The Logarithmic Deviation Torch is a dynamic risk signalling overlay that transforms daily logarithmic price divergence into a normalized probabilistic gauge. By anchoring its logic to long-term trend baselines and structurally adjusting for time via a custom power-scaling method, it identifies asymmetrical extremes in market positioning with visual clarity.

Coloured dots are plotted above price action in real time, representing a graduated risk scale that evolves alongside underlying volatility. This tool is ideal for investors seeking a forward-biased perspective on overextension or compression within a logarithmic return environment — without relying on reactivity or lag-prone indicators.