This is a version 3 of my mod of the script by alexgrover - Efficient Trend Step.
The logic is based on calculation of Kaufman's efficiency ratio (ER):
ER = Direction / Volatility
Direction = ABS (Close – Close )
Volatility = n ∑(ABS(Close – Close ))
n = The efficiency ratio period.
This version features volatility and volume filter and custom...
Plots Daily and Weekly 10 & 5 EMAs (but fully customizable to your own).
In addition to plotting the EMAs it color coordinates trend bias and has cross confirmation signals.
Philosophy and how to read:
I use this indicator when trading strictly on the daily timeframe. I have not tested it on other timeframes.
In my trade system I start with both the monthly...
How does this indicator works and what it is?
It consist of 3 T3 moving averages. T3 moving average was developed by by Tim Tillson and is considered superior to traditional moving averages as it is smoother, more responsive and thus performs better in ranging market conditions as well.
This indicator works on any stock, index, future or cryptocurrency.