ActivTrades Metals Market Pulse – Ion Jauregui

The ActivTrades Metals Market Pulse Indicator is a market analysis tool designed to assess overall risk sentiment in the metals market. Rather than generating trade signals, it provides a snapshot of the prevailing environment, helping traders and analysts understand whether conditions favor risk-taking or caution.

How it Works:
The indicator combines two key metal market metrics:

Metals Performance:
Compares the performance of industrial metals with precious metals relative to their 50-day moving averages.

Stronger industrial metal performance indicates higher market risk tolerance (Risk-On), while stronger precious metal performance suggests increased risk aversion (Risk-Off).

Trend Momentum:
Uses a Bloomberg-style scoring system based on the relative position of each metal to its 50-day SMA.

Scores range visually from -5 to +5 to indicate overall market sentiment.

Risk Sentiment Index:
Each metal contributes to the total score, creating an index that oscillates between Risk-On (high risk appetite) and Risk-Off (heightened caution), with a neutral zone for mixed conditions.

Visual Output:
Results are displayed as a colored histogram for easy interpretation of metals market sentiment.

Labeled zones include:

• Extreme Risk-On: Industrial metals strongly outperform precious metals.
  
  
• Extreme Risk-Off: Precious metals strongly outperform industrial metals.
  
  
• Neutral Zone / Mixed: No clear dominance; the market is balanced or sideways.
  

Purpose and Use:
Helps traders, analysts, and investors gauge prevailing risk appetite in the metals market.

Provides context for strategic positioning and risk management without offering direct trade recommendations.

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The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.

All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.

Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance and forecasting are not a synonym of a reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acting on the information provided does so at their own risk. Political risk is unpredictable. Central bank actions can vary. Platform tools do not guarantee success.

INDICATORS:
RISK ADVICE: The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by ActivTrades. This script intends to help follow the trend and filter out market noise. This script is meant for the use of international users. This script is not meant for the use of Spain users.