Combining MACD Momentum and Bollinger Band Volatility Signals
Summary
Trend Vision is described as a custom MT4 indicator that combines MACD with Bollinger Band calculations. MACD is used to represent momentum shifts and trend strength, while the bands use a moving average and standard deviation to describe volatility. The indicator is said to display color changes and chart markers when its conditions align, with optional alerts and settings that adjust signal strictness.
The listed inputs include fast and slow MACD periods, a shared band calculation length, a standard deviation multiplier, and a limit on the number of bars processed. A stricter alert option is described as notifying only on the first change above or below zero. The document provides no formula for the combined signal, examples of trades, backtest results, or evidence that the method filters false moves. It presents configurable indicator behavior, not a tested trading strategy, and offers no guidance on exits or risk management.
Key ideas
- The indicator combines MACD momentum readings with Bollinger Band volatility calculations.
- MACD uses fast and slow moving averages to assess momentum.
- Bollinger Bands use a moving average and standard deviation to represent volatility.
- Color changes, chart markers, and several alert types can communicate indicator changes.
- The document gives parameters and features but no performance evidence or complete trade rules.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.