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