Indicator Advanced Fractal Envelopes builds two envelopes on the mean prices of the pre-defined number of upper and lower fractals and the central line.
It has three adjustable parameters:
- Average - number of fractals to build a moving average on their prices
- Show central line - show the central line
- Show fractals - show the fractals
Calculations:
Top = AvgFractUp
Bottom = AvgFractDn
Central = (AvgFractUp + AvgFractDn) / 2.0
where:
AvgFractUp = SMA(SumAvgUp, Average)
AvgFractDn = SMA(SumAvgDn, Average)
SumAvgUp - sum of the prices of upper fractals within the Average number
SumAvgDn - sum of the prices of lower fractals within the Average number