Middle High-Low Moving Average for Trend Signals

Summary

The middle high-low moving average (MHLMA) is formed by finding the highest high and lowest low over a recent range, taking their midpoint, and smoothing that series with a simple moving average. The described default settings use a three-period range and a ten-period smoothing window. The result is intended to track the center of a recent price range with added smoothing.

The source attributes the indicator to V. Apirine and says it can be combined with a conventional moving average to generate trend-following signals. It explains the calculation and provides an indicator implementation, but does not specify precise entry or exit rules for the combined signals. No market, backtest, comparative evidence, or risk analysis is supplied, so the text establishes how to calculate the indicator rather than demonstrating its effectiveness. Its usefulness will depend on parameter choices and validation in the intended market and timeframe.

Key ideas

• MHLMA takes the midpoint between a recent highest high and lowest low.
• It smooths the midpoint series with a simple moving average.
• The stated defaults use three periods for the range and ten periods for smoothing.
• The indicator is proposed for combination with a traditional moving average to form trend-following signals.
• The document explains the calculation but supplies no performance tests or full signal rules.

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