Volatility breakout indicator
There is not much documentation on the usage of this indicator. I am wondering how would one harness this indicator as entry and exit?
It looks like its kind of a breakout strategy, as for long position, one will enter upon the breakout of its upper channel, and exit either price cross under the upper channel again(?), or maybe cross under the lower channel(?). What was the original usage of this indicator? Is it cross over of the upper or bottom channel? Or maybe another way of using it?
More insights into this indicator will be greatly appreciated. Thanks.
Hi guys, seems like this indicator is not very popular? I am struggling to find more documentation on this also. Can anyone pls give some insights on how to use this indicator pls? Has anyone found success in using this for their algo?
Tks
When the volatility measured by this indicator: https://www.prorealcode.com/prorealtime-indicators/volatility-cycle/ is low (means = -1)
and
- if the percentage of price between last high fractal and close is superior to “change”, then the upper channel is equal to last highest high
- if the percentage of price between last low fractal and close is superior to “change”, then the lower channel is equal to last lowest low
so it gives levels of possible breakout