Trend Following

Trend Following is a visual trend-tracking indicator built on multiple exponential moving averages (EMAs) and market-context confirmation.

The indicator combines:

Slow EMA (50) to define the primary trend

Fast EMA (20) for intermediate trend alignment

Fastest EMA (9) for timing and sensitivity

200 SMA as a long-term structural reference

The moving averages change color dynamically:

Green when the MA is rising and price is above it (healthy trend)

Red when the MA is falling and price is below it (downtrend)

Yellow during transition phases, consolidation, or loss of momentum

The chart background is also color-coded to highlight the market regime:

Green → bullish bias (trend continuation)

Red → bearish bias

Black → conflict, correction, or consolidation zones (avoid aggressive entries)

Additionally, the script includes:

Logic for identifying low-wick candles, indicating directional strength

Volume confirmation using a 21-period volume moving average

📌 Indicator purpose:
To help traders stay aligned with the dominant trend, avoid low-probability environments, and improve timing on pullbacks and continuation moves.

📈 Best suited for:

Trend following

Swing trading

Position trading

Market context and trend confirmation before technical setups

⚠️ This indicator does not generate automated signals. It is designed as a context and confirmation tool and should be used alongside proper risk management and a well-defined trading strategy.