Trend Vector Pro: Smoothed Momentum States and Signal Filters
Summary
The available script excerpt defines a trend-state indicator and strategy framework based on a smoothed Awesome Oscillator. It subtracts a slow simple moving average of the midpoint price from a faster one, then smooths the result with an exponential moving average. The sign and direction of that smoothed momentum assign strong or weak bullish and bearish states; values near zero relative to a rolling noise threshold are marked neutral. Inputs allow the momentum lengths and smoothing to be changed.
The excerpt also includes an optional ADX filter that requires trend strength to exceed a chosen threshold, along with settings for signal mode and pivot-line display. The document is incomplete: it ends during the script, before the entry and exit rules, so the strategy’s trade logic and results cannot be assessed. It gives no backtest evidence or discussion of costs, risk, or failure modes. The visible state labels and filters should therefore be treated as indicator design details, not proof of a profitable trading system.
Key ideas
- The momentum engine compares fast and slow moving averages of the price midpoint and smooths their difference.
- Momentum sign and direction classify states as strong or weak bullish or bearish.
- A rolling standard-deviation threshold assigns a neutral state when momentum is close to zero.
- An optional ADX filter can restrict signals to markets above a configurable trend-strength threshold.
- The excerpt omits the strategy’s trade rules and performance evidence, limiting evaluation.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.