SSL Channels for Moving Average Trend State Signals
Summary
The SSL Channel indicator uses two moving averages, one calculated from highs and one from lows, to define a directional state. When price moves above the high-based average, the state turns bullish; when it moves below the low-based average, it turns bearish. The channel lines switch positions to reflect that state, and labels and alerts can mark changes. Users can choose SMA, EMA, RMA, WMA, or VWMA calculations and adjust source prices and lengths.
A second, independently configured channel can be enabled, and wick-based comparisons can replace close-based comparisons. The published strategy entries respond to state changes in the second channel, while the first channel also generates plotted signals and alerts. The document supplies settings for a BTC/USDT futures backtest over a short historical window, but no performance results or evaluation methodology. It therefore describes indicator mechanics and implementation options rather than evidence of profitability. Moving-average signals lag, and the source does not specify position sizing, transaction costs, or a broader risk framework.
Key ideas
- The channel compares a moving average of highs with a moving average of lows to represent trend state.
- The state turns bullish above the high average and bearish below the low average, using either closes or wick extremes.
- Five moving-average methods and configurable price sources and lengths are available.
- A second channel can produce strategy entries when its state changes, but no performance results are reported.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.