OPEN-SOURCE SCRIPT
Institutional Valuation PRO
Institutional Relative Valuation Indicator
This indicator is designed to measure whether an asset is relatively overvalued or undervalued compared to a benchmark market.
For Forex markets, the indicator compares the selected currency pair against the US Dollar Index (DXY).
For Metals, the indicator compares the selected metal against Gold Futures (GC1!).
The model is based on:
* Relative price strength
* Statistical deviation
* Mean reversion principles
* Institutional relative valuation concepts
How it works:
1. The indicator calculates the relationship between the asset and its benchmark.
2. It measures the historical average behavior over a selected lookback period.
3. It then calculates how far the current price relationship deviates from its normal range.
The result is a valuation score that helps identify:
* Overvalued conditions
* Undervalued conditions
* Fair value areas
* Extreme market extensions
Key Features:
* USD-based valuation model for FX
* Gold-based valuation model for Metals
* Smooth institutional-style valuation curves
* Professional premium/discount zones
* Overvaluation and undervaluation levels
* Optional benchmark visibility controls
* Mean reversion focused framework
This indicator is not designed as a traditional momentum tool like RSI or MACD. Instead, it focuses on relative market valuation and statistical market positioning, similar to concepts used in institutional macro and relative-value trading.
This indicator is designed to measure whether an asset is relatively overvalued or undervalued compared to a benchmark market.
For Forex markets, the indicator compares the selected currency pair against the US Dollar Index (DXY).
For Metals, the indicator compares the selected metal against Gold Futures (GC1!).
The model is based on:
* Relative price strength
* Statistical deviation
* Mean reversion principles
* Institutional relative valuation concepts
How it works:
1. The indicator calculates the relationship between the asset and its benchmark.
2. It measures the historical average behavior over a selected lookback period.
3. It then calculates how far the current price relationship deviates from its normal range.
The result is a valuation score that helps identify:
* Overvalued conditions
* Undervalued conditions
* Fair value areas
* Extreme market extensions
Key Features:
* USD-based valuation model for FX
* Gold-based valuation model for Metals
* Smooth institutional-style valuation curves
* Professional premium/discount zones
* Overvaluation and undervaluation levels
* Optional benchmark visibility controls
* Mean reversion focused framework
This indicator is not designed as a traditional momentum tool like RSI or MACD. Instead, it focuses on relative market valuation and statistical market positioning, similar to concepts used in institutional macro and relative-value trading.
Script de código abierto
Fiel al espíritu de TradingView, el creador de este script lo ha convertido en código abierto, para que los traders puedan revisar y verificar su funcionalidad. ¡Enhorabuena al autor! Aunque puede utilizarlo de forma gratuita, recuerde que cualquier republicación del código está sujeta a nuestras Normas internas.
Exención de responsabilidad
La información y las publicaciones no constituyen, ni deben considerarse como, asesoramiento o recomendaciones financieras, de inversión, de trading u otro tipo, proporcionadas o respaldadas por TradingView. Obtenga más información en Condiciones de uso.
Script de código abierto
Fiel al espíritu de TradingView, el creador de este script lo ha convertido en código abierto, para que los traders puedan revisar y verificar su funcionalidad. ¡Enhorabuena al autor! Aunque puede utilizarlo de forma gratuita, recuerde que cualquier republicación del código está sujeta a nuestras Normas internas.
Exención de responsabilidad
La información y las publicaciones no constituyen, ni deben considerarse como, asesoramiento o recomendaciones financieras, de inversión, de trading u otro tipo, proporcionadas o respaldadas por TradingView. Obtenga más información en Condiciones de uso.