Moving Average Cloud

This moving average cloud is comprised of 7 individual moving averages; those averages are rendered as a cloud, using the minimum and maximum value of all the averages as the lower and upper boundaries. It's basically a moving average ribbon, without all the individual MA lines cluttering the view.

By rendering as a cloud, this allows other potentially useful lines to be rendered within the cloud; a middle line is rendered, along with "mid high" and "mid low" lines.

The following parameters are available:

Min MA Length - the shortest MA window represented by the cloud
Max MA Length - the largest MA window represented by the cloud
Mid-High - the location of the mid-high line within the cloud
Mid-Low - the location of the mid-low line within the cloud
MA Type - you can choose between SMA, WMA and EMA moving average types

Interpretation:

• When the price is above the cloud, this indicates a bullish trend.
  
• When the price is around the middle, trend could be transitioning.
  
• When the price is below the cloud, this indicates a bearish trend.
  

Use in confluence with other indicators.