Adaptive Moving Average with Standard-Deviation Trend Strength

Summary

This indicator combines a variable moving average with a display of trend direction and strength. It can round the latest value and channel levels to a chosen number of digits, and places colored dots on the moving average to show the trend. The description identifies a standard-deviation calculation as the basis for the strength signal.

Strength is represented in three states: no dot for weak conditions, a small dot for medium conditions, and a larger dot for strong conditions. The two threshold inputs determine when the dot appears and when it grows; its color indicates direction. The document describes the indicator’s settings and display behavior, but gives no formula details, chart results, trading rules, or performance evidence. It also notes a dependency on a smoothing-algorithm library, so the indicator requires that library to be available in the platform’s include folder.

Key ideas

• The indicator uses a variable moving average and can round displayed values to a specified precision.
• Colored dots indicate trend direction, while their presence and size represent three strength levels.
• Two standard-deviation thresholds control the transition from no dot to a small or large dot.
• The description provides no backtest or evidence that the signals predict profitable trades.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.