Elder Impulse System

The Elder Impulse System indicator identifies transitions where a trend speeds up or slows down. The Impulse System is based on two indicators, a exponential moving average over a number of days and the MACD histogram. The moving average identifies the trend, while the MACD histogram measures momentum. As a result, the Elder Impulse System combines trend following and momentum to show tradable impulses.

Configuration Options

• Color Selectors: Colors to use for graph elements.
• Display Axis Label: Whether to display the most recent value on the Y axis.

Formula

• Bullish price bar:
  (13-period EMA > previous 13-period EMA) and
  (MACD-Histogram > previous period's MACD-Histogram)
• Bearish price bar:
  (13-period EMA < previous 13-period EMA) and
  (MACD-Histogram < previous period's MACD-Histogram)
• Neutral price bar: when conditions for a bullish price bar or bearish price bar are not met.