This is a moving average crossover using two Hull Moving averages. It can change colour on slope, on the crossover or if the price is above/below the moving averages.
Use the crossover as signals for entering a trade in the long or short direction.
The Hull Moving Average (HMA), developed by Alan Hull, is an very fast and smooth moving average. It has very little lag, and follows the price closely.
Parameters:
Parameter Default value Options Fast Hull MA period 30 Any number of bars Fast Hull MA Divisor/Speed 2.0 Decimal value Fast Hull MA price method Close Open, Close, High, Low, Median, Typical, Weighted Slow Hull MA period 50 Any number of bars Slow Hull MA Divisor/Speed 2.0 Decimal value Slow Hull MA price method Close Open, Close, High, Low, Median, Typical, Weighted Visual colour of moving average Change colour on Crossover Change colour on crossover
Change colour on slope direction of each of the moving averages
Change colour if price is above/below Hull Moving AverageFor crossover type trades:
When the fast moving average crosses above the slow moving average, look for buy entries. (Both MA should be green)
When the fast moving average crosses below the slow moving average, look for sell entries. (Both MA should be red)
For slope direction change:
Look for change of color of the MA you want to follow, and use the other as confirmation. Green for buy/long trades, and red for sell/short trades.
The indicator can also be used to show the current trend direction, by looking at the color of the Hull Moving averages.
