Market Mode Finder

  1. What is market mode finder?

The Market Mode Finder is an indicator aimed at helping traders identify the current state of the market to make more informed trading decisions. This indicator is particularly useful in distinguishing between trending and range-bound (sideways) market conditions.

The Market Mode Finder operates on the premise that financial markets alternate between periods of trending movement and consolidation. By effectively recognizing these phases, traders can adapt their strategies to capitalize on the prevailing market conditions. 

Here are some key advantages of the Market Mode finder: 

  • Improved Strategy Alignment: By identifying whether the market is trending or range-bound, traders can align their trading strategies accordingly. This means utilizing trend-following strategies in a trending market and switching to range-bound strategies, such as buying at support and selling at resistance, in a sideways market

  • Risk Management: Understanding the market mode can aid in better risk management. In a trending market, for instance, stop-loss orders might be placed differently compared to a range-bound market. This tool can help traders set more informed stop-loss and take-profit levels based on the current market dynamics.

  • Enhanced Entry and Exit Points: The Market Mode Finder can help traders identify more opportune entry and exit points by signaling when the market mode changes. This can lead to capturing better price movements and improving overall trade profitability.

  • Increased Confidence: Having a clearer understanding of the market condition can increase a trader's confidence in their trading decisions. This is because the decision is backed by an analytical tool that provides insights into the market's likely direction or behavior.

  • Time Efficiency: Traders can save time with the Market Mode Finder by quickly understanding the current market condition without having to manually analyze multiple charts and indicators. This efficiency is particularly beneficial for traders who manage multiple positions or trade on various time frames.

  • Adaptability: The tool can be valuable for traders across different markets (stocks, forex, commodities) and timeframes, making it a versatile addition to a trader's toolkit. This adaptability means it can be useful not just for day traders but also for swing traders and long-term investors.

  • Objective Analysis: By providing a clear, objective indication of the market mode, this tool can help reduce the emotional and psychological biases that often affect trading decisions. Traders are less likely to make impulsive decisions based on fear or greed and more likely to follow a disciplined, data-driven approach.

  1. Indicator settings: 

    Please note that there are 2 parts to this product: Market Mode Finder and Market Mode Finder Panel. Please add them both from your Invite-only scripts.

For Market Mode Finder:

Length: choose the number of candles used for indicator calculation.

Price MA filter period: choose the number of candles used for MA filter calculation.

Price MA filter period method: choose the moving average method for filtering (among options of simple/exponential/smoothed/linear weighted).

Price MA filter applied price: choose the prices to use in calculating the MA filter (among options of open/high/low/close/hl2/hlc3/ohlc4/hlcc4/Market Mode Finder Panel: Super Vol Switch or less 0.5).

RSI filter period: choose the number of candles used for RSI filter calculation.

RSI filter applied price: similar to Price MA filter applied price.

RSI filter oversold level: choose the threshold for RSI to indicate oversold level, default is 30.

RSI filter overbought level: choose the threshold for RSI to indicate overbought level, default is 70.

ATR period for SL shift: the timeframe used to calculate the Average True Range for adjusting stop loss levels.

SL shift coefficient: a multiplier used with the ATR value to adjust stop loss levels according to market volatility.

TP coefficient (from SL): a multiplier determining the Take Profit level relative to the Stop Loss distance.

Various Color settings: customize the colors and display of texts, dashboards & arrows to your visual preference.

Up/down arrow strings: choose your preferred texts for the indicator entries (Buy/Sell or B/S), default are Up/down arrows.

Max bars to calculate: the maximum count of past candlesticks considered by the indicator for its analysis.


For Market Mode Finder Panel:

Length: choose the number of candles used for indicator calculation.

Line 1/2 colors: choose your preferred colors for line 1 (to indicate range-bound/mean-reverting mode), and line 2 (to indicate trending mode). Default colors are yellow and blue, respectively.


  1. Alert set-up:

To stay updated on potential trading opportunities, you can set up alerts within the Market Mode Finder settings. Please note that the panel does not have the alert function.

Step 1: From the indicator settings, customize your alerts by defining your desired parameters for buy and sell signals. The selected configurations will be used for notifications in Step 2.

Step 2: To receive notifications through the app, pop-ups, alert emails, Webhook URL, sound alerts, or email-to-SMS, enable these features by clicking on TradingView's Alert icon.


Step 3: Select “Market Mode Finder” and “Any alert() function call” from the “Condition” dropdown list






Step 4: A pop-up will appear as follows. Click on “Notifications”.

Step 5: Choose the types of notifications you'd like to receive, and click the “Create” button.

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