Envelopes technical indicator is formed with
two Moving Averages, one of which is shifted upward and another one is shifted
downward. The selection of optimum relative number of band margins shifting is
determined with the market volatility: the higher the latter is, the stronger
the shift is.
Envelopes define the upper
and the lower margins of the price range. Signal to sell appears when the price
reaches the upper margin of the band; signal to buy appears when the price
reaches the lower margin.
With Envelopes as main
signal and other signal like High dan Low and Moving Averages EA can identify
Reversal Trend.
Sample of Envelopes Open EA