Efficiency-Ratio-Adaptive EMA [Loxx] — Indicator by loxx

kama ema adaptive efficiencyratio exponentialmovingaverage

Efficiency ratio was invented by Perry Kaufman as a measure of volatility and as a way of making some calculations adaptive. In his adaptive moving average he uses 3 periods for calculation which makes it a bit "cryptic" and, by all means, not so simple to use. This version is simplifying the whole thing without an intention to clone the KAMA indicator--but with the intention to use the efficiency ratio for adapting the average calculations and to use only two parameters for that:

period
price

Included:

Bar coloring

Public Telegram Group, t.me/algxtrading_public

VIP Membership Info: www.patreon.com/algxtrading/membership

Open-source script

In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.

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