Alligator Cryptocurrency Indicator Analysis and Alligator Bitcoin Indicator Signals
Developed by Bill Williams
Alligator indicator is a combination of 3 moving average lines that use fractal geometry & nonlinear calculation.
The three smoothed moving averages are:
- The green line (Lips) 5-period Smoothed Moving Average, with a shift of Three bars into the future.
- The red line (Teeth) 8-period Smoothed Moving Average, with a shift of 5 bars into the future.
- The blue-line (Jaw) 13-period Smoothed Moving Average, with a shift of 8 bars into the future.
Lips, Teeth & Jaw show the interaction of different time periods.
Bitcoin Analysis & How to Generate Trading Signals
When the Jaw, the Teeth & 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 will sleep, the hungrier it will wake up. First thing it does after it wakes up is to open its mouth and yawn. Then the smell of food comes to its nostrils: flesh of a bull or flesh of a bear, & Alligator starts to hunt it. Having eaten enough to feel quite full, Alligator starts to lose interest in food/ bitcoin price (Balance Lines join together) - this is the time to take the profit.
Buy and Sell Trading Signals