[] PROBLEM DEFINITION 1 : To Avoid False Breakouts [] PROBLEM DEFINITION 2 : To Ascertain if the trend has changed when a Stock opens with a Gap up or Gap Down
## PROBABLE SOLUTION : Use a Moving Average with lot of latency ## PROBLEM WITH ABOVE SOLUTION : Misses on lot of trades, Late exits leads to drain on winning trades
[][] S O L U T I O N [][] An Indicator which plots two different types of Moving Averages at the same time For the MA length 5-100 a fast plot of choice For the MA Length 110-200 a plot with a lag to ascertain the trend And then ONE LAST MAN STANDING with even bigger MA length for a lagging indicator to save the day This indicator gives one 9X9 = 81 Permutation Combinations to look at the markets One can devise strategies basis if one particular MA Type has crossed another MA Type Feel free to post the strategies you have come out with!
//// CREDITS AND ACKNOWLEDGEMENTS ////////////////////////////////////////////////////////////////// Following contributors helped the author :: [] Credits to Neobutane for his Multiple Type Mov. Avg. Guppy at ...... https://hxxps://www.tradingview.c0m/script/UQAv1U0c-MA-Study-Different-Types-and-More-NeoButane/ [] Credits to Jose5770 for sharing Jurik MA code at ..... https://hxxps://www.tradingview.c0m/script/uqYvkHna-Trend-Direction-Force-Index/ Appreciate and Thank You for sharing your work. //////////////////////////////////////////////////////////////////////////////////////////////////////
P.S You might notice in the code that the few plots are skipped. It is done to fasten the indicator without compromising on the functionality
@bitcrusader, hello, did you use this indicator? it's kinda hard to figure out how to use it since it has a lot of lines
NoDegreeLife
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@NasserNabil, this indicator is used to avoid getting into a trade that likely is a trap as you can see in the picture when it shows the false breakout. Green line = bullish trend, Black line = bearish trend. if price is above all lines, look for a long entry. if price is below all lines, look for a bear entry. You can also use this as a support resistance maybe but I think it would get confusing with all of the lines. I hope this helps!
NoDegreeLife
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take this with a grain of salt tho lol
CodyMaki
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This is fantastic great work man do you have any suggestions what I could accompany this with for example like rsi stoch? Thanks again and great job again cheers from canada