Engineering Alpha

Engineering Alpha

The Centipede Moving Average Indicator — Riding the Trend.

Creating the Centipede Moving Average Indicator in Python.

Sofien Kaabar, CFA's avatar
Sofien Kaabar, CFA
Feb 24, 2022
∙ Paid
www.pxfuel.com

Moving averages have their benefits but also their limitations, with each type suffering from a specific bias be it lag or hyper responsiveness. There is generally not a solution to improve each type of moving average, but we can create a sort of scanner that send a signal when they are all giving the same bias. We will call this scanner, …

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