Trendflex Oscillator

Parameters: period = 20 (10–50) • smooth_period = 10 (3–20)

Overview

The Trendflex Oscillator represents John Ehlers' innovative approach to creating a zero-lag indicator that focuses specifically on the trend component of price action. Published in Technical Analysis of Stocks & Commodities magazine's February 2020 issue alongside its companion Reflex indicator, Trendflex uses a unique model that views market data as a combination of cycles and trends. By isolating and analyzing the trend component, it provides traders with a reversal-sensitive tool that maintains remarkable consistency across all timeframes.

What sets Trendflex apart is its bounded nature - the indicator always oscillates between +2 and -2 regardless of the chart timeframe, from one-second bars to monthly candles. This characteristic makes it exceptionally reliable for multi-timeframe analysis. The indicator incorporates Ehlers' Super Smoother technology to reduce noise while maintaining near zero-lag performance, and when used alongside the Reflex indicator, provides a complete picture of both trend direction and market cycles, offering clearer signals than traditional oscillators like RSI.

Interpretation & Trading Signals

Primary Signal Levels:

  • Upper Bound (+2): Maximum bullish trend strength
  • Zero Line: Neutral trend state, crossovers signal trend changes
  • Lower Bound (-2): Maximum bearish trend strength
  • Reversal Zones: Extreme readings near ±2 suggest potential reversals

Trading Applications:

  • Trend Direction: Positive values indicate uptrend, negative indicate downtrend
  • Entry Signals: Zero line crossovers provide timely entry points
  • Divergence Trading: Price/Trendflex divergences signal reversals
  • Multi-Timeframe: Consistent scaling allows easy comparison across timeframes

Combined with Reflex:

  • Complete Picture: Trendflex shows trend, Reflex shows cycles
  • Better than RSI: Clearer entry/exit signals when used together
  • Turning Points: Identify major reversals with both indicators
  • Zero Lag: Both indicators minimize lag for timely signals

Example Usage

Code examples will be available once the Rust implementation is complete.

Performance Analysis

Related Indicators

Pivot Moving Average

Technical analysis indicator

TTM Trend

Technical analysis indicator

Variable Index Dynamic Average

Technical analysis indicator

Variable Length Moving Average

Technical analysis indicator

Arnaud Legoux Moving Average

Moving average indicator

Centered Weighted Moving Average

Moving average indicator