Efficient Work: A Price-Movement Efficiency Oscillator Across Timeframes
Summary
The Efficient Work indicator measures the net change from the previous close relative to the total distance price traveled through the bar’s high and low. This ratio is intended to describe how efficiently movement produced a closing price change, with positive and negative readings distinguishing direction. A configurable moving average smooths the signal, and the indicator supports chart, medium, higher, or weighted aggregate timeframe views.
The script offers divergence levels, a recent high-low channel, volatility classification based on short- and long-term ATR, and configurable coloring and markers. Users can select how timeframe readings relate to a centerline or to one another. Repainting controls are provided separately for chart and higher timeframes, so signal timing depends on those settings. The source describes a flexible indicator framework rather than a tested trading strategy; it supplies no evidence that its readings predict returns or improve execution. Higher-timeframe values also require the chart timeframe to be lower than the selected comparison timeframes.
Key ideas
- The oscillator divides close-to-close price change by the bar’s total high-low travel measure.
- A selectable moving average smooths the efficiency reading.
- The indicator can display chart, medium, higher, or weighted aggregate timeframe signals.
- Optional features include divergence levels, a high-low channel, and ATR-based volatility classification.
- Repainting settings affect signal behavior, and the document reports no strategy performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.