Tracking Bar-to-Bar High and Low Changes with a Colored Histogram

Summary

This indicator displays how each bar’s high and low differ from those of the previous bar. High changes appear above a zero line, while low changes appear below it, making the direction and size of recent price-range movements visible in a separate chart window.

Colors distinguish whether highs or lows rose or fell and whether the point change is above or below a user-set threshold. The display begins after the initial bar, and a separate input limits how many recent bars are shown. This can help traders inspect short-term price movement, but the description provides no trading rules, tested results, or evidence that these changes predict future returns. The indicator is a visual aid whose threshold and interpretation require independent evaluation.

Key ideas

• The histogram plots changes in successive bar highs above zero and changes in lows below zero.
• Colors encode whether each level rose or fell and whether its point change crosses a configurable threshold.
• A display setting limits the indicator to a chosen number of recent bars.
• The description offers no evidence that the displayed movements form a profitable trading signal.

Tags

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