EMA 9/45/90/180/270/360 Reversals

The EMA 9/45/90/180/270/360 Reversals indicator is a multi-layered trend analysis tool that combines six exponential moving averages with linear regression and price extremity detection to identify trend shifts and support/resistance zones.

Usage

The indicator is designed to provide a comprehensive view of the market trend across different time horizons. By plotting multiple EMAs (9, 45, 90, 180, 270, and 360), users can identify the "stacking" of trends from short-term to long-term.

• Trend Identification: When the shorter-term EMAs (like the 9 and 45) are above the longer-term EMAs (like the 180 and 360), the market is in a bullish regime. Conversely, when short-term EMAs are below long-term EMAs, the market is bearish.
• Reversal Signals: The tool monitors specific crossovers, such as the EMA 45 crossing the EMA 180, to signal potential trend reversals.
• Dynamic Fills: The areas between EMA pairs (1-2, 3-4, 5-6) are filled with color to visually represent the strength and direction of specific trend segments.
• Wick Reversals: The script highlights absolute lows and highs over a user-defined comparison period (defaulting to one week), signaling potential exhaustion points or major support/resistance levels.
• Linear Regression: A fast linear regression line is included to provide a smoothed representation of current price action relative to the broader EMA trends.

Details

The script utilizes several layers of technical analysis:

• Exponential Moving Averages: Six EMAs provide a granular look at price momentum.
• Comparison Period Wicks: By calculating the highest high and lowest low over a significant number of minutes (e.g., 10,080 minutes for a week), the script identifies critical price extremities.
• Linear Regression: This component acts as a trend confirmation tool, changing color based on whether the price is above or below the regression line.
• Ichimoku Logic: While not plotted directly, the script incorporates Donchian-based calculations often found in Ichimoku systems to determine internal price averages.

Settings

EMA Periods

• Trigger Line 9/45/90/180/270/360: Adjusts the period for each of the six EMA lines.

Wick Analysis

• Comparison period (minutes): The lookback window in minutes used to identify the highest high or lowest low.
• Show low wicks: Toggles the visibility of marks at the period's lowest point.
• Show high wicks: Toggles the visibility of marks at the period's highest point.

Additional Logic

• Conversion/Base/Lagging Span Periods: Settings for internal Donchian calculations.
• Displacement: The offset used for internal Ichimoku-style calculations.
• Linear Regression Length Fast/Slow: Controls the smoothing length for the linear regression trend lines.

FAQ

How do I use the reversal signals?

Reversal signals are most effective when a crossover (e.g., 45 EMA crossing 180 EMA) aligns with price breaking the fast linear regression line.

What do the colored fills represent?

The fills represent the relationship between specific EMA pairs. Green/Blue fills typically indicate a bullish alignment between those two averages, while Red/Orange fills indicate a bearish alignment.

How can I access the EMA 9/45/90/180/270/360 Reversals?

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