈 Visual Aids

ROC line (Blue): Represents momentum changes.

Background color:

Green → ROC > 0 (bullish environment)

Red → ROC < 0 (bearish environment)

Horizontal levels:

0 (neutral)

-2 (support level for momentum)
릴리즈 노트
do

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