ColorXvaMA Uses Standard Deviation to Display Trend Strength

Summary

This document describes a modified variable moving-average indicator that can replace its averaging method, display the latest value as a price label, and round channel levels to a chosen number of digits. Its main analytical feature is a three-level trend-strength display based on the standard deviation of the XvaMA indicator. With standard deviation between two configurable thresholds, the indicator draws a small dot colored for the current trend direction; above the upper threshold, it draws a larger dot. No dots represent weak strength.

The text explains the visual encoding and identifies the threshold coefficients and digit setting as inputs. It does not provide trading rules, parameter-selection guidance, backtest results, or evidence that the dot categories predict future returns. Implementation also relies on classes from an external smoothing library that must be available in the MetaTrader include folder. The description is therefore useful for understanding the indicator's display logic, while leaving its effectiveness and appropriate settings untested.

Key ideas

• The indicator uses standard deviation of XvaMA to classify trend strength into weak, medium, and strong levels.
• Medium strength is shown with a small dot, while readings above the upper threshold use a larger dot.
• Dot color indicates the current trend direction.
• A configurable input controls rounding precision for channel levels and the displayed price label.
• The document gives no backtest or evidence that the visual signal is profitable.

Tags

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