MAHL Bands and Directional Movement Entry Signals

Summary

The MAHL Band indicator plots short moving averages of bar highs and lows, their midpoint, and a wider channel based on the highest high-average and lowest low-average over a rolling window. The default moving-average length is three bars, while the outer channel uses a 60-bar lookback. These lines provide a visual framework for tracking price structure.

The accompanying strategy marks and enters long when its low-side price condition is met, prior positive directional movement exceeds negative movement, and the midpoint average is rising. The short setup applies the mirrored high-side condition, favors negative directional movement, and requires a falling midpoint. The directional movement values are taken from the prior bar. The document publishes a one-minute base period and ten-minute BTC/USDT futures test window of roughly one month, but gives no performance statistics, exits, or risk controls. The source also declares an indicator while calling strategy entry functions, so the implementation as shown may require correction before use as a backtest.

Key ideas

• The band uses moving averages of bar highs and lows, their midpoint, and rolling extrema to form wider boundaries.
• Long signals combine a low-side price test with positive directional movement and a rising midpoint.
• Short signals combine a high-side price test with negative directional movement and a falling midpoint.
• The published BTC/USDT futures settings do not include performance results or exit and risk rules.
• The source mixes indicator declaration with strategy orders, which may prevent direct backtesting as shown.

Tags

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