Candle Ribbon [UkutaLabs]

The Candle Ribbon is a powerful trading tool that creates a strong ribbon that indicates market strength. This ribbon is created using three moving averages that use the candle values (high, low, open and close) as its input values.

The center most MA will also be colored green, red or grey depending on whether or not its direction aligns with current market strength.

The outer band lines act as range indicators, plotted above and below the center ribbon, which represent volatility boundaries for price action.

█ USAGE

The Candle Ribbon is created using a series of three moving averages that uses values from the candle as its inputs. The user has the ability to select whether the moving averages are EMAs or SMAs, as well as the ability to control the period of the moving averages.

If the moving average calculated using the Candle Open is below the moving average calculated using the Candle Close, the ribbon will be colored green, indicating a bullish trend. If the moving average calculated using the Candle Open is above the moving average calculated using the Candle Open, the ribbon will be colored red, indicating a bearish trend.

This indicator also uses a series of hidden EMAs to determine market strength. If these EMAs do not align with the direction of the Candle Ribbon, the middle MA will instead be colored grey, indicating uncertainty in the market, as well as a possible reversal.

█ SETTINGS

Configuration

• Moving Average Type: Determines whether or not the Candle Moving Averages will be drawn as EMAs or SMAs.
• Moving Average Period: Determines the period of the Candle Moving Averages.

Moving Average

• Moving Average Input: Determines the input values for the hidden EMAs.