Kase Dev Stop: Volatility-Based Warning and Stop Levels
Summary
The document presents a ProRealTime version of the Kase Dev Stop indicator, described as a money management tool. It calculates a range measure from price highs, lows, and prior closes, then uses its recent average and standard deviation to produce a warning line and three progressively wider deviation levels. A comparison of fast and slow moving averages determines whether the levels are placed above or below the typical price, adapting their direction to the indicated market trend.
The supplied defaults are a 20-period range calculation and moving average periods of 5 and 21, with deviation multipliers of 1, 2.2, and 3.6. The document offers no trading rules, performance results, or testing evidence, so it does not establish how entries, exits, or risk limits should be set. The code is presented as an indicator example; its description of the calculation is brief, and implementation details should be checked before relying on it for live risk management.
Key ideas
- The indicator derives a range measure from current prices and prior bars, then calculates its average and standard deviation.
- A fast and slow moving average comparison selects whether the warning and deviation levels sit above or below typical price.
- Three deviation levels use progressively larger multipliers to show wider price thresholds.
- The document supplies indicator code but no entry rules, exit rules, or performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.