[Autoview][Alerts] Dual MA Ribbons R0.12

The [Autoview][Alerts] Dual MA Ribbons R0.12 indicator is a dual-ribbon moving average tool designed to capture the behavior of both short-term traders and long-term investors. It provides automated alert signals compatible with third-party extensions while offering integrated risk management features to track stop losses and profit targets.

Usage

This tool can be used to identify trend alignment and potential entry or exit points through the interaction of two ribbons. The Traders Ribbon (Fast) consists of a lower and upper MA that changes color based on trend direction (Aqua for uptrend, Blue for downtrend), while the Investors Ribbon (Slow) uses Green and Red to signify long-term trends.

Traders typically look for signals where the ribbons align:

• Long Entry: Indicated by green triangles when the fast ribbon crosses above the slow ribbon or trends favorably.
• Short Entry: Indicated by dark red triangles when the fast ribbon crosses below the slow ribbon.
• Exit Monitoring: The script plots distinct markers for trade closure reasons:
  • Dark Red Labels: Stop Loss hit.
  • Green Labels: Target Profit hit.
  • Purple Labels: Trailing Stop hit.
  • Orange Labels: Closed due to an opposite signal.

Details

The script utilizes two groups of moving averages to filter out market noise. The "Traders Ribbon" captures short-term momentum, while the "Investors Ribbon" represents the broader market trend. A unique feature is the Anchor Timeframe multiplier, which allows users to calculate MAs based on a higher timeframe while viewing them on a lower timeframe (e.g., viewing 60m ribbons on a 15m chart) to establish more precise stop loss conditions.

For Renko chart users, the script includes a specialized calculation mode. It is recommended to use "Traditional" Renko bricks with wicks disabled and a low timeframe (like 1min) to ensure the most accurate brick creation and signal generation.

Settings

General Settings

• IS This a RENKO Chart: Enables specific logic for Renko bricks to ensure accurate signal processing.
• Alternate TimeFrame Multiplier: Multiplies the MA lengths to simulate higher timeframe averages on the current chart.
• Show Coloured MA Ribbons: Toggles the visibility of the shaded areas between moving averages.
• Show Ribbon Median MA Lines: Displays the central dotted lines for both the Fast and Slow ribbons.

Fast Ribbon MAs

• FAST MA Ribbon Type: Selects the moving average algorithm for the Traders Ribbon (options include EMA, SMA, WMA, VWMA, etc.).
• FAST Ribbon Lower/Upper MA Length: Sets the periods for the two MAs that form the fast ribbon.

Slow Ribbon MAs

• SLOW MA Ribbon Type: Selects the moving average algorithm for the Investors Ribbon.
• SLOW Ribbon Lower/Upper MA Length: Sets the periods for the two MAs that form the slow ribbon.

FAQ

How do I use the alert syntax for automation?

The script is designed to trigger alerts that can be captured by external extensions. You should configure your alerts to trigger "Once Per Bar Close" for entry signals to ensure the trend is confirmed.

Can I use this on any asset?

Yes, the Dual MA Ribbons can be applied to any asset class, including Forex, Crypto, and Stocks, provided the MA lengths are tuned to the specific volatility of the asset.

How do I access this tool?

You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.