#Squeeze momentum indicator settings how to#

The above image should be what you see using the default indicator settings.

You can use the default inputs for the indicator or modify them to suit your needs. Additionally, the Squeeze can be also purchased for Trading View and Infinity. If you are not using TOS and would like to try out the Squeeze on Tradestationbefore purchasing it from Simpler Trading, you can go to the Tradestation app store and use it for a monthly fee. If you use TOS, find it by going to: Studies > Add study > John Carter’s Studies > TTM_Squeeze. The Squeeze is built into the TOS platform. 30-minute chart: 30 minutes x 8 = 240 minutes.5-minute chart: 5 minutes x 8 = 40 minutes.The key to using it, is just understanding that once the squeeze fires, it usually lasts 8-10 bars. The squeeze can be used on any time frame, on any chart. Using the Squeeze on different time frames If momentum is decreasing, the histogram will be red or dark blue. If the histogram is rising / increasing, the histogram will be yellow or cyan / light blue. The first green dot after one or more red dots is where the squeeze is said to have “fired”. A green dot means that we are not currently in a squeeze. A red dot means there is a squeeze condition in effect. The red and green dots along the zero line indicate if there is a squeeze. To stay out of premium selling plays when you believe a big directional move is going to happen.The goal is being positioned in a move early enough to take profits as the trade takes off, and other traders finally take notice of the move. John Carter created the Squeeze to identify when to enter a trade in such moves BEFORE the tickers take off. Markets are choppy and trade sideways around 80% of the time – the other 20% of the time, they are making directional moves. During periods of low volatility, Bollinger bands narrow and trade inside Keltner channels. Once the Bollinger Bands expand and again move outside the Keltner Channel, the dots will turn GREEN, signifying that the squeeze has “fired”. The dots across the zero line of the Squeeze indicator will turn RED, signifying this period of market compression. When the Bollinger Bands (above in cyan) go inside of the Keltner Channel (above in red), the market is said to be in a squeeze. The first two are Bollinger Bands and Keltner Channels – they trigger the red and green dots. The Squeeze indicator was built from 3 components.

If we can identify the time of a coiled market we can be in a position to take advantage of a potentially strong move in one direction. The Squeeze is based on the idea that price compression leads to price expansions. When applied and interpreted properly, the Squeeze will add a great deal of information to your analysis in any time frame. If this is the case, take caution and, as always, confirm with other analyses, as no technical analysis tool should be used alone. If the angle of the momentum is returning to the zero line, then there may be a pause or reversal in direction of price. If the oscillator is below the zero line, then bias is short, and vice versa.

#Squeeze momentum indicator settings how to#

How to know that a squeeze is happening? The momentum oscillator shows long or short bias and potential for directional movement in stock price. The higher the compression, the more potential energy is building. The Squeeze itself (the dots on the zero line) is directionless, and the dots serve as an indication that a potentially explosive move in price is coming. The TTM Squeeze indicator is a multi-component trading indicator, made by Simpler Trading, that has helped thousands of traders scale their accounts.