Modulated Moving Average
Modulated Moving Average is an indicator which displays a Modified Moving Average. Modulated Moving Average can be used for manual trading or built into an Expert Adviser for automated trading.
It is presented as a line chart which you may change the color.
This indicator modifies a Moving Average in the following way:
- The Modulated Moving Average (MMA) will remain flat until the price moves in a direction strong enough to overcome the Delta Parameter.
- The MMA will step to the new level and remain flat again until the Delta Parameter is overcome by another strong price movement.
MMA is best used for reducing noise of a regular moving average. You can easily find ranging (flat or unchanging) markets. You can also quickly spot market trends.
For automated trading, use the indicator buffer of the double type:
- Modulated Moving Average - buffer 0.
Consider using this indicator to create a typical Moving Average Crossing Expert Adviser. Using this indicator is a great way to avoid false signals due to market noise.
- MAPeriod - Period of the Modulated Moving Average.
- MAMethod - Method of averaging the Modulated Moving Average:
- MODE_SMA - 0.
- MODE_EMA - 1.
- MODE_SMMA - 2.
- MODE_LWMA - 3.
- PRICE_CLOSE - 0.
- PRICE_OPEN - 1.
- PRICE_HIGH - 2.
- PRICE_LOW - 3.
- PRICE_MEDIAN - 4.
- PRICE_TYPICAL - 5.
- PRICE_WEIGHTED - 6.
Modulated Moving Average was created by Hilton Global LLC.