Squeeze Momentum MACD

Squeeze Momentum MACD

🧠 Description

Squeeze Momentum MACD combines the concept of market volatility compression (the “squeeze”) from Bollinger Bands (BB) and Keltner Channels (KC) with a MACD-style momentum oscillator to reveal potential breakout phases.

The indicator first calculates:

BB Width = Upper Band − Lower Band

KC Width = Upper Band − Lower Band

Then it computes their difference:
Δ = BB Width − KC Width

When Δ > 0 → BB width is greater than KC width → volatility is expanding → potential momentum breakout.

When Δ < 0 → BB is inside KC → volatility is compressing → potential squeeze phase before expansion.

This Δ value is then processed through a MACD-style calculation:

MACD Line = EMA(fast) − EMA(slow)

Signal Line = EMA(MACD, signal length)

Histogram = MACD − Signal

The result is a visual momentum oscillator that behaves like MACD but measures volatility expansion instead of price direction.

🔹 Features:

Dynamic 4-color MACD & Signal lines (positive/negative + rising/falling)

Optional display of raw BB & KC widths

Fully adjustable parameters for BB, KC, and MACD

Works on all timeframes and instruments

🔹 Ideal For:

Detecting market squeezes and breakout momentum

Timing entries before volatility expansion

Integrating volatility and momentum into a single framework