Color-Coding Moving Averages by Slope Angle

Summary

The document describes a visual modification to conventional moving averages: their color varies with the angle of the moving average's slope. Stronger upward angles are shown closer to a designated fast-up color, while smaller angles shift toward a fast-down color, with intermediate angles represented by a gradient. A configurable angle threshold determines when the color reaches the endpoint associated with a fast move; the stated default threshold is 20 degrees.

This is a charting aid rather than a complete trading method. The text does not specify how the slope angle is computed, how price and chart scaling affect it, or whether the color changes generate useful entries or exits. It provides no examples, performance comparisons, or risk rules, so traders would need to define and test those details before using the display as a signal.

Key ideas

• Moving average colors vary according to the angle of the line's slope.
• Steeper upward slopes move toward a fast-up color, while smaller angles move toward a fast-down color.
• A gradient represents intermediate slope angles.
• The color threshold is configurable, with a stated default of 20 degrees.
• The document gives no trading rules or evidence that the color scheme improves performance.

Tags

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