Market Convergence&Divergence Index

Indicator Description:
This indicator is based on two different simple moving averages (SMA). While the typical condition for a crossover of moving averages to be valid is after the crossover has been confirmed, this indicator calculates the alpha value, which represents the condition value of the crossover between the two SMA. It then calculates the distance between this alpha value and the value set in the source to indicate the convergence or divergence of the current market.

Interpretation:
This indicator is based on one of the indicators that I have distributed(www.tradingview.com/script/mhpIDlHD/). Typically, when the market is considered a bear market, the indicator value can be judged after it has turned from positive to negative (if it is negative, it remains negative), and vice versa for a bull market. The highs and lows indicated by this indicator are highly likely to be the highs and lows of the stock price, and their strength is indicated by the gradient color.

Additional Information:
Anyone can use this indicator, but it should be emphasized that it may be subject to change through future updates.

Thank you.