The indicator can work both in automatic and manual mode. In automatic mode, the optimal periods are selected, in my opinion, depending on which timeframe is being analyzed at the current moment. In manual mode, you can set the required period yourself.
You can also set the method of smoothing the moving averages yourself and apply them to the opening or closing, the minimum of the bar, etc.
An important point: it is possible to enable/disable graphical functions that may not be required - just check the box next to the function that you want to see on your indicator.
- Show ConDiv? - enabling / disabling the convergence/divergence function of the moving averages of the indicator (not to be confused with the for the asset price chart)
- Show ma? - enabling/disabling the graphical display of the moving averages of the indicator
- Show RSI? - enabling / disabling the standard indicator (if you want to see only it, check the box opposite; in this case, you need to remove the other two checkboxes)
- I abolished the mode of selecting moving averages and instead added a new moving average smoothing function, which outputs the average value of all the smoothing functions that I currently know. Thus, the new function carries some of the advantages of various moving averages and somewhat smooths out some of their disadvantages.
- I also decided to remove the slow moving average from this indicator, because its reaction to changes in the chart data turned out to be too slow.
- Now the indicator displays the intersection of the index itself and its fast moving average. At the same time, the convergence/divergence of these lines is now displayed in the indicator window much more correctly than it was before.
- The "Divider" parameter directly affects the sensitivity of the moving average of the relative strength index - the higher its value, the more sensitive the moving average is.
- In the updated indicator, you can see a checkbox with the name: "Use VWMA?". It is needed so that it is possible to remove volume smoothing from the calculation of moving averages. This may be necessary in order to be able to analyze instruments that do not have trading volumes. for example, the dollar index (DXY)
In general, now the indicator has become much more sensitive and at the same time much more accurate than before. Good luck in your trading!
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.