OPEN-SOURCE SCRIPT
[ AlgoChart ] - Compare Market

Indicator Description:
This indicator allows you to display a second asset, selectable from the input panel, in a separate window. Plotted on the same time scale as the first asset but with a distinct price scale, the indicator enables analysis of the relationships and relative movements of two financial instruments. It’s an ideal tool for understanding whether two assets move in a correlated or divergent manner.

Key Features:
Operational Applications:

Additional Features:
This indicator allows you to display a second asset, selectable from the input panel, in a separate window. Plotted on the same time scale as the first asset but with a distinct price scale, the indicator enables analysis of the relationships and relative movements of two financial instruments. It’s an ideal tool for understanding whether two assets move in a correlated or divergent manner.
Key Features:
- Multi-Asset Comparison: Display two assets simultaneously to compare their trends.
- Custom Scale: Each asset uses its own price scale, making comparative analysis easier.
- Intuitive Interface: Easily select the second asset through the input panel.
Operational Applications:
- Spread Trading: Identify optimal moments to execute spread trades when two highly correlated instruments move in opposite directions.
- Supply & Demand: Pinpoint zones of interest on both assets, increasing the validity of support and resistance areas.
- Exposure Reduction: Monitor instruments that move similarly to avoid exposing the portfolio in identical directions, thereby reducing the risk of double losses.
Additional Features:
- Candle Color Change: When a directional divergence occurs between the two assets, the candles change color to highlight the event.
- Customizable Notifications: Receive instant alerts when a divergence occurs, allowing you to act promptly.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.