SVE Compression Mirror (Companion)

Why This Tool Exists

Intraday markets are driven not only by direction, but by volatility state and energy dynamics. Periods of compression, expansion, and transition often determine whether price behavior favors patience, rotation, or acceleration.

The SVE Compression Mirror (Companion) was created to make volatility compression and release conditions visible in real time, helping traders understand what type of market environment is currently present before forming directional conviction.

This indicator displays a two-state compression condition consistent with that referenced by the SVE Volatility Engine, exposed here as a standalone lower-pane context display.
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How the Indicator Is Intended to Be Used

This indicator is designed strictly as a context layer, independent of trade direction or bias.
It highlights:

• Volatility compression versus expansion
• Transitions between compressed and released states
• Momentum behavior as energy builds or dissipates

The purpose is to support environment awareness, not to predict outcomes or generate signals.
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What Appears on the Chart

When applied, the indicator displays:

• A lower-pane histogram representing momentum behavior
• Visual markers indicating whether volatility is compressed or released
• A clean, uncluttered presentation optimized for intraday use

The display is intentionally minimal and designed to pair with other structural or decision-support tools.
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Intended Users

This indicator is designed for:

• Intraday traders seeking clearer volatility context
• Discretionary traders who value regime awareness
• Professionals and advanced retail traders who prioritize environment over prediction
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Disclaimer

This indicator is provided for informational and analytical purposes only and does not constitute investment advice.