MACD BBands

MACD BBands is a trading system based on MACD and Bollinger Bands placed in a single window. The indicator shows moving average slope angle (trend) change, compares their ratio (convergence/divergence) and allows sorting out signals using Bollinger Bands. The indicators are calibrated in such a way that the middle Bollinger Bands line is the zero level of the MACD indicator.

Parameters

• Period - Bollinger Bands period;
• Deviations - number of standard deviations;
• Shift - shift relative to price;
• Fast Moving Average - period of the fast moving average;
• Slow Moving Average - period of the slow moving average;
• MA method - averaging method of the moving averages (simple averaging, exponential, smoothed and linear-weighted);
• Apply to - applied price of the moving averages (Close, Open, High for the period, Low for the period, Median, Typical and Linear-Weighted);
• Signal Line - period of the signal line;
• Color Bars (Trend MA) – change the color of the indicator bars when changing Fast and (or) Slow Moving Average slope angles.

An edge of bars colored in accordance with a trend and MACD histogram color during the narrowing Bollinger Bands are used as a market entry/exit signal. Color of the MACD histogram can be customized in the properties window of the indicator - slope angles of the Fast Moving Average or Slow Moving Average in the main window of the current chart change individually or both together.