This channel is a second version designed by the famous american analyst Linda Raschke; it allows you to find the main trend and to implement a trend-following strategy. You can open a new long/short position when the price cross up the basis and the upper/lower band (jointly with other indicators).
so the price needs to cross BOTH the basis AND upper / lower to open position? It seems to miss a lot of trades on default settings. What are the optimal settings for daily charts?
smalk
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@Alex_Chart Any reason you used ATR 1.5 Linda use different settings.