//////////////////// FIBONACCI BANDS //////////////////// {Trading hints at bottom}

//////////////////// INPUTS ////////////////////
Var: XMALength (55), // Exponential MA Length {<- Change this Var: to Input: for adjustment in Format window.}
TRLength (21); // True Range Length

//////////////////// DECLARE VARIABLES ////////////////////
Var: XMA (0), // Exponential MA
TRAvg (0), // Average True Range
UBand1 (0),
UBand2 (0),
UBand3 (0),
UBand4 (0),
LBand1 (0),
LBand2 (0),
LBand3 (0),
LBand4 (0);

//////////////////// DEFINE VARIABLES ////////////////////
XMA = Xaverage (close, XMAlength);
TRAvg = Xaverage (TrueRange, TRLength);
UBand1 = XMA + 1.62*TRAvg;
UBand2 = XMA + 2.62*TRAvg;
UBand3 = XMA + 4.23*TRAvg;
UBand4 = XMA + 1*TRAvg;
LBand1 = XMA - 1.62*TRAvg;
LBand2 = XMA - 2.62*TRAvg;
LBand3 = XMA - 4.23*TRAvg;
LBand4 = XMA - 1*TRAvg;

//////////////////// INDICATOR PLOTS ////////////////////
Plot1 (XMA,"XMA",blue);
Plot2 (UBand1,"UBand1",DarkCyan);
Plot3 (Uband2,"UBand2",DarkCyan);
Plot4 (UBand3,"UBand3",DarkCyan);
Plot5 (Uband4,"UBand4",DarkCyan);
Plot6 (LBand1,"LBand1",DarkGreen);
Plot7 (Lband2,"LBand2",DarkGreen);
Plot8 (LBand3,"LBand3",DarkGreen);
Plot9 (Lband4,"LBand4",DarkGreen);

{How to trade
Place on two different time frames eg. 15 and 55 min.
Take trades off either short or long term chart.
Best trades occur when both charts show same trigger/condition.
Trades are short term reversals in direction of major trend on longer term chart unless you expect a trend reversal.
Determine which band is the limiting band for the volatility of the instrument.
When the market closes outside of the limiting band then returns inside, take a long/short one tick above/below
the high/low of the previous bar.
Place stop below/above the low/high of the the recent swing low/high.
Set targets at opposite band of chart with trailing stop after crossing middle band.
}