Krown Moving Averages & Crossover Levels

The Krown Moving Averages & Crossover Levels indicator calculates and displays specific price levels where different pairs of moving averages will intersect, allowing traders to anticipate crossovers before they occur.

Usage

The Usage section describes how the script can be used to improve entry timing and risk management. By identifying the exact price required for a moving average crossover, traders can eliminate guesswork from their technical analysis.

• Anticipating Crossovers: If the price closes on the opposite side of a projected crossover level, the corresponding moving averages will cross.
• Visualizing Trends: The indicator plots 5 Exponential Moving Averages (EMA) and 3 Simple Moving Averages (SMA) based on default Krown periods.
• Crossover Analysis: Users can track intersections between SMA/SMA, EMA/EMA, and EMA/SMA pairs.
• Dynamic Plotting: Crossover levels can be displayed as lines or dots, color-coded to match the moving average pairs for easy identification.
• Clarity and Scaling: The "Cutoff" function prevents chart scaling issues by hiding levels that are significantly far from the current market price.

Details

The script uses reverse-engineered calculations to determine the price level ($P$) where two moving averages ($MA_1$ and $MA_2$) become equal. For SMAs, it calculates the difference in historical sums; for EMAs, it utilizes the alpha smoothing factor to solve for the required current price.

The default periods are optimized for the Krown trading strategy, featuring EMA lengths of 21, 55, 89, 200, and 377, alongside SMA lengths of 10, 30, and 200. The script includes logic to truncate decimal places, ensuring price accuracy aligns with different asset classes like Forex, Crypto, or Equities.

Settings

• Price Source: Determines the data point used for calculations (default is Close).
• EMA/SMA Lines: Toggles the visibility of the individual moving average lines.
• Cross Lines: Enables or disables the plotting of projected crossover price levels.
• Cross Labels: Displays text labels on the chart indicating the specific price for each projected crossover.
• Cut Plots at Limit: When enabled, removes plots that exceed the specified distance from price to maintain chart focus.
• Limit Factor: Adjusts the threshold for the Cutoff function.
• Label Offset: Controls the horizontal positioning of labels relative to the current bar.
• Decimal Places: Sets the precision for price levels displayed in labels.
• Moving Average Periods: Allows users to customize the length of the 5 EMAs and 3 SMAs.

FAQ

How can I see the exact price needed for a 21/55 EMA cross?
Enable "Cross Labels" in the settings. The indicator will display the specific price level where the 21 EMA and 55 EMA will intersect based on the next close.

Why are some crossover lines not appearing on my chart?
If "Cut Plots at Limit" is enabled, the script hides levels that are too far from the current price. You can disable this setting or increase the "Limit Factor" to see more distant levels.

How do I get access to Krown Moving Averages & Crossover Levels?
You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.