OPEN-SOURCE SCRIPT
Jason's Simple Moving Averages Wave
Understanding the Script:
Purpose: This script identifies potential trend direction and momentum using a moving average and wave amplitude calculation. It shows a green line when the price is trending upwards and a red line when trending downwards.
Strategy: This script doesn't provide a complete trading strategy. It's an indicator designed to be used alongside other tools.
Parameters: You can adjust the "Moving Average Length" input to change the sensitivity of the indicator. A shorter length will react quicker to price changes, while a longer length will be smoother but less responsive.
How to Use it:
Load the Script: In TradingView, navigate to the indicator creation section and paste the provided script code.
Adjust Parameters: Set the "Moving Average Length" based on your preferred timeframe and trading style.
Combine with Other Tools: Use the indicator along with other technical indicators or price action analysis to confirm potential entry and exit points for trades.
Here are some additional points to consider:
Crossovers: You could look for buy signals when the price crosses above the green line and sell signals when it crosses below the red line. However, these can be prone to false signals.
Divergence: Look for divergences between the price movement and the wave indicator. For example, a rising price with a falling wave could indicate overbought conditions and a potential reversal.
Confirmation: Don't rely solely on this indicator. Use it alongside other confirmations from price action, volume analysis, or other indicators to identify higher probability trades.
Important Note:
Purpose: This script identifies potential trend direction and momentum using a moving average and wave amplitude calculation. It shows a green line when the price is trending upwards and a red line when trending downwards.
Strategy: This script doesn't provide a complete trading strategy. It's an indicator designed to be used alongside other tools.
Parameters: You can adjust the "Moving Average Length" input to change the sensitivity of the indicator. A shorter length will react quicker to price changes, while a longer length will be smoother but less responsive.
How to Use it:
Load the Script: In TradingView, navigate to the indicator creation section and paste the provided script code.
Adjust Parameters: Set the "Moving Average Length" based on your preferred timeframe and trading style.
Combine with Other Tools: Use the indicator along with other technical indicators or price action analysis to confirm potential entry and exit points for trades.
Here are some additional points to consider:
Crossovers: You could look for buy signals when the price crosses above the green line and sell signals when it crosses below the red line. However, these can be prone to false signals.
Divergence: Look for divergences between the price movement and the wave indicator. For example, a rising price with a falling wave could indicate overbought conditions and a potential reversal.
Confirmation: Don't rely solely on this indicator. Use it alongside other confirmations from price action, volume analysis, or other indicators to identify higher probability trades.
Important Note:
Open-source Skript
Ganz im Sinne von TradingView hat dieser Autor sein/ihr Script als Open-Source veröffentlicht. Auf diese Weise können nun das Script auch andere Trader verstehen und prüfen. Vielen Dank an den Autor! Sie können das Script kostenlos verwenden. Die Nutzung dieses Codes in einer Veröffentlichung wird in unseren Hausregeln reguliert. Sie können es als Favoriten auswählen, um es in einem Chart zu verwenden.
Haftungsausschluss
Die Informationen und Veröffentlichungen sind nicht als Finanz-, Anlage-, Handels- oder andere Arten von Ratschlägen oder Empfehlungen gedacht, die von TradingView bereitgestellt oder gebilligt werden, und stellen diese nicht dar. Lesen Sie mehr in den Nutzungsbedingungen.