Displacement Multi-TF Overlay

DisplacementTFO identifies candles that exhibit statistically significant range expansion - moves large enough to indicate genuine momentum rather than normal market noise. The indicator uses standard deviation analysis to determine when a candle's range exceeds what would be expected based on recent price action, highlighting these "displacement" candles by coloring them with a user-selected color (default yellow). This statistical approach adapts automatically to changing volatility conditions.

The displacement calculation offers two measurement modes: Open-to-Close (which measures the candle body size, ignoring wicks) or High-to-Low (which measures the full candle range including wicks). The indicator calculates a rolling standard deviation of the selected range metric over a configurable lookback period (default 100 bars), then flags candles whose range exceeds a multiple of that standard deviation (default 4x). Higher multipliers produce fewer but more significant signals.

An optional Fair Value Gap (FVG) requirement adds a second filter to the displacement detection. When enabled, a candle is only marked as displacement if it also creates an FVG - a gap between the current bar's low and the bar-before-last's high (for bullish moves) or between the current bar's high and the bar-before-last's low (for bearish moves). This three-bar structure requirement filters out large candles that don't create the imbalance zones that FVG traders seek.

The indicator exposes a public Displacement series that strategies can reference to build automated systems around displacement signals. This allows traders to create conditions like "enter long after bullish displacement" or "avoid entries during displacement candles" without duplicating the calculation logic. The implementation follows NinjaTrader best practices with proper series initialization in DataLoaded state and cleanup in Terminated state.