OPEN-SOURCE SCRIPT
Double Banded Momentum Cloud
Double Banded Momentum Cloud (DBMC) extends the logic of BMC by layering two volatility bands around a moving average to create stacked momentum thresholds. It compares a fast Exponential Moving Average (EMA) to a slow Simple Moving Average (SMA), while introducing inner and outer bands based on standard deviation multipliers.
SMA defines the central trend anchor.
EMA captures short-term price momentum.
Band A (inner) represents normal volatility range.
Band B (outer) flags extended or extreme conditions.
Momentum Cloud between EMA and SMA visualizes bias.
By observing how the EMA interacts with these bands, traders can distinguish between ordinary momentum and more aggressive or potentially exhausted moves.
SMA defines the central trend anchor.
EMA captures short-term price momentum.
Band A (inner) represents normal volatility range.
Band B (outer) flags extended or extreme conditions.
Momentum Cloud between EMA and SMA visualizes bias.
By observing how the EMA interacts with these bands, traders can distinguish between ordinary momentum and more aggressive or potentially exhausted moves.
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.