What it does
An implementation of the popular community WaveTrend oscillator: price is smoothed through an EMA-based channel calculation to produce a fast wave line (WT1) and its smoothed companion (WT2), plotted with overbought and oversold guide levels and markers at every WT1/WT2 cross. WaveTrend behaves like a smoother, more rhythmic stochastic that maps the market's swing cycle. Crosses in the extreme zones are its headline signals.
How to add it
Click Indicators (ƒx) in the header.
Search “Dext WaveTrend with Crosses” and click the result.
Hover its legend row and click the gear to open settings.
How traders use it
- A WT1 cross below WT2 above the overbought level (commonly +60) is a sell signal; a cross up below the oversold level (commonly -60) is a buy signal.
- Crosses in the middle of the range are low quality; require the extreme zones or additional confluence.
- Divergence between WaveTrend peaks and price peaks is one of its strongest messages, especially on higher timeframes.
- Use it for swing timing within a trend: in an uptrend take only the oversold buy crosses and skip the sell signals.
- Zero-line position adds context — cycles topping below zero indicate bearish regimes.
Inputs
| Input | Type | Default | Range / Options |
|---|---|---|---|
| Channel Length | number | 10 | 1–500 |
| Average Length | number | 21 | 1–500 |
| Overbought Level 1 | number | 60 | 0–200 |
| Overbought Level 2 | number | 53 | 0–200 |
| Oversold Level 1 | number | -60 | -200–0 |
| Oversold Level 2 | number | -53 | -200–0 |
Plots & styling
| Plot | Style | Default color |
|---|---|---|
| WT1 | line | #0096FF |
| WT2 | line | #FF6D00 |
| Hist | histogram | #888888 |
| Cross | line | #FFEB3B |
Every plot's color, line width and visibility can be changed on the Style tab. Precision, price-scale labels and status-line values are configurable at the bottom of the Style tab.
Reference levels
| Level | Value |
|---|---|
| OB1 | 60 |
| OB2 | 53 |
| Level | 0 |
| OS2 | -53 |
| OS1 | -60 |
Level values, colors and line styles are editable in settings.
Tips
- Reference levels (where the study has them) are editable — tune them to the instrument you're trading.
- Hide the study from the legend eye instead of removing it when you only want it out of the way temporarily.
- Merge multiple oscillators into one pane from the legend ⋯ menu to compare them on a shared axis.
Watch out for
- In strong trends WaveTrend rides the extreme zone and fires repeated premature counter-trend crosses.
- The overbought/oversold levels are conventions; instruments with different volatility profiles reach the bands with very different frequency.