True Center Band (TCB) indicator for MultiCharts
You might wonder, is there an indicator can show the trend, different levels of support and resistance, and the boundary of price action? The answer is yes, True Center Band (TCB) indicator is capable of doing all of them.
It consists of one center line to measure the center of price range within a given period,
and three channels (bands) represent different support and resistance levels.
True Center Band may look like some other indicators, such as Center of Gravity (COG) and polynomial Regression Channel (PRC). But there is one major difference, TCB never repaints, because it is not calculated by future data. Reliability makes TCB looks good, works better.
True Center Band is specially designed to work on all intraday charts (tick, mins, renko, range, etc.) and daily chart. It also works on all markets (Stocks, Futures, Forex, Options,ETF, etc.)
A good indicator should make complicated things simple.
Therefore, there is only 1 parameter.
Period: the number of bars used to calculate the True Center Band (TCB).
It’s very easy to understand, if you want TCB to plot a long-term trend then set a big number such as 50.
If you want to see a short-term trend, then set a small number such as 15.
True Center Band will automatically plot the support and resistance levels based on the total number of bars loaded on chart.
For the same symbol, same date and time range and timeframe, if we load 10 days TCB will plot like the image below. The bands become much wider than the chart above, that’s because the price range in the past 10 days is wider than the past 2 days.
For Minute chart of more than 30mins, in order to see a longer range of support and resistance levels, it’s better to load more days in “Chart Settings”.
If we load 50 days for a 30-min chart, the support and resistance lines will be calculated by the data from last 50 days.
If you want to see the recent range of support and resistance levels, then just load the number of days you desire.
Take a closer look at this video below, you will find out how Polynomial Regression Channel indicator (PRC2) repaints and TCB doesn’t repaint at all.
These videos are TCB in different chart types.
Albums of different chart type: