Trend Clouds from Smoothed FATL and SATL Filters

Summary

This indicator displays a trend cloud between two smoothed digital filters, FATL and SATL. The cloud offers a visual way to compare the filters’ movements and follow their relationship as a trend signal. The document identifies the indicator’s underlying smoothing library and points to separate material describing how that library handles intermediate price calculations.

The description does not explain the cloud’s precise interpretation, entry or exit rules, parameter choices, or performance. It provides no backtest or other evidence that the signal predicts returns. Traders would need to inspect the implementation and test the indicator across instruments and timeframes, including how smoothing affects signal delay, before using it in a strategy.

Key ideas

• The indicator plots a trend cloud between smoothed FATL and SATL digital filters.
• It relies on classes from a separate smoothing library.
• The description does not specify trading rules or provide performance evidence.
• Any predictive value or lag would need independent testing.

Tags

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