Chande’s TrendScore

Written by Miroslav Marinov

Miroslav Marinov

Miroslav Marinov, a financial news editor at TradingPedia, is engaged with observing and reporting on the tendencies in the Foreign Exchange Market, as currently his focus is set on the major currencies of eight developed nations worldwide.

, | Updated: October 30, 2024

Described by Tushar Chande in the September 1993 edition of “Stock & Commodities” magazine, the TrendScore indicator makes a quantitative and qualitative determination of the direction and strength of a trend. It does so by comparing the current closing price of a trading instrument with the prior closing prices during the past 20 periods.

The indicator fluctuates between -10 and +10. A reading of +10 implies that a strong bull trend is in progress. A reading of -10 implies that a strong bear trend is in progress. TrendScore readings above zero indicate that a bull trend with varying strength is in progress. TrendScore readings below zero indicate that a bear trend with varying strength is in progress.

Chart Source: VT Trader