Indicator Hyper Trend for TradingView

Description

The HyperTrend Indicator, notably the version developed by LuxAlgo, is a technical analysis tool available on TradingView designed to estimate real-time linear trends in asset prices. 

• Trend Identification: The indicator helps identify the direction of the trend, with an upward sloping average suggesting an uptrend and a downward sloping average indicating a downtrend.
• Support and Resistance: The upper and lower extremities of the channels created by the HyperTrend indicator can act as dynamic resistance and support levels respectively.
• Trade Opportunities: Interactions with candle wicks on these extremities can potentially signal timely reversals or retracements, offering potential trade opportunities within the overall trend.
• Real-time Estimation: The HyperTrend aims to provide a reliable real-time method for estimating linear trends in price, which can enhance trading decision-making processes, according to LuxAlgo.
• Backpainting/Repainting Avoidance: It is designed to overcome the limitations of tools that are subject to backpainting or repainting, aiming to provide a more reliable real-time estimate of linear trends. 

• Multiplicative Factor: Adjusts the allowance for price deviation from the average line. Higher values result in fewer new channel formations and are suitable for analyzing longer-term trends.
• Slope: Controls the steepness of the channels, with higher values yielding flatter results.
• Width %: Modifies the percentage of the channel’s width, with lower percentages leading to narrower channels. 

• As with any indicator, the HyperTrend indicator is arguably most helpful when used in combination with other indicators and a solid understanding of market trends and risk management.
• While it aims to provide real-time trend estimation, it’s essential to understand that all indicators are based on past data and do not guarantee future movements.