Using Three Fast Hull Averages to Assess Trend and Range

Summary

The indicator combines three fast, smoothed Hull moving averages calculated from closing, high, and low prices. Their slopes provide a view of trend direction: the suggested approach is to wait until all three instances show the same slope color, then use that shared direction as a trend signal.

The high and low averages also form a channel that can help identify ranging conditions, which the author proposes treating as a possible no-trade zone. The description gives a conceptual usage rule but supplies no performance evidence, entry or exit specifications, or risk controls. It recommends experimenting with the Hull period to suit the instrument and trading style, so the indicator’s behavior depends on parameter choice and requires separate evaluation before use.

Key ideas

• The indicator applies three fast Hull averages to close, high, and low prices.\nA shared slope color across all three averages is proposed as a trend cue.\nThe channel between the high and low averages can flag ranging conditions.\nThe author suggests tuning the Hull period to the instrument and trading style.\nNo backtest results or risk management rules are provided.

Tags

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