Description
⋅ The colored Zones is the combination of the Awesome Oscillator (AO) and Accelerator Oscillator (AC) indicator by Bill Williams.
- If both AO and AC bars are uptrending, the zone is blue
- If both AO and AC bars are downtrending, the zone is red
- If AO and AC have different colors, the zone is gray
Blue and red zones
This zones allows you to trade more aggressively, you could also add to current positions
Gray zone
You should avoid those flat (or choppy) market and don't open new positions or add to your current ones
You could use this indicator also in combination with MACD.
Please always remember, there is no holy grail indicator!