Dynamic Trend Bands [ChartPrime]

The Dynamic Trend Bands is a versatile trend-following indicator that uses a double-smoothed Hull Moving Average (HMA) to detect market trends, combined with dynamic bands that provide insight into potential momentum shifts and volatility-based price zones.

⯁ KEY FEATURES

• Double HMA Trend Filter
  Utilizes a double-smoothed HMA for a smoother and more responsive trend line, reducing noise while highlighting clear market trends.
  

  float base = ta.hma(ta.hma(close, length - 10), length)

• Dynamic Volatility Bands
  Plots upper and lower bands based on volatility, positioned above the price in a downtrend and below the price in an uptrend.
  
• Momentum Shift Detection
  Highlights bars in orange when a potential momentum shift occurs:
  - During a downtrend, if the high breaks above the upper band.
  - During an uptrend, if the low breaks below the lower band.
  
• Customizable Band Appearance
  Users can adjust the size, distance, and colors of the bands, as well as choose whether to display the mid-band line and fill the area between bands.
  
• Timeframe Flexibility
  Allows selection of different calculation timeframes, enabling traders to adapt the indicator to various trading strategies.
  

⯁ HOW TO USE

• Identify Trend Direction
  Use the double HMA line to confirm the prevailing trend:
  - Above the bands: downtrend.
  - Below the bands: uptrend.
  
• Spot Potential Momentum Shifts
  Watch for orange-highlighted bars signaling potential reversals or weakening trends.
  
• Optimize Entries and Exits
  Enter trades on trend continuation signals while using band breaks to spot potential reversal zones.
  
  
• Customize to Fit Your Strategy
  Adjust the bands’ size, distance, and calculation timeframe to suit scalping, swing, or position trading.
  

⯁ CONCLUSION
The Dynamic Trend Bands is an all-in-one tool that helps traders assess trend strength, detect momentum shifts, and identify key price zones. Its customizable features make it adaptable for various trading styles and market conditions.