Exponential Moving Average Envelopes
are trading bands plotted around a price.
Market reversals occur near the upper and lower bands.
Formula:
EMA is calculated on the input Argument
upper = EMA + (Percentage/100)* EMA
lower = EMA - (Percentage /100) * EMA
Parameters:
Period interval with which to calculate an exponential moving average.
Percentage Multiply by this value to form upper and lower bands
as shown in the formula below
Arguments:
OHLC of TimeFrame, or an output Indicator of a study
configured on the TimeFrame
Output Indicators:
upper
middle
Example:
Study Name Expanded in a 3 minute timeframe:
I3_ExpMAEnvelope(25,20)(I3CloseI3)_I3
This study ExponentialMoving Average Envelope based on the close of the 3 minute period,
with a period of 25 and percentage of 20.
The output indicators names are appended to the studyname,
that is if the studyname is sn1 then
the outputindicator is
sn1::upper
sn1::middle
