Deep River AM
- Indicators
- Andriy Matviyevs'kyy
- Version: 30.0
- Updated: 19 March 2025
The presented indicator is the author's implementation of the classic trading idea:
- Moving averages of different periods diverge over time on a strengthening trend and converge on a weakening trend.
The proposed product allows you to clearly demonstrate:
- The direction of price movement;
- Temporary price rollbacks;
- Zones of multidirectional price movement.
Namely:
- The indicator lines go up and diverge from each other - a strong bullish trend;
- The indicator lines go down and diverge from each other - a strong bearish trend;
- The indicator lines go up but converge together - a weakened bullish trend;
- The indicator lines go down but converge together - a weakened bearish trend;
- The indicator lines are tangled into a tight knot - multidirectional price movement.
Also, the main indicator line is a strong dynamic support/resistance line that can be used as a guide when setting protective stop orders.
Configurable parameters:
- Speed - the period for the primary smoothing of the price series;
- Depth - the shift for the primary smoothing of the price series;
- Width - increasing shift for smoothing the price series;
- Bars - the number of bars on which the indicator will be calculated and displayed.