The Rainbow Indicator, Another Way to Follow the Trend.

Presenting and Coding a Complete Trend-Following Indicator in Python.

Sofien Kaabar
Jan 31 · 7 min read

The Rainbow Indicator is a mix between a trend-following and a contrarian system. It is a combination of Smoothed Moving Averages that are used together to confirm a beginning or end of a trend. In this article, we will build the Rainbow Indicator from…