Ripple Momentum Indicator[LeonidasCrypto]

Ripple momentum indicator.

This is indicator is not based on any other indicator.

This indicator is a momentum indicator.

How is working?

This indicator is calculating the gap in for each candle and determining the volatility of this candle . Applying WMA average we can get an idea if the volume is coming to the market or not.

Following the same theory as OBV oscillator "Volume will follow the price". This indicator will help to see if the asset is bearish or bullish based on volatility and volume.


How to trade?
Bullish/Bearish divergences

Trends:

Bellow the line 1: the asset should be considered bearish
Above the line 1: the asset should be considered bullish


Longs:

wait for the signal crossing the bands this is telling you the momentum/volume/volatility are expanding.

Shorts:

Wait for the signal crossing below the band. this is telling you the asset is losing momentum/volume/volume are expanding

Band:
This band is acting as dynamic support of resistance.

Sürüm Notları:

Added volatility
Fixed bugs and improved default values after of backtesting