This indicator is based on moving averages and ATR (Average True Range). The indicator allows determining the direction of the current trend in the market. The indicator calculation formula is designed in such a way the that the volatility of the currency pair is taken into account.
When the market volatility decreases, the indicator lines come closer; when the volatility increases, the indicator lines move away. If an uncertain situation is established in the market (flat), the indicator lines are in a horizontal position.
The price crossing both the indicator lines should primarily be considered as trade signals.
- Period - indicator period.