Using Phase and Amplitude in a Smoothed Sine Indicator

Summary

The document describes an indicator derived from PanPrizMA Sin leverage 72 that calculates a wave’s phase and amplitude. Phase is expressed in degrees across a full cycle, with a complementary antiphase representation; amplitude is measured in price points. These values are plotted as separate lines alongside the underlying indicator outputs.

Polynomial averaging can smooth the lines while adding lag and rhythmic behavior, and sinusoidal extrapolation near a constant can adjust the lag or lead. The author proposes using phase as a numeric state for each point in the series, allowing strategies to trigger at selected phases or exclude trades over chosen portions of a cycle, including asymmetric intervals against the trend. The document offers design concepts rather than performance evidence or tested trading rules. It does not specify parameter choices, validation methods, or market conditions where the approach works, and notes that implementation contains workarounds for displaying the source indicator’s lines.

Key ideas

• The indicator represents phase across a full cycle and also plots its opposite phase.
• Amplitude is measured in price points and displayed separately from phase.
• Polynomial averaging smooths the plotted series but adds inertia.
• Phase values can encode each observation for rule-based signal selection or filtering.
• The document provides no backtest or evidence of trading performance.

Tags

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