EMD Trend is a dynamic trend-following indicator that utilizes Exponential Moving Deviation (EMD) to build adaptive channels around a selected moving average. Designed for traders who value responsive trend signals with built-in volatility sensitivity, this tool highlights directional bias, market regime shifts, and potential breakout opportunities.
How It Works
Instead of using standard deviation, EMD Trend employs the exponential moving average of the absolute deviation from a moving average—producing smoother, faster-reacting upper and lower bounds:
Trend direction is defined by price interaction with these bands, and visual cues (color-coded bars and fills) help quickly identify market conditions.
Features
Backtest Mode
Switch to Backtest Mode for performance evaluation over historical data:
Alerts
Built-in alerts let you automate entries, exits, and trend transitions:
Use Cases
Disclaimer
How It Works
Instead of using standard deviation, EMD Trend employs the exponential moving average of the absolute deviation from a moving average—producing smoother, faster-reacting upper and lower bounds:
- Bullish (Risk-ON Long): Price crosses above the upper EMD band
- Bearish (Risk-ON Short): Price crosses below the lower EMD band
- Neutral: Price stays within the channel, indicating potential mean reversion or low momentum
Trend direction is defined by price interaction with these bands, and visual cues (color-coded bars and fills) help quickly identify market conditions.
Features
- 7 Moving Average Types: SMA, EMA, HMA, DEMA, TEMA, RMA, FRAMA
- Custom Price Source: Choose close, hl2, ohlc4, or others
- EMD Multiplier: Controls the width of the deviation envelope
- Bar Coloring: Candles change color based on current trend
- Intra-bar Signal Option: Enables faster updates (with optional repainting)
- Speculative Zones: Fills highlight aggressive momentum moves beyond EMD bounds
Backtest Mode
Switch to Backtest Mode for performance evaluation over historical data:
- Equity Curve Plot: Compare EMD Trend strategy vs. Buy & Hold
- Trade Metrics Table: View number of trades, win/loss stats, profits
- Performance Metrics Table: Includes CAGR, Sharpe, max drawdown, and more
- Custom Start Date: Select from which date the backtest should begin
- Trade Sizing: Configure capital and trade percentage per entry
- Signal Filters: Choose from Long Only, Short Only, or Both
Alerts
Built-in alerts let you automate entries, exits, and trend transitions:
- LONG (EMD Trend) - Trend flips to Long
- SHORT (EMD Trend) - Trend flips to Short
- RISK-ON LONG - Price crosses above upper EMD band
- RISK-OFF LONG - Price crosses back below upper EMD band
- RISK-ON SHORT - Price crosses below lower EMD band
- RISK-OFF SHORT - Price crosses back above lower EMD band
Use Cases
- Trend Confirmation with volatility-sensitive boundaries
- Momentum Entry Filtering via breakout zones
- Mean Reversion Avoidance in sideways markets
- Backtesting & Strategy Building with real-time metrics
Disclaimer
- This indicator is intended for informational and educational purposes only. It does not constitute investment advice. Historical performance does not guarantee future results. Always backtest and use in simulation before live trading.
Script open-source
Dans l'esprit de TradingView, le créateur de ce script l'a rendu open-source, afin que les traders puissent examiner et vérifier sa fonctionnalité. Bravo à l'auteur! Vous pouvez l'utiliser gratuitement, mais n'oubliez pas que la republication du code est soumise à nos Règles.
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.
Script open-source
Dans l'esprit de TradingView, le créateur de ce script l'a rendu open-source, afin que les traders puissent examiner et vérifier sa fonctionnalité. Bravo à l'auteur! Vous pouvez l'utiliser gratuitement, mais n'oubliez pas que la republication du code est soumise à nos Règles.
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.