Enhanced Sigma by Cryptorhythms
Sigma is basically the deviation of returns compared to past returns. The higher / lower the value, shows you how deviated from the average this current bars returns are.
While perhaps not usable as a complete strategy for entering and exiting, its still quite useful and informative. It can give interesting signals as to potential turning points in price action. This behavior extends to all timeframes both long term and short term.
There are 2 overbought and oversold zones here inthe indicator. One is adaptive and will change to suit the shorter term giving your extra potential signals. The fixed line shows a general level for highly deviated values.
Expect a number of further totally unique and exclusive sigma based indicators from CR in the near future. We are nowhere near done extracting the alpha from this concept!
How to get access
This indicator is available for standalone purchase or as part of our subscription options. Please see my signature or profile for more information or contact me directly.