FRACTAL DIMENSION CHAOS OSCILLATOR Trading Guide
Last updated: July 22, 2026
The Fractal Dimension Chaos Oscillator is a quantitative technical analysis tool. Fractal Dimension Chaos Oscillator (FDCO) A custom oscillator based on Chaos Theory and John Ehlers' Fractal Dimension Index. Measures if the market is in an organized trend (FDI -> 1.0) or chaotic consolidation (FDI -> 2.0).
What does the indicator show?
- Market Structure & Momentum: Visualizes prevailing trend directions and key reversal zones.
- BUY / SELL Signals: Highlights confirmed entry and exit opportunities based on quantitative rules.
- Dynamic Boundaries: Provides adaptive levels for managing trade risk and reward expectations.
Key Settings
- Lookback Window (
length): Controls the calculation period and sensitivity for market detection. - Smoothing Period (
smooth): Controls the calculation period and sensitivity for market detection. - Neutral Threshold (
neutralZone): Controls the calculation period and sensitivity for market detection. - Bull Trend (
bullTrend): Controls the calculation period and sensitivity for market detection. - Bull Weakening (
bullWeak): Controls the calculation period and sensitivity for market detection. - Bear Trend (
bearTrend): Controls the calculation period and sensitivity for market detection. - Bear Weakening (
bearWeak): Controls the calculation period and sensitivity for market detection. - Neutral (Chop) (
neutral): Controls the calculation period and sensitivity for market detection. - Threshold Lines (
levelLine): Controls the calculation period and sensitivity for market detection. - Zero Line (
zeroLine): Controls the calculation period and sensitivity for market detection. - Chaos Value (
fdco): Controls the calculation period and sensitivity for market detection. - FDI Index (
fdi): Controls the calculation period and sensitivity for market detection. - Chaos Value (
fdco): Controls the calculation period and sensitivity for market detection. - Is Trending Bull (
isTrendingBull): Controls the calculation period and sensitivity for market detection. - Is Trending Bear (
isTrendingBear): Controls the calculation period and sensitivity for market detection. - Is Choppy Market (
isChop): Controls the calculation period and sensitivity for market detection.
How to use Strategy Parameters (Condition Source)
Within the Strategy Tester module, this indicator can be used both as a direct signal source and as a market-state filter.
1. Signal Events
isTrendingBull- Is Trending Bull event signal.isTrendingBear- Is Trending Bear event signal.isChop- Is Choppy Market event signal.
2. Filters and Trade Levels
length- Lookback Window value used for structural qualification or thresholds.smooth- Smoothing Period value used for structural qualification or thresholds.neutralZone- Neutral Threshold value used for structural qualification or thresholds.fdco- Chaos Value value used for structural qualification or thresholds.fdi- FDI Index value used for structural qualification or thresholds.fdco- Chaos Value value used for structural qualification or thresholds.
Strategy Example: Enter Long when buySignal is true and trendFilter == 1, ensuring trades align with dominant momentum.