oscillator fast cryptosmart (Bands on Scale)

The oscillator fast cryptosmart is a high-sensitivity momentum indicator designed to generate signals more rapidly than many traditional oscillators, such as the MACD. It is engineered to detect potential price breakouts by analyzing short-term market cycles.

At its core, the indicator uses a Detrended Price Oscillator (DPO) to remove the longer-term trend from price action, allowing it to focus purely on the underlying momentum cycles. It then calculates dynamic volatility bands around this oscillator line.

Signals are generated when momentum breaks out from a normal range, providing traders with an early warning of a potential acceleration in price.

How to Interpret the Signals:

Buy Signal (Green Vertical Line): A buy signal is generated when the oscillator's main line (yellow) crosses above its upper statistical band. This indicates a sharp surge in positive momentum, suggesting a potential upward move is beginning.

Sell Signal (Red Vertical Line): A sell signal is generated when the oscillator's main line crosses below its lower statistical band. This indicates a significant increase in negative momentum, suggesting a potential downward move is starting.

By focusing on momentum breakouts rather than lagging moving average crossovers, the oscillator fast cryptosmart aims to provide an edge in identifying opportunities in fast-moving markets.