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v0.8.6: update indicator docs, ndepend tooling, ALMA refactor, gitignore cleanup
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| **PineScript** | [etherm.pine](etherm.pine) |
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- Elder's Thermometer (ETHERM) measures how far today's price bar protrudes beyond yesterday's range, capturing the maximum outward extension in either direction.
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- Parameterized by `period` (default 22) for the EMA signal line.
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- Output range: $\geq 0$ (same units as price).
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- Requires `period` bars of warmup before first valid output (IsHot = true).
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- **Similar:** [ATR](../atr/atr.md) | **Complementary:** Trend detection | **Trading note:** Elder Thermometer; measures current bar's range vs previous.
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- Validated against TA-Lib, Skender, and Tulip reference implementations where available.
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Elder's Thermometer (ETHERM) measures bar-to-bar range extension — the maximum outward protrusion of the current bar beyond the previous bar's high or low. Developed by Dr. Alexander Elder, it captures only outward expansions; inward contractions clamp to zero. An EMA signal line with bias compensation provides a smoothed reference for detecting explosive moves (temperature significantly exceeding the signal).
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## References
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- **Elder, Alexander** (2002). *Come Into My Trading Room: A Complete Guide to Trading*, Wiley. p. 162.
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- **Elder, Alexander** (1993). *Trading for a Living*, Wiley. (Earlier discussion of volatility-based stops.)
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- **Elder, Alexander** (1993). *Trading for a Living*, Wiley. (Earlier discussion of volatility-based stops.)
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