A dynamic moving average that calculates the real average price since a trend started, adapting to significant market trends and providing insights into price movement across multiple timeframes.
Explore complementary indicator rolesHow it works
The True Trend Average is a unique moving average that identifies significant market trends by analyzing price movements across different timeframes. It dynamically adjusts its calculation period to maintain 10-20 bars, focusing on price action since a significant high or low point.
Unlike traditional moving averages, this indicator only includes prices after a trend's significant start point. It calculates the average price by tracking price movements from the lowest or highest bar within a specified period, providing a more precise representation of the trend's average price.
Why it may be useful
This indicator offers traders a more nuanced understanding of market trends by showing the true average price since a trend's inception. It helps traders identify potential entry and exit points by revealing how market participants might perceive price levels during accumulation or distribution phases.
By providing insights into trend dynamics across multiple timeframes, the True Trend Average enables traders to make more informed decisions about market momentum and potential price reversals.
When to explore it
The True Trend Average is most effective in markets with clear directional movements and when traders want to understand the average price dynamics since a significant trend began. It works best in trending markets where identifying the true trend average can provide strategic insights into potential trade opportunities.
Traders can utilize this indicator across various timeframes, from short-term scalping to longer-term swing trading, making it a versatile tool for analyzing price action and trend strength.
Keep exploring
What we’ve verified
Access, alerts and repainting behaviour have not been independently verified for this indicator. Check the creator’s current publication and settings.
General descriptions and classifications are recovered research. Verified details above identify the specific checks we have completed. Check the creator’s current publication for later changes.
