Black UO > Green UO > Red UO
How to reach a chart using UO_3X indicator:
- A trend can be considered as stable if Green UO crosses and stays above Red UO. Visually it will look like a green cloud.
- During uptrend there is a tendency of Black UO to fluctuate above Green OU and especially above Red UO. Coloring it yellow.
- First reversal signal of the uptrend would be if Black UO touches or crosses above Red Band.
- Second reversal signal is when Black UO falls below Green UO.
- As a result of second reversal signal, Green UO also declines and eventually crosses below Red UO which is the confirmation of upcoming general downtrend, coloring it red.
- During a downtrend Black and Green UOs fluctuate below RED UO.
- Once black UO crosses below Green Band, coloring it blue, the first signal of upcoming reversal of downtrend is established.
- Second signal of reversal of downtrend would be is when Black UO crosses above Green and RED UOs .
- Confirmation of uptrend would be if Green UO goes above Red UO coloring it Green.
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in a publication is governed by House Rules. You can favorite it to use it on a chart.