Guide

How to Create Custom Indicators in TradingView

📅 October 1, 2025 • ⏱️ 12 min read • ✍️ By PineScriptDeveloper

Table of Contents

Why Create Custom Indicators?

While TradingView offers hundreds of built-in indicators, custom indicators give you unique advantages:

  • Unique edge: Indicators tailored to your specific trading strategy
  • Combine multiple signals: Merge different indicators into one view
  • Custom visualizations: Display data exactly how you want it
  • Automation ready: Use with alerts and automated trading
  • Share or sell: Build tools for others in the trading community

Indicator Basics: Structure & Settings

Basic Indicator Template

Every indicator starts with this structure:

//@version=5
indicator("My Custom Indicator", overlay=false)

// Your indicator code here
myValue = close

// Plot the result
plot(myValue)

Key Parameters

  • overlay=true - Draws on the price chart
  • overlay=false - Draws in separate pane below chart
  • shorttitle - Abbreviated name for chart legend
  • precision - Number of decimal places to display

Building a Custom RSI Indicator

Let's create an enhanced RSI with custom overbought/oversold levels and divergence detection:

//@version=5
indicator("Enhanced RSI", overlay=false)

// Inputs - Allow customization
rsiLength = input.int(14, "RSI Length", minval=1)
overbought = input.int(70, "Overbought Level", minval=50, maxval=100)
oversold = input.int(30, "Oversold Level", minval=0, maxval=50)

// Calculate RSI
rsiValue = ta.rsi(close, rsiLength)

// Plot RSI line
plot(rsiValue, "RSI", color=color.blue, linewidth=2)

// Plot overbought/oversold levels
hline(overbought, "Overbought", color=color.red, linestyle=hline.style_dashed)
hline(50, "Midline", color=color.gray)
hline(oversold, "Oversold", color=color.green, linestyle=hline.style_dashed)

// Background coloring
bgcolor(rsiValue > overbought ? color.new(color.red, 90) : na)
bgcolor(rsiValue < oversold ? color.new(color.green, 90) : na)

What this does:

  • Creates customizable RSI length and levels
  • Plots horizontal lines for overbought/oversold zones
  • Adds background color when RSI enters extreme zones
  • Users can adjust all parameters via indicator settings

Multiple Moving Averages Indicator

Create an indicator that displays multiple moving averages with crossover detection:

//@version=5
indicator("Triple MA Crossover", overlay=true)

// Input parameters
fastLength = input.int(9, "Fast MA Length")
mediumLength = input.int(21, "Medium MA Length")
slowLength = input.int(50, "Slow MA Length")
maType = input.string("EMA", "MA Type", options=["SMA", "EMA"])

// Calculate moving averages
fastMA = maType == "EMA" ? ta.ema(close, fastLength) : ta.sma(close, fastLength)
mediumMA = maType == "EMA" ? ta.ema(close, mediumLength) : ta.sma(close, mediumLength)
slowMA = maType == "EMA" ? ta.ema(close, slowLength) : ta.sma(close, slowLength)

// Plot moving averages
plot(fastMA, "Fast MA", color=color.green, linewidth=1)
plot(mediumMA, "Medium MA", color=color.orange, linewidth=2)
plot(slowMA, "Slow MA", color=color.red, linewidth=3)

// Detect crossovers
bullishCross = ta.crossover(fastMA, slowMA)
bearishCross = ta.crossunder(fastMA, slowMA)

// Plot signals
plotshape(bullishCross, "Buy Signal", shape.triangleup,
location.belowbar, color.green, size=size.small)
plotshape(bearishCross, "Sell Signal", shape.triangledown,
location.abovebar, color.red, size=size.small)

Features:

  • Three customizable moving averages
  • Choice between SMA and EMA
  • Automatic crossover detection
  • Visual buy/sell signals on chart
  • Different colors and line widths for clarity

Multi-Timeframe Indicators

One of Pine Script's most powerful features is accessing data from different timeframes:

//@version=5
indicator("Multi-Timeframe RSI", overlay=false)

// Input for higher timeframe
htfInput = input.timeframe("D", "Higher Timeframe")
rsiLength = input.int(14, "RSI Length")

// Current timeframe RSI
currentRSI = ta.rsi(close, rsiLength)

// Higher timeframe RSI
htfRSI = request.security(syminfo.tickerid, htfInput, ta.rsi(close, rsiLength))

// Plot both
plot(currentRSI, "Current TF RSI", color=color.blue, linewidth=2)
plot(htfRSI, "HTF RSI", color=color.orange, linewidth=2, style=plot.style_stepline)

// Reference lines
hline(70, "Overbought", color=color.red)
hline(30, "Oversold", color=color.green)

Use cases:

  • Compare trend strength across timeframes
  • Only trade when both timeframes align
  • Spot divergences between timeframes
  • See bigger picture while trading lower timeframes

Advanced Styling & Colors

Dynamic Colors

Change colors based on conditions:

// Color changes based on trend
maValue = ta.sma(close, 20)
trendColor = close > maValue ? color.green : color.red
plot(maValue, "MA", color=trendColor, linewidth=2)

// Gradient colors based on strength
rsi = ta.rsi(close, 14)
rsiColor = rsi > 70 ? color.red :
rsi > 50 ? color.orange :
rsi > 30 ? color.yellow : color.green
plot(rsi, "RSI", color=rsiColor)

Fill Areas

// Fill area between two lines
upperBand = ta.sma(high, 20)
lowerBand = ta.sma(low, 20)

p1 = plot(upperBand, "Upper", color=color.blue)
p2 = plot(lowerBand, "Lower", color=color.blue)
fill(p1, p2, color=color.new(color.blue, 90))

Best Practices for Custom Indicators

1. User Inputs

Always provide customizable inputs for key parameters:

  • Lengths/periods for calculations
  • Threshold levels (overbought/oversold)
  • Colors and line styles
  • Enable/disable specific features

2. Clear Labels

Give everything descriptive names:

// Good: Clear labels
plot(rsiValue, "RSI(14)", color=color.blue)
hline(70, "Overbought Zone", color=color.red)

// Bad: No context
plot(r, "R", color=color.blue)
hline(70, "Line", color=color.red)

3. Performance

  • Avoid complex calculations in loops
  • Use built-in functions when possible
  • Limit the number of plots (max 64 per script)
  • Test on different timeframes and symbols

4. Documentation

Add comments explaining:

  • What the indicator measures
  • How to interpret signals
  • Suggested parameter ranges
  • Any limitations or assumptions

Need a Professional Custom Indicator?

I create professional custom indicators tailored to your exact specifications. From simple enhancements to complex multi-indicator systems, I deliver clean, optimized code.

Get Your Custom Indicator Built

About the Author

Professional Pine Script developer with 5+ years of experience. Specialized in creating custom indicators, strategies, and alerts for traders worldwide. Completed 50+ projects with 100% satisfaction rate.

View Portfolio

Related Articles

📚 Related Articles

Complete Guide to Pine Script v5 for Beginners

Master Pine Script v5 fundamentals before diving into custom indicator development. Essential syntax and concepts.

Trading Strategy Development: Best Practices

Turn your custom indicators into complete trading strategies with entry/exit logic and risk management.

Pine Script Alerts and Trading Automation

Add alert conditions to your custom indicators for real-time notifications and trading automation.
← Back to Blog