Channel Exit Momentum Sell Signal
The sell signal is triggered when the price falls below the lower bounds of both channels, indicating strong bearish pressure. Specifically:
Channel 1 and Channel 2: These are based on a Simple Moving Average (SMA) with a range adjusted by a multiplier. These channels represent dynamic support zones.
Breaking the lower bound: When the price breaks below the lower bound of both channels, it means the price has fallen below the support levels defined by these moving averages. This suggests that the bullish trend has lost strength and a bearish continuation is likely.
Confirmation: To avoid false signals, the condition requires the price to stay below these bounds for two consecutive candles, reinforcing the likelihood of a sustained bearish trend.
Channel 1 and Channel 2: These are based on a Simple Moving Average (SMA) with a range adjusted by a multiplier. These channels represent dynamic support zones.
Breaking the lower bound: When the price breaks below the lower bound of both channels, it means the price has fallen below the support levels defined by these moving averages. This suggests that the bullish trend has lost strength and a bearish continuation is likely.
Confirmation: To avoid false signals, the condition requires the price to stay below these bounds for two consecutive candles, reinforcing the likelihood of a sustained bearish trend.
Get Access to Pinescriptlabs Indicators pinescriptlabs.com/
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.