FDI-Adaptive Jurik-Filtered Triangular Moving Average with Price Zones

Summary

This document explains a trend indicator that combines an FDI-based adaptive window, a triangular moving average, and a Jurik filter. Its averaging period contracts in cleaner trends and expands in noisier conditions; Jurik smoothing is then applied to reduce residual jitter. Adaptive bands around the filtered average use a triangularly weighted high-low range. Crossings between the average and its prior value mark direction changes, while slope coloring shows the current direction.

The text describes using the line as a trend filter, the bands as volatility context for pullbacks or extensions, and signals as alerts rather than automatic entries. It provides formulas, configuration defaults, and a ProRealTime implementation, but no backtest or measured trading results. The triangles can occur frequently in choppy conditions, and the proposed applications are examples rather than validated rules. The indicator’s adaptive smoothing and bands do not remove the need to assess execution, instrument behavior, and false signals in each market and timeframe.

Key ideas

• The FDI adjusts the averaging window, shortening it in trending conditions and lengthening it in noisy conditions.
• A triangular moving average is followed by Jurik smoothing to reduce residual fluctuations.
• Adaptive upper and lower zones are based on a weighted measure of recent high-low range.
• Crossovers mark direction changes, while the bands provide context rather than standalone trade signals.
• The document provides implementation details but no backtest evidence for its suggested applications.

Tags

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