kama cycle

# KAMA Cycle Indicator –  Fully Customizable

The KAMA Cycle Indicator is designed for **monthly timeframe analysis**, but all parameters (KAMA periods, deviation thresholds, visual settings) are fully adjustable. You can adapt it to any asset and any timeframe, from weekly to intraday.

## Core Logic (Optimized for Monthly Charts)

The indicator plots two Kaufman Adaptive Moving Averages:

- **Fast KAMA** (default ER=10, Fast EMA=3, Slow EMA=50) – reacts quickly, used for exit timing and trend confirmation. - **Slow KAMA** (default ER=20, Fast EMA=5, Slow EMA=100) – identifies long‑term cycle extremes.

**Candle colors** change automatically: - 🟢 Green when Fast KAMA > Slow KAMA (bullish trend) - 🔴 Red when Fast KAMA < Slow KAMA (bearish trend)

## Accumulation Signals (Buy Levels)

When price deviates **below** the slow KAMA, the indicator triggers visual buy signals (default levels: -15%, -25%, -35%, -45% deviation):

- L1, L2, L3 → 🟡 **Yellow symbols** - L4 (deepest) → 🔴 **Red symbol**

## Distribution Signals (Sell Levels)

When price deviates **above** the fast KAMA, the indicator triggers sell signals:

- +100% deviation → 🟢 **Green symbol** (partial sell) - +200% deviation → 🟢 **Green symbol** (full sell)

## Using Fast KAMA Deviation in Strong Monthly Trends

In very strong monthly bullish trends, price may remain above the fast KAMA for extended periods. You can also monitor **negative deviations below the fast KAMA** as pullback confirmation: a shallow retracement that stays above a user‑defined level (e.g., -5%) can signal trend continuation rather than reversal. This is fully configurable.

## Key Features

- **4 buy / 2 sell levels** – all adjustable. - **Candle coloring** (green/red) based on fast vs slow KAMA. - **Dynamic horizontal lines** for each buy level. - **Real‑time info table** (deviation slow/fast, trend, manual stop loss reminder). - **Non‑repainting**, no hidden logic. - Works on any asset (crypto, stocks, indices, commodities, forex) after parameter calibration.

## Default Parameters (Fully Customizable)

| Parameter | Default Value | |-----------|---------------| | Fast KAMA ER | 10 | | Fast KAMA Fast EMA | 3 | | Fast KAMA Slow EMA | 50 | | Slow KAMA ER | 20 | | Slow KAMA Fast EMA | 5 | | Slow KAMA Slow EMA | 100 | | Buy L1 / L2 / L3 / L4 | -15%, -25%, -35%, -45% (below slow KAMA) | | Partial Sell | +100% (above fast KAMA) | | Full Sell | +200% (above fast KAMA) | | Candle coloring | Enabled | | Visual triggers | Enabled (yellow L1‑L3, red L4, green sells) |

## Example Calibrations for Different Assets in Monthly / backtested

| Asset Class | Suggested Buy Levels | Suggested Sell Levels | |-------------|----------------------|-----------------------Crypto & growth stock| -15, -25, -35, -45 | +100, +200 | | Gold (XAUUSD) | -8, -12, -18, -25 | +30, +60 | | Indices  | -5, -10, -15, -20 | +15, +30 |