Moving Average AF
- Indicators
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Alexandre Favero
My Journey in the Financial Market
I began my journey in the financial market in 2006, at a time when access to complete and well-structured educational materials on the subject was scarce. Faced with this gap, my learning came largely through self-directed study and hands-on experience. - Version: 1.19
- Updated: 19 August 2026
Trend Tracking Indicator
An indicator based on a moving average with dynamic color changes, designed to assist in monitoring price direction and identifying potential changes in trend behavior.
Initial studies were conducted on the M5 and M15 timeframes. However, the indicator can also be tested and used on other timeframes according to each user's methodology and analytical objectives.
When the indicator confirms a change in the line to green, users can monitor the relevant price regions and conduct additional studies using their own analytical tools. These regions can be evaluated to identify possible trend continuation or changes in price behavior.
The same principle applies when the line changes to red. The color change represents a condition for market monitoring and analysis, and may assist in identifying potential changes in price direction.
The objective of the system is to provide a visual tool for trend tracking and monitoring price behavior, allowing each user to apply the indicator according to their own analytical methodology.
Important: Color changes should be used as references for study and monitoring, not as automatic entry triggers or as a guarante
e of a particular price movement. Each user should conduct their own analysis and validate the information provided by the system.
⚠️ ATTENTION — SIGNAL INTERPRETATION
The system should be interpreted by considering the position of the arrows and the predominant color of the Moving Average on the execution chart.
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Downward-pointing arrows + predominant red color: look for studies and potential confluences focused on sell scenarios.
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Upward-pointing arrows + predominant green color: look for studies and potential confluences focused on buy scenarios.
The indicator should be used as a tool for analysis and for identifying potential market scenarios, rather than as an isolated entry trigger.
Multi-Timeframe Confluence System
The methodology seeks to improve the quality of market analysis through confluence across different timeframes. The objective is to determine whether the direction shown on the execution chart is aligned with the market structure and signals observed on higher timeframes.
The analysis can follow a structure such as:
Higher Timeframe → Market context and trend
Intermediate Timeframe → Structure confirmation
Execution Chart → Identification of the region and potential opportunity
When different timeframes present information that is aligned, there is greater confluence of factors supporting the analysis of the scenario.
On the other hand, when different timeframes present conflicting signals, the scenario should be analyzed with greater caution, avoiding the interpretation of a single arrow or color change as sufficient confirmation.
Important: Arrows and colors represent information for study and probability-based analysis. They do not guarantee future price movements and should not be used independently as a buy or sell recommendation.
