sudoer-alex

Risk indicator 50DSMA/50WSMA

sudoer-alex Updated   
Indicates buy and sell zones, intended to be used along with your scaling-in scaling-out strategy.
Example: sell 20% of holdings in first sell zone, sell another 20% in the second zone, etc.
Release Notes:
This is more advanced version and it's more sharp/less lagging
Logic has been changed a bit and visually is more like RSI indicator but it still represents amount of risk if investing in current period of time

Usage instructions
Assume you have X amount of money to invest each month (or any other period of time according to your Dollar Cost Averaging plan)

Scale in
  • Buy X*3 amount in 30-40 area (Buy Zone #1)
    Buy X*2 amount in 40-50 area (Buy Zone #2)
    Buy X amount in 50-60 area (Buy Zone #3)
    Don't do anything, just accumulate cash on your balance sheet when in 60-80 area (Indecision Zone)

Scale out

Sell X amount in 80-90 area (Sell Zone #1)
Sell X*2 amount in 90-100 area (Sell Zone #2)
Release Notes:
Returned old changes back. Decided to move new changes into a separate oscillator which will have open code.
Protected script
This script is published closed-source but you may use it freely. You can favorite it to use it on a chart. You cannot view or modify its source code.
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.

Want to use this script on a chart?