Alligator Indicator Technical Analysis & Alligator Indicator Signals
Developed by Bill William
Alligator indicator is a combination of three Moving Average lines that use fractal geometry and nonlinear calculation.
The three smoothed MAs are:
- The green line (Lips) 5-period Smoothed Moving Average, with a shift of 3 bars into the future.
- The red line (Teeth) 8-period Smoothed MA, with a shift of 5 bars into the future.
- The blueline (Jaw) 13-period Smoothed MA, with a shift of 8 bars into the future.
Lips, Teeth and Jaw show the interaction of different time periods.
XAUUSD Analysis and Generating Signals
When Jaw, Teeth and Lips are closed or intertwined, it means Alligator is going to sleep or is asleep already. As it sleeps, it gets hungrier and hungrier - the longer it'll sleep, the hungrier it'll wake up. The first thing it does after it wakes up is to open its mouth & yawn. Then smell of food comes to its nostrils: flesh of a bull or flesh of a bear, and Alligator starts to hunt it. Having eaten enough to feel quite full, the Alligator starts to lose interest in food/ price (Balance Lines join together) - this is the time to take the profit.
Buy & Sell Signals