5-Period Average of Returns (Close)

This indicator calculates the 5-period average of returns of the closing price, providing a detrended, zero-centered oscillator ideal for cycle analysis and timing.

Key Features:

Detrended: Centers around zero to clearly reveal cyclical patterns.

Cycle-friendly: Highlights peaks and troughs for measuring dominant cycles.

Flexible: Can be applied to multiple timeframes (daily, weekly, intraday).

Zero Line Reference: Quickly identify directional shifts in average returns.

Foundation for Advanced Analysis: Can be combined with RSI, statistical bands, or multi-timeframe studies.

Use this indicator to:

Identify dominant cycles and their phase

Measure cycle length and rhythm

Assist in entry and exit timing based on average-return oscillations

Detrend price data for more precise technical and cyclical analysis