Cross UO v1

5 במאי 2020

This is my first script.

I use 2x UO's as a tool to identify the stability and overall condition of a trend.
The UO colored blue is more reactive to price change (candles) than red one, because it takes into account less candles.
The difference in rates of change is a mass mental condition of a market.
The combo might predict the reversals too.

How to read a chart using it?

• We'd know the uptrend is stable when Blue UO fluctuates OVER Red UO.
  
• As blue UO reaches red band - it's time for reversal.
  
• To confirm the reversal of an uptrend - Blue UO must cross below Red UO.
  
• During downtrend, the blue and red UOs are reaching green band which would indicate that market is oversold.
  
• Once Blue UO touches green band and crosses above red UO - it's time for downtrend to reverse it's direction.