Basics :
This indicator is using the well known JMA (Jurik Moving Average) to calculate a sort of a generic trend. The way it calculates it :
it calculates the jma of high
it calculates the jma of low
it calculates the jma of close
it calculates the jma of typical price (high+low+close)/3 - the "generic" value (it s not the same as (jma(high)+jma(low)+jma(close))/3 hence the name "generic")
the slope of the "generic" depends on the slopes of the first 3 valuse
if all are sloping up the color of the "generic value is the color for up
if all are sloping down the color of the "generic value is the color for down
otherwise the color of the "generic' is indicating neutral (thus filtering out some potential false signals)
Usage :
You can use the color of the "generic" value as a signal. Also, the colors of the other 3 jmas can be used as early warnings fo potential trend change or reversal