SATL - VertexFX Indicator

[NCDindia]

The SATL (Slow Adaptive Trend Line) indicator is used to determine trending markets and specifically for trend following systems. It employs digital filter, namely the low frequency FLF-2 filter.
Compared to moving averages, SATL reduces lag and hence catches trends early on. The SATL indicator requires atleast 64 bars, and is calculated using the FLF-2 co-efficients over a 64 bar period.
BUY - Enter BUY trade when candle closes above SATL. Place stop loss at nearest support below SATL. Do not enter BUY trade if candle gaps up above SATL.
SELL - Enter SELL trade when candle closes below SATL. Place stop loss at nearest resistance below SATL. Do not enter SELL trade if candle gaps down below SATL.