Elder Impulse Release
The purpose of Impulse Release is to prevent trading in the wrong direction. While the Impulse System operates in a single timeframe, Impulse Release is based on two timeframes. It tracks both the longer and the shorter timeframes to find when the Impulse points in the same direction on both.
Its color bar flashes several signals:
- If one timeframe is in a buy mode and the other in a sell mode, the signal is "No Trade Allowed", a black bar.
- If both are neutral, then any trades are allowed, showing a cyan bar.
- When one is bullish while the other is either bullish or neutral, there is a green bar, allowing traders to buy and prohibiting shorting.
- When one is bearish while the other is either bearish or neutral, a ;red bar signals that shorts are permitted, while long trades are not allowed.
- MACD_Short_Length (12) – The short EMA for the MACD calculation.
- MACD_Long_Length (26) – The long EMA for the MACD calculation.
- MACD_Smoothing_Length (9) – The smoothing value for the Signal line.
- TimeRatio (9) – This is the ratio of the two timeframes. For a system using daily for the short and weekly for the long this is 5. If you are trading 10 min bars and using hourly as long use 6, etc.
- Short_EMA_Length (13) – The short EMA used to calculate value in the impulse system.