Mashed together the ema-bands from IvanLabrie with some moving average script stuff from ChrisMoody and LazyBear and this is the result. Credit goes to them, 'cause I don't know to how to code tbh. Just copy/pasted stuff untill I got the result I wanted.
Bands work as support/resistance among other things. You can use them to trade breakouts or reversals or whatever. Combining them with a momentum indicator would probably be useful for timing divergence or OB/OS and stuff like that.
Included moving average types;
SMA EMA RMA WMA VWMA HullMA TilsonMA TEMA
Not sure if all of them works as they should... y'know since I cant code/script. Looks good to me though.¨
Default should work pretty good for the DAX, But you'll probably want to fiddle a bit with the settings.
Here's a pic of how they can be used. Ofc everything looks simple in hindsight, but you get the point.
Seems like you have a good method starting here.
What momentum indicator have you used for spotting your divergences in the example above ?
Thanks,
George