Moving averages and bands — Indicator by IvanLabrie

timwest timeatmode rgmov bollingerbands forex tradingview

I coded this simple indicator based on multiple ideas shared by Tim West at his "Key Hidden Levels" chatroom.

We have a moving average ribbon comprised of the average of the highs and lows in 10 periods. The colored space in between acts more or less like fair value and is often where price is when consolidating.
Green and red triangles at the top and bottom of the screen.
The ones at the bottom, correspond to signals obtained from a 4 period moving average of the close's slope. It helps get excellent exits for trending moves by changing color with the moving average slope.
The ones at the top, are green while Bollinger Band Width increases, and red while it decreases, relative to the previous bar.
Background color highlights when the close moves over the moving average of the highs or under the moving average of the lows, indicating a change of trend is possible, or at least a pause/consolidation.

The idea is to have multiple reasons to stay in a trade, which is normally very hard to do, specially when winning.

Cheers,
Ivan Labrie

Time at Mode FX

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linktr.ee/ivanlabrie

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.

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?

study(title="Moving averages and bands", overlay=true)
//10 period high and low sma's
highma = sma(high, 10)
lowma = sma(low, 10)
bull=crossover(close,highma)
bear=crossunder(close,lowma)
//4 period MA slope
avg = sma(close,4)
avgup = avg >= avg[3]
avgdown = avg < avg[3]
//Bollinger Bands and Bollinger Bands' Width
basis = sma(close, 21)
dev = stdev(close, 21)
upper = basis + (2*dev)
lower = basis - (2*dev)
bbw = (upper - lower)/basis
bbwup = bbw >= bbw[3]
bbwdown = bbw < bbw[3]
//plots
p1=plot(highma, color = green, linewidth=2, style=line, transp=50)
p2=plot(lowma, color = maroon, linewidth=2, style=line, transp=50)
fill(p1, p2, color=green)

p3=plotshape(avgup, style=shape.triangleup, color=green,location=location.bottom)
p4=plotshape(avgdown, style=shape.triangledown, color=red, location=location.bottom)

p5=plot(upper, linewidth=2, style=line, transp=70, color=teal)
p6=plot(lower, linewidth=2, style=line, transp=70, color=teal)
fill(p5, p6, color=white)

p7=bgcolor(bull ? green : na, transp=90)
p8=bgcolor(bear ? red : na, transp=90)

p9=plotshape(bbwup, style=shape.triangleup, color=green,location=location.top)
p10=plotshape(bbwdown, style=shape.triangledown, color=red, location=location.top)