// learn · Signals & indicators
The indicators we use
Peaky Radar doesn't rely on one magic indicator, it blends several into a transparent composite score. Here's what each one actually measures, its formula in plain terms, and how it feeds our ranking. No black box: every number a signal shows you comes from these.
The building blocks
| Indicator | Measures | Plain-terms formula | What it flags |
|---|---|---|---|
| SMA / EMA | Trend | Average of recent closes (EMA weights recent ones more: k = 2/(N+1)) | Direction; price above/below the 50 & 200 |
| RSI | Momentum extremes | 100 − 100/(1+RS), RS = avg gain / avg loss (Wilder, N=14) | Overbought (>70) / oversold (<30), divergences |
| MACD | Momentum shifts | EMA(fast) − EMA(slow), vs. its signal line | Trend acceleration / crossovers (with lag) |
| ATR | Volatility | EMA of the True Range (biggest of high-low / gaps) | How much it moves, used to size stops |
| Bollinger Bands | Volatility + range | SMA ± k × standard deviation | Squeeze (coiling) and breakouts / mean reversion |
| Volume (vs. MA) | Participation | Volume ÷ its N-period average | Whether a move has real conviction behind it |
| ROC | Rate of change | % change over N periods | Raw momentum strength |
How the Radar turns them into a score
No single indicator decides anything. Peaky Radar computes a composite score from several transparent factors, each capped and weighted, then ranks what stands out:
- Trend, moving-average alignment, price vs. the 50 and 200-day.
- Momentum, RSI zone, MACD sign, rate-of-change.
- Volatility, ATR percentile: rewards a healthy range, penalises the extremes.
- Liquidity, volume ratio and volume delta vs. average.
- Freshness, how young the trend is, position in the 52-week range.
- Quality & risk, fundamentals (margins, growth, debt) as a sanity filter.
The score you see on a signal (the █████░░░ bar) is that blend, and every input above is shown, never hidden. A high score means several independent signals agree, not that one line crossed another.
Beyond the chart: flow, positioning and where to see it
Price and momentum are only half the picture. These flow-and-positioning signals tell you who is behind a move, and most are free to check on the platforms you already use.
- Relative strength. Out or under-performance versus the S&P 500 or the sector. On TradingView use Compare to overlay
SPY. Example: a stock up 8% while the index is flat is leading, our score rewards exactly this. - Short interest & days-to-cover. Crowded bearish bets and squeeze fuel. Days-to-cover = shares short ÷ average daily volume. Example: over 20% of the float short and price rising is classic squeeze setup (think the 2021 meme names).
- Options flow (call/put). Bullish versus bearish option demand. Unusual call volume, say 2 to 3× the average, hints at positioning. Caveat: check it isn't dealer-driven, a gamma squeeze unwinds fast.
- Institutional ownership (13F). What big funds actually hold, filed quarterly. Rising ownership is accumulation. Track it on stockcircle / WhaleWisdom, see our Burry tracker for a worked example.
- Insider transactions. Do the people running the company buy their own stock? Free on OpenInsider. The strong version is a cluster of CEO/CFO buys after a selloff, not a single routine purchase.
- On-chain whale flows (crypto). Large wallets and exchange flows. Big inflows to exchanges often precede selling; big outflows suggest accumulation to cold storage. See reading whale activity.
- Anchored VWAP. The average price paid since a chosen event. On TradingView, anchor it to the last earnings date or the recent high/low. Price holding above it means buyers since that event are in profit, a support that matters.
- Distribution days. Sessions where the index falls more than ~0.2% on higher volume than the day before, quiet institutional selling. Three or more in a month is a warning on the whole market, not just one name.
Reading it on the platforms (practical)
TradingView (stocks & crypto)
Add tools from the Indicators menu (RSI, MACD, Volume, Bollinger). Use Compare to overlay SPY for relative strength, and the Anchored VWAP tool from the last earnings date. Worked example: RSI turning up from about 40 while price reclaims the 50-day on a volume bar taller than the 20-day average is textbook confluence, three independent things agreeing.
Binance (crypto)
On a pair chart watch four things: the volume bars (conviction), the order-book depth (buy versus sell walls), the trades tape for large prints (whales hitting the market), and the funding rate on perpetuals. Example: a very positive funding rate means longs are crowded and paying to stay in, squeeze risk. A breakout into thin book depth fills fast, so size small.
For the insider and whale signals specifically, the signals guide shows how the Radar filters them, and the whales page covers reading large on-chain moves.
How to read them yourself
- Never trade one indicator alone. Look for agreement, e.g. price reclaiming the 200-day and RSI turning up and volume expanding.
- Match the tool to the regime. RSI mean-reversion works in ranges; moving-average trend signals work in trends. Using the wrong one in the wrong market is how people lose.
- Respect the warm-up. Indicators need history to stabilise, early readings on a fresh listing are noise.
Want to see them in action? These feed straight into the typical signals the Radar posts, and the same maths powers the bot design.
Educational market information, not financial advice. Indicators describe the past and present, not the future. Markets carry risk of loss, do your own research.