Disliked{quote} BestTraderEV this indicator is perfect! The performance is excellent, it is light, even on multiple charts (4) it does not slow down mt4 and i n addition it is very faithful to luxalgo, or rather IS luxalgo!Ignored
It's a statistical approach.
The mathematical stuff is here:
https://en.wikipedia.org/wiki/Kernel_regression
(don't worry, I don't understand the mathematical language, either!)
The more laymen explanation is here:
https://trendspider.com/learning-cen...ope-indicator/
Although, by observation, I disagree with what's in this paragraph:
"Utilizing the Nadaraya Watson Envelope Indicator"
especially with 2. & 3. - this is not what we observe.
I mean, this could be true for specific envelope settings - the longer the smoothing average, the more likely for the breakouts to go further away from the envelope. It all depends on the settings.
If you're looking for the Holy Grail - NEVER STOP!
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