Banzai wrote: Wed Apr 27, 2022 2:10 am AMA (filtered) [on/off buttons]

Released date: December 20th, 2018
Coder: Mladen

Theory :

In “Adaptive Moving Averages” in this issue (Technical Analysis of Stocks & Commodities, April 2018), author Vitali Apirine introduces an adaptive moving average (AMA) technique based on Perry Kaufman’s KAMA (Kaufman adaptive moving average). His update to the original KAMA allows the new method to account for the location of the close relative to the high–low range. The author describes a trading system that combines the AMA and KAMA, suggesting that the combination may reduce the number of whipsaws relative to using either moving average by itself.

The indicator is coded exactly as it is described by Vitali Apirine (including the usage of high and low prices for adapting). But in order to make it easier to use it in a "classical way" (ie: using some sorts of signals that we can get from it), this version has additional filter to make the slope change color changes less frequent and thus to make false signals appear in fewer occasions

Usage :

It can be used as any regular moving average (or, for the users of KAMA - Perry Kaufman's AMA, as a "faster" substitute of KAMA). Also, you can use the color change of this indicator as signal.