WeaknessInAStrongTrend

Description

The Weakness In A Strong Trend study analyzes abnormal behavior (weakness) of the price plot based on disagreement between price and its moving average.

A Long signal (yellow arrow) is suggested after three bars in a row each having price lower than the previous while moving average is still rising. A more confident signal (green arrow) is produced if this happens for four bars in a row. Conversely, the Short signal (light red arrow) is given after three consecutive higher prices while moving average is declining; a stronger signal (red arrow) is produced after four consecutive higher prices.

Input Parameters

Parameter Description
price The price used in calculations.
length The number of bars used in calculation of the average.
average type The type of average used in calculations.

Plots

Plot Description
LongSignal Plot displaying Long signals.
ShortSignal Plot displaying Short signals.

Example*

*For illustrative purposes only. Not a recommendation of a specific security or investment strategy.

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