EMA Trend Indicator

EMA Trend is a client side VTL indicator to identify trade in trending markets and to determine market reversals. It is based upon EMA and price Highs and Lows.

It has four components, EMA calculated from FAST_PERIOD for the High (BLUE) and Low (RED) prices, and EMA calculated from the SLOW_PERIOD for the High (MAGENTA) and Low (DODGER BLUE) prices.

Basically, the fast EMA responds quickly to price movements and therefore is useful in determining breakouts. The High and Low prices are used instead of Close prices to avoid whipsaws in sideways markets. Using Highs and Lows, allows us to confirm and select only strong trends and filter out weak trends.

BUY – Place Buy position when the price crosses above all the four lines. Place stoploss below the lowest of the four lines.

SELL – Place Sell postion when the price crosses below all the four lines. Place stoploss above the highest of the four lines.

Usage

• Download the attachment.
• Copy it to your company VertexFX  Local VTL Files folder i.e. C:Program FilesCompany Namevtl10Local VTL Scripts
• Restart your Client Terminal or Right Click on “Local VTL Scripts” Tree Node to find the script.