This is my new "magnifier" Zero-Lag Weighted AVErage (K_WAve). the idea I was looking for is to create a moving average that magnifies the price moves and trend direction changes - with as minimum lag as possible.
the concept is mathematically simple, and is based on the same Zero-lag MA technique used in DEMA & TEMA. The values of the line should not be referred to - they mean very little, it's the color and relative position of the peaks/troughs that really matter. Also the intersection points with other MA's on the chart.
Interesting that the K_WAve will indicate trend change sometimes before the Zero-lag WMA. the base WMA and the Zero-lag WMA are exposed by default (can hide them from Study Settings)
- K_WAve can be used for swing trading or integrated with trend-following techniques with entry on retraces - the retraces (hooks) can be made more obvious using the K_WAve line.
- this works on time or tick charts and any aggregation.
- added optional smoothing and adjustable "magnification factor". when set to Smoothing = 1, and Magnify = 0, K_WAve becomes a regular zero-lag WMA.
- Up/Down colors adjustable from study settings.
Feedback welcome.
RedK
Category The Elite Circle
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