A Weighted Multi-Timeframe Price-Action Harmony Index
Summary
The article presents a MetaTrader 5 dashboard that combines structural direction from several timeframes into a normalized Harmony Index ranging from bearish to bullish. Each enabled timeframe receives a bias based on a three-bar staircase rule, with close-price comparisons used as fallbacks when the stricter pattern is absent or data is incomplete. User-set weights determine each timeframe’s contribution, and an exponential moving average can smooth the combined reading.
Thresholds classify the result into strong, moderate, or weak directional states, which the dashboard displays with colors. Alerts can report strong threshold crossings and higher-timeframe bias flips; chart arrows mark strong crossings, with duplicate-signal checks and a configurable signal limit. The index can also be exported through platform global variables for use by other automated modules. An example calculation demonstrates weighted aggregation, and the article describes interface and signal features, but it gives no backtest or evidence that the thresholds predict profitable trades. Results depend on timeframe choices, weights, and parameter settings.
Key ideas
- The index converts per-timeframe structural bias into a weighted value normalized between bearish and bullish extremes.
- A three-bar staircase rule detects structure, with close comparisons serving as fallbacks.
- EMA smoothing and configurable thresholds shape how users interpret the index.
- Alerts and chart arrows respond to strong index crossings and selected higher-timeframe bias changes.
- Exported values can serve as inputs to other automated components, but predictive performance is not demonstrated.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.