Here’s a summary of how the script works:
Input Parameters:
emaLength: The length of the EMA (default is 90).
stdDevMultiplier: A multiplier for the standard deviation (default is 1.0).
EMA Calculation:
The script calculates the EMA based on the close price of the chart and the specified emaLength.
Standard Deviation Calculation:
It calculates the standard deviation of the closing price over the same emaLength.
Upper and Lower Bands:
Upper and lower bands are generated by adding or subtracting multiples of the standard deviation from the EMA.
The script defines 8 upper bands and 3 lower bands, each one a step away from the EMA.
Plotting:
The EMA is plotted in white.
The upper bands are plotted in red, and the lower bands in green, with different intensities for each band.