OPEN-SOURCE SCRIPT
Fund Tracking Error Envelope
Use this channel to help control your emotional buying. You can follow the lead of the Mutual Funds & other Institutions. Institutions will buy between the MA and the upper band, but will slow or stop approaching the upper band. They will sell below the MA but not below the lower band. If ranging between the MA and the lower band they will start raising cash in anticipation of redemptions. Works best with a separate 50 SMA overlaying the centerline. This is a simple percentage offset envelope, not a Bollinger Band, Keltner Channel or Standard Deviation Channel.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Open-source script
In true TradingView spirit, the creator of this script has made it open-source, so that traders can review and verify its functionality. Kudos to the author! While you can use it for free, remember that republishing the code is subject to our House Rules.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.