Rex indicator (oscillator) and other analysis futures trading tools

What Is the Rex indicator?

The Rex indicator, also known as the Rex oscillator, measures market behavior based on the pattern of the close to the open, high and low values of the same bar. A significant difference between the high and close on a bar indicates weakness, while a significant difference between the low and close on a bar indicates strength.

In addition, the disparity between open and close also reveals market performance.

The key to calculating the Rex indicator is in determining the true value of a bar (TVB). This is found by summing the differences of the close to the open, high and low values of the bar.  The calculation can be expressed as: 3*Close – (Open + High + Low).

The TVB is equal to how healthy the market is: a negative close and a positive TVB, or vice versa, is an indication of a market growing in strength on the opposing side of the trend. The Rex indicator or oscillator is a moving average of the TVB value within a specific time frame.

The Rex indicator or oscillator is primarily used as a reversal and exit indicator. Signals are created when Rex crosses the signal line and can be used to exit or long/short a given trade.

Examples of Rex indicators

The Rex Oscillator v1.0 is available for download from the free User App Share section of the NinjaTrader Ecosystem. Learn more and download here.

Here are a few other relevant analysis tools for futures traders of all stripes:

• Risk reward indicator: This advanced indicator helps define entry, stop and target (1 or 3) visually on the chart with the aid of horizontal lines. It calculates your potential P/L, unrealized P/L, risk/reward ratio, and contracts sizing per account size. Learn more and download here.
• Wave trend oscillator: This fast-moving, sensitive oscillator with smoothing is quick to react on crossovers and works to not lag price changes. Learn more and download here.

To learn more about the Rex indicator or oscillator, and for full access to a growing library of other indicators plus Market Analyzer and SuperDOM add-ons and more, visit the NinjaTrader Ecosystem’s trading apps and services section.

How to Add 3rd Party App to NinjaTrader

To import your 3rd party app or add-on to NinjaTrader, simply follow these 3 steps: