Step Average - Standard Based - MetaTrader 5 Script | Trading Script Download - MT4/MT5 Resources

We all use averages for market assessment. One way to use averages is to use the change in the slope of the average as a signal. But this approach tends to produce a large number of signal markets in ranging. One way to reduce the number of signals is to filter out the mean values ​​that vary little.

It uses the percentage of STD (standard deviation) as a filter. It is done so to fix one of the weaknesses of using fixed (point) step size: different timeframes tend to produce different fixed result step sizes (i.e.: higher timeframes become almost no steps, while lower timeframes become almost no steps but still have the same settings for those steps). STD percentage usage fixes this issue and makes it somewhat adaptable. All else is the same: if the average does not change beyond the required steps, the value of the average remains unchanged. Otherwise it will be changed to reflect the closest value based on the required step. Supported averages are:

You can use color changes as signals.

Attachment download

📎 step_average_ostd_basedp.mq5 (10.6 KB)

Source: MQL5 #22679