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The indicator is based on two Moving Averages. Its only difference from traditional indicators is that it is presented as a histogram.
The histogram has four colors; each color represents a MA with its own period.
In case of a descending trend, if a price is lower than a moving average, the indicator displays a value lower than the red zero level. In case of ascending trend, the indicator value is higher than the green zero level.
Parameters:
- Period MA 1 – Period of the first moving average.
- MA 1 method: – Method of the first moving average (SMA – simple averaging, EMA – exponential averaging, SMMA – smoothed averaging, LWMA – linearly weighed averaging).
- Apply to: – Application to the price of the first moving average (Close price – price of closing, Open price – price of opening, High price – maximum price for a period, Low price – minimum price for a period, Median price – meridian price, (high+low)/2, Typical price, (high+low+close)/3, Weighted price – weighed average price, (high+low+close+close)/4).
- Period MA 2 – Period of the second moving average.
- MA 2 method: – Method of the first moving average (SMA – simple averaging, EMA – exponential averaging, SMMA – smoothed averaging, LWMA – linearly weighed averaging).
- Apply to: – Application to the price of the second moving average (Close price – price of closing, Open price – price of opening, High price – maximum price for a period, Low price – minimum price for a period, Median price – meridian price, (high+low)/2, Typical price, (high+low+close)/3, Weighted price – weighed average price, (high+low+close+close)/4).
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