Nunchucks Charting: Showing Highs and Lows Beyond the Prior Bar

Summary

Nunchucks is a chart-display indicator that redraws each bar as separate upper and lower candle forms relative to the preceding bar's range. The upper form highlights a higher high, and the lower form highlights a lower low; the indicator can therefore make range expansion and contraction visually distinct from conventional candles. Wick coloring follows the current candle's direction, while inputs let users choose colors and whether to show zero-range forms.

This is a visualization tool rather than an entry or exit strategy. Its description says the display does not flip color during the current candle and suggests viewing it alongside a current-price line. The document explains the construction and customization options, but provides no trading rules, backtest, or evidence that interpreting these shapes improves decisions. Traders would need to define and test any signals they derive from the display.

Key ideas

• The indicator separates each bar into visual components for highs and lows relative to the previous bar.
• The upper component appears when the current high exceeds the prior high, and the lower component appears when the current low falls below the prior low.
• Wicks can be colored according to whether the current candle closes above or below its open.
• Inputs control component colors and whether zero-range shapes are displayed.
• The document supplies no trading rules or performance evidence for signals based on the visualization.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.