Trend Two Moving Average
- Indicators
- Vladimir Karputov
- Version: 1.0
- Activations: 5
The trend indicator "Trend Two Moving Average" uses two types of Arrow to display calculation results - these are "Trend UP" and "Trend DN". Arrows "Trend Up" are drawn By price 'Low' bar , A Arrows "Trend DN" - By price 'high'.
The trend search algorithm is based on the analysis of the price of a bar and the values of two 'Moving Average' indicators. The trend direction is calculated on the current (zero) bar. Therefore, it is recommended to use the signal from bar #1 - from a fully formed bar.
Using the indicator in trading.
With a trend indicator, you can use both a risky strategy (when the signal is taken from the current bar) and a less risky strategy (when the signal is taken from bar #1). The strategies based on signals from bar #1 are described below .
Wait for the generated signal ( at the moment appearance of a new bar, you need to look at bar #1) . If on the bar #1 is Arrow , we trade either on the market, or using pending orders:
1. Open a position in the direction of the arrow
2. Place a pending order ( Limit ) according to the level of the arrow