Adaptive Fusion ADX Vortex

2023년 4월 1일

Introduction
The Adaptive Fusion ADX DI Vortex Indicator is a powerful tool designed to help traders identify trend strength and potential trend reversals in the market. This indicator uses a combination of technical analysis (TA) and mathematical concepts to provide accurate and reliable signals.

Features
The Adaptive Fusion ADX DI Vortex Indicator has several features that make it a powerful tool for traders. The Fusion Mode combines the Vortex Indicator and the ADX DI indicator to provide a more accurate picture of the market. The Hurst Exponent Filter helps to filter out choppy markets (inspired by balipour). Additionally, the indicator can be customized with various inputs and settings to suit individual trading strategies.

Signals
The enterLong signal is generated when the algorithm detects that it's a good time to buy a stock or other asset. This signal is based on certain conditions such as the values of technical indicators like ADX, Vortex, and Fusion. For example, if the ADX value is above a certain threshold and there is a crossover between the plus and minus lines of the ADX indicator, then the algorithm will generate an enterLong signal.

Similarly, the enterShort signal is generated when the algorithm detects that it's a good time to sell a stock or other asset. This signal is also based on certain conditions such as the values of technical indicators like ADX, Vortex, and Fusion. For example, if the ADX value is above a certain threshold and there is a crossunder between the plus and minus lines of the ADX indicator, then the algorithm will generate an enterShort signal.

The exitLong and exitShort signals are generated when the algorithm detects that it's a good time to close a long or short position, respectively. These signals are also based on certain conditions such as the values of technical indicators like ADX, Vortex, and Fusion. For example, if the ADX value crosses above a certain threshold or there is a crossover between the minus and plus lines of the ADX indicator, then the algorithm will generate an exitLong signal.

Usage
Traders can use this indicator in a variety of ways, depending on their trading strategy and style. Short-term traders may use it to identify short-term trends and potential trade opportunities, while long-term traders may use it to identify long-term trends and potential investment opportunities. The indicator can also be used to confirm other technical indicators or trading signals. Personally, I prefer to use it for short-term trades.

Strengths
One of the strengths of the Adaptive Fusion ADX DI Vortex Indicator is its accuracy and reliability. The indicator uses a combination of TA and mathematical concepts to provide accurate and reliable signals, helping traders make informed trading decisions. It is also versatile and can be used in a variety of trading strategies.

Weaknesses
While this indicator has many strengths, it also has some weaknesses. One of the weaknesses is that it can generate false signals in choppy or sideways markets. Additionally, the indicator may lag behind the market, making it less effective in fast-moving markets. That's a reason why I included the Hurst Exponent Filter and special smoothing.

Concepts
The Adaptive ADX DI Vortex Indicator with Fusion Mode and Hurst Filter is based on several key concepts. The Average Directional Index (ADX) is used to measure trend strength, while the Vortex Indicator is used to identify trend reversals. The Hurst Exponent is used to filter out noise and provide a more accurate picture of the market.

In conclusion, the Adaptive Fusion ADX DI Vortex Indicator is a versatile and powerful tool for traders. By combining technical analysis and mathematical concepts, this indicator provides accurate and reliable signals for identifying trend strength and potential trend reversals. While it has some weaknesses, its many strengths and features make it a valuable addition to any trader's toolbox.

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Credits to:
▪️cheatcountry – Hann Window Smoohing
▪️loxx – VHF and T3
▪️balipour – Hurst Exponent Filter

2023년 4월 1일

릴리즈 노트

Renamed title
Refactored some comments

2023년 4월 1일

릴리즈 노트

Updated default values of Hurst Exponent Filter

2024년 2월 11일

릴리즈 노트

Fixed signal cache bug where displays were enter short and enter long could happen at the same time
Improved experimental dynamic threshold
Replaced VHF adaptive length algorithm by Hilbert Transform
Removed 34 bar max period on Homodyne Discriminator function
Adjusted default values
Removed superfluous code
Added experimental calculation to fusion mode which determines which indicator should be used depending on correlation between ADX and Vortex

2024년 2월 11일

릴리즈 노트

Normalization bug fix which resulted in wrong fusion indicator calculation
Commented out experimental tweak

2024년 2월 23일

릴리즈 노트

Minor refactoring

2024년 2월 23일

릴리즈 노트

Removed 34 length dominant cycle limit

2024년 6월 22일

릴리즈 노트

Updated scale fix