MTF Sentiment Pro

MTF Sentiment Pro - Advanced Multi-Timeframe Analysis

Purpose & Methodology

MTF Sentiment Pro provides traders with comprehensive market sentiment analysis across multiple timeframes. This indicator's unique innovation is its weighted scoring system that evaluates both technical indicators and volume metrics to determine market sentiment across customizable timeframes.

Unlike simple indicator overlays or basic multi-timeframe tools, this indicator:

1. Calculates sentiment using a proprietary weighted formula across 7 different timeframes
2. Incorporates volume confirmation to validate price movements (a critical element often overlooked)
3. Provides clear visualization of sentiment alignment between lower and higher timeframes
4. Uses majority-rule algorithms for overall sentiment determination (2/3 rule for LTF, 3/4 rule for HTF)

Technical Components & Integration

Each timeframe's sentiment score is derived from a combination of:

- **EMA**: Evaluates trend direction and price position relative to moving average
- **RSI**: Measures momentum with sensitivity to the 50-level for trend determination
- **MACD**: Assesses trend strength and momentum through histogram analysis
- **Bollinger Bands**: Determines price volatility and position relative to the mean
- **VWAP**: Provides volume-adjusted price reference
- **OBV**: Confirms price moves with cumulative volume analysis

What makes this combination powerful is how these components are integrated:
- Each indicator contributes a weighted value to the overall sentiment score
- User-definable weights allow customization based on strategy preferences
- Volume confirmation adds a critical dimension beyond basic price-only indicators
- Multi-timeframe analysis helps identify alignment/divergence across time horizons

Trading Applications & Limitations

This indicator works best for:
- Trend confirmation across multiple timeframes
- Identifying potential reversal zones where LTF and HTF sentiments diverge
- Entry/exit timing when paired with your primary strategy rules
- Market structure analysis across different time horizons

Note: While this indicator provides comprehensive sentiment analysis, it should be used as part of a complete trading strategy with proper risk management. No indicator can predict market movements with certainty.

Usage Instructions

1. Select appropriate timeframes for your trading style or use one of the included presets
2. Adjust indicator weights to match your analytical preferences
3. Look for timeframe alignment/divergence to identify potential opportunities
4. Use the overall LTF and HTF sentiment readings for broader market context

This indicator was developed to solve the challenge of efficiently analyzing sentiment across multiple timeframes while incorporating volume confirmation - something that would otherwise require multiple indicators and manual correlation.