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SMA with ATR Bands
SMA with ATR Bands
This custom indicator combines the Simple Moving Average (SMA) with Average True Range (ATR) bands. It’s designed to help traders identify potential price reversals and gauge volatility. Here’s what it does:
Simple Moving Average (SMA):
The SMA represents the average price over a specified period.
It acts as a trend-following line, smoothing out price fluctuations.
The blue line on the chart represents the SMA.
ATR Bands:
The ATR measures volatility by calculating the average range between high and low prices.
We add and subtract the ATR (multiplied by a user-defined factor) from the SMA to create the bands.
The green upper band and red lower band dynamically adjust based on volatility.
How to Use It:
Volatility Signals: When the bands are close together (a “squeeze”), it indicates low volatility. A breakout often follows.
Overbought/Oversold: Price touching the upper band suggests overbought conditions, while touching the lower band suggests oversold conditions.
Trend Confirmation: The indicator can confirm trends.
Feel free to use this indicator on TradingView to enhance your trading strategy. Remember to customize the parameters according to your preferences. Happy trading! 📈🚀
This custom indicator combines the Simple Moving Average (SMA) with Average True Range (ATR) bands. It’s designed to help traders identify potential price reversals and gauge volatility. Here’s what it does:
Simple Moving Average (SMA):
The SMA represents the average price over a specified period.
It acts as a trend-following line, smoothing out price fluctuations.
The blue line on the chart represents the SMA.
ATR Bands:
The ATR measures volatility by calculating the average range between high and low prices.
We add and subtract the ATR (multiplied by a user-defined factor) from the SMA to create the bands.
The green upper band and red lower band dynamically adjust based on volatility.
How to Use It:
Volatility Signals: When the bands are close together (a “squeeze”), it indicates low volatility. A breakout often follows.
Overbought/Oversold: Price touching the upper band suggests overbought conditions, while touching the lower band suggests oversold conditions.
Trend Confirmation: The indicator can confirm trends.
Feel free to use this indicator on TradingView to enhance your trading strategy. Remember to customize the parameters according to your preferences. Happy trading! 📈🚀
开源脚本
本着TradingView的真正精神，此脚本的创建者将其开源，以便交易者可以查看和验证其功能。向作者致敬！虽然您可以免费使用它，但请记住，重新发布代码必须遵守我们的网站规则。
免责声明
这些信息和出版物并不意味着也不构成TradingView提供或认可的金融、投资、交易或其它类型的建议或背书。请在使用条款阅读更多信息。
免责声明
这些信息和出版物并不意味着也不构成TradingView提供或认可的金融、投资、交易或其它类型的建议或背书。请在使用条款阅读更多信息。