OPEN-SOURCE SCRIPT

[TH] MA Cloud

1 500
This script uses concept of ichmok cloud to SMA . ( But the details are different )
It is useful for 1-3 month swing trading (if open market is 5days in a week).

* Cloud


Simple Moving Average ( SMA ) 20 days & 60 days were used to make cloud region( green, red cloud )

- 20 days, 60days SMA were translated to 20days future from now ( =SMA Leading span 1,2 )

- if 20days sma > 60days sma => green
- if 20days sma < 60days sma => red

- if close price < cloud => The bigger red cloud means stronger resistance
- if close price > cloud = > The bigger green cloud means stronger support


* Leading Span (Most important)


Instead of using lagging span, I used leading span.
We can predict 20 days sma's direction with this leading span & current price(close price)

- if close price makes Dead Cross over leading span & close price < 20days sma

=> 20days sma heading down soon

- if close price makes Golden Cross over leading span & close > 20days sma

=> 20days sma heading up soon


* buy


Buy IF 20days sma heading up soon & close price >= green cloud ( even better if 20days sma >= 60days sma )

OR IF 20days sma heading up soon & close price < red cloud & cloud is small ( low success rate )

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