Description
The Swami Swing Wave study is a technical indicator designed for Thermo Mode; it analyzes price action to isolate short-term wave peaks and troughs. Like in all Thermo Mode specific studies, shorter lookback periods reflect recent changes, middle range periods are used for confirmation, and the longest ones signify possibility of continuation.
In order to extract solely the short-term wave components, Swami Swing Wave employs digital signal processing techniques. In default color scheme, wave peaks are indicated by orange areas against blue background, and troughs are displayed by flashes of blue. Basic rule about using this indicator: avoid buying when the trough is detected in downtrend and, conversely, avoid selling in the uptrend when the peak has emerged.
Input Parameters
| Parameter | Description |
|---|---|
price
|
The price used in calculations. |
length
|
The number of bars used in calculations. |
Plots
| Plot | Description |
|---|---|
Aurora
|
The Swami Swing Wave plot used in Thermo Mode. |
Example*
*For illustrative purposes only. Not a recommendation of a specific security or investment strategy.