High Low Bands

The High Low Bands indicator is composed of the triangular moving average of a particular asset. To begin with, the triangular moving average is calculated for a specific period of time. Now, this triangular moving average is moved up and down by a specific percentage based on the trader’s preferences. The two bands, thus formed, are defined as Low and High accordingly. Generally, asset swaps occur within this range most of the time. When the asset exits the band downwards, a short signal is generated. If the underlying pierces the high band upward, then a long signal is generated.