The Squelch Indicator was created by John Ehlers (Stocks & Commodities V. 18:9 (42-46)) and this indicator is a variation of his Market Mode Indicator and its purpose is the same as in it determines if the market is trending or in a choppy market. If this indicator is at the 1 level then this means the market is trending and if it is at 0 then the market is...
Level: 2
Background
John F. Ehlers introuced the squelch indicator in Sep, 2000.
Function
This the squelch indicator code is identical to the Hilbert period code , with the addition of the squelch threshold and the display being implemented as a paintbar -- that is, a bar on the chart being colored, depending on the squelch threshold value.
The Pine v4 code...
![AAPL: Ehlers Squelch Indicator [CC]](https://s3.tradingview.com/u/UBUyo1Ts_mid.png "Ehlers Squelch Indicator [CC]")
![LTCUSD: [blackcat] L2 Ehlers Squelch Indicator](https://s3.tradingview.com/x/xGmIwqpR_mid.png "[blackcat] L2 Ehlers Squelch Indicator")
