MMA Ribbon Opening System

MMA Ribbon Opening System

The MMA Ribbon Opening System is designed to identify major trend peaks and bottoms by analyzing the behavior of a multi-moving-average (MMA) ribbon in combination with trend confirmation filters.

Core Logic

Ribbon Compression & Expansion – Detects when the moving average ribbon is tightly compressed (low volatility) and when it begins to open (momentum building).

Directional Bias – Classifies the ribbon as bullish (green) or bearish (red) based on the relative position of fast MAs to the 20-period MA.

Peak & Bottom Signals – Generates potential PEAK (trend exhaustion tops) or BTM (trend exhaustion bottoms) signals when ribbon expansion coincides with specific slope and price conditions.

MA20 Slope Filter – Uses the slope of the 20-period moving average to confirm steep uptrends, downtrends, or turning points and avoid false reversals.

RSI Filter – Applies RSI overbought/oversold zones as a secondary confirmation to reduce noise.

Enhanced Detection Mode – Prevents premature signals during strong trends by requiring contraction and limiting the number of ascending/descending MAs.

Features

Customizable thresholds for ribbon compression, expansion, and MA20 slope strength.

Signal lockout system to prevent rapid flip-flopping.

Visual ribbon plots with color-coded direction and background states (compressed, opening, max width, strong trend).

Clear PEAK and BTM markers on chart.

Info panel showing ribbon status, trend strength, MA20 slope, RSI, and readiness of signals.

Alert conditions for both Peak and Bottom events.

Use Case
This tool helps traders spot where a trend may be exhausting and a reversal is likely by combining ribbon structure with momentum filters. It works across assets and timeframes, and is especially useful for highlighting major turning points rather than every small fluctuation.