MT5 Sentiment Ratio Oscillator Download – Free | Forex Indicators Download – MetaTrader 5 Resources – MetaTrader 5 Resources

The Sentiment Ratio Oscillator is a useful technical analysis tool for assessing current market psychology and identifying potential overbought and oversold conditions.

This indicator relies on exponential moving averages (EMA) and price action analysis to provide insight into traders' primary leanings towards a specific asset.

Sentiment Ratio Oscillator Specification Sheet

The specifications of the Sentiment Ratio Oscillator are as follows:

Sentiment Ratio Oscillator at a Glance

The Sentiment Ratio Oscillator generates signals based on market analysis for overbought and oversold conditions.

When an oscillator curve enters overbought or oversold territory, the likelihood of a price reversal increases. Subsequently, the contact or crossover indicator lines can be interpreted as potential trade entry opportunities.

Buy Setup

According to the 1-hour chart of USD/JPY, the Sentiment Ratio oscillator curve has entered the oversold zone, showing signs of a trend reversal.

In this case, an upward crossover of the indicator curve with the gray line is considered a buy signal.

Sell ​​Setup

According to Bitcoin (BTC) charts, there are signs of a downward reversal after the price entered overbought territory.

In this case, a downward crossover of the oscillator curve with the signal line can be considered a suitable setup for a sell trade.

Sentiment Ratio Oscillator Settings

The settings for the Sentiment Ratio Oscillator are as follows:

• Time frame: Active chart time frame used for indicator calculations
• Sentiment Zone Period: The number of candles that formed the sentiment zone
• Sentiment interval calculation method: triple exponential moving average method
• Price: Type of base price
• Price filter period: the number of candles used to filter price changes
• Price Filtering Method: Simple Moving Average (SMA) for Price Filtering
• Color change: line color change at curve intersection level
• Level type: calculation level type
• Levels period: Number of candles used for sensitivity level calculations
• Up level %: The upper limit percentage calculated in the overbought zone
• Down level %: The lower level percentage calculated in the oversold zone
• Turn alerts on: Signal alert activation option
• Current Bar Alert: Alert option for current candle
• Show Alert Message: Show message when signal alarm occurs
• Play Alert Sound: Signal Sound Alert
• Send an email about alerts: Email alert option
• Send push notifications about alerts: Push notification alert options
• Interpolation in multi-timeframe mode: Continuous curve display in multi-timeframe mode

Conclusion

The Sentiment Ratio Oscillator uses moving averages (MA) and percentage-based fluctuations to identify overbought and oversold areas.

Additionally, contact or intersection of the main oscillator curve with the gray line [reflecting the overall market sentiment] is often interpreted as the right time to enter a trading position.