TMS - Initial Balance

The indicator combines structural price analysis (high/low/quartiles) with rule-based bias logic. It is neither a trend-following indicator nor a classic oscillator, but a session-level tool designed for intraday orientation.

Key Features

• All-in-One IB Automation: Plots a clean box covering the high and low, calculates internal quartiles (25%, 50%, 75%), and projects up to four fully customizable extension targets in each direction.

• Rule-Based Bias Logic: Continuously evaluates every candle close against the range midpoint following IB formation, automatically classifying price action as No Break, Single Break, or Double Break.

• Directional Bias Readout: Displays a calculated bias (Long, Short, or Unclear) based on post-IB price behavior to serve as a contextual reference for your own analysis.

• Formed First Sequence Tracking: Tracks whether the IB high or IB low was established first during the opening window, offering early insights into market initiative.

• Flexible Timezone Controls: Choose between fixed UTC offsets or automatic exchange time mapping.

• Real-Time Statistical Table: Summarizes session status, current IB state, breakout progress, and bias calculations in a compact on-chart dashboard.

How It Works

1. Formation Phase: During the designated opening window (default: New York open, fully adjustable), the indicator continuously tracks the session high and low under the Forming status.

2. Fixation & Projection: Once the time window closes, the range freezes (Formed status), and the indicator projects quartile lines and extension targets based on the total IB height.

3. Post-IB Bias & Breakout Evaluation: The bias engine evaluates every subsequent candle close. If both the IB high and low are breached within the same session (Double Break), the bias resets to Unclear for the remainder of the day due to lost directional clarity.

4. Data Requirements: Works on standard time-based charts (1m to 15m recommended). Compatible with futures, equities, forex, and crypto.

Settings

• Time Window Settings: Start/end times, UTC offset toggle, or auto exchange time.

• Visual Styles: Color, opacity, thickness, and line styles for the IB box, mid-line, and quartiles.

• Extension Levels (x4 Up / x4 Down): Toggle individually; customizable multipliers (e.g., 0.5, 1.0, 1.5, 2.0) and colors.

• Statistical Table: On-chart position, text sizing, background colors, and visibility toggle.

• Core Logic Parameters: Breakout confirmation trigger (bar close vs. high/low touch), historical days to retain, and reference size filters.

Use Cases

• Intraday Market Regime Identification: A day trader uses the IB box for early session orientation. Price remaining trapped inside the range indicates a balanced, rotational day where mean-reversion strategies may be prioritized.

• Breakout & Target Projection: When price breaks above the IB high with a Long bias, the trader references the 1.0x and 2.0x extension levels as potential target zones for trend-continuation plays.

• Opening Initiative Analysis: An order flow trader checks the Formed First metric combined with the bias status to determine which side of the market showed aggressive initiative during the opening auction.