OPEN-SOURCE SCRIPT
Mis à jour Brown's Exponential Smoothing Volatility Adjusted (BESVA)
Introduction:
This script is a technical indicator for financial markets, designed to provide traders with a smoothed version of an asset's price using Brown's exponential smoothing method. The indicator adjusts the smoothing parameter based on the volatility of the asset, resulting in a smoother plot with less volatility and a quicker response to price changes with higher volatility.
Methodology:
The indicator begins by defining a length parameter, which determines the number of bars used in a volatility calculation. The user can input a value for this parameter, with a default of 20 bars.
Next, the script calculates the standard deviation of the asset's close price over the defined length, which serves as a measure of volatility. The standard deviation is then normalized by dividing it by the maximum standard deviation and adding a minimum value (set to 0.00005 by default). This normalization technique ensures that the indicator is comparable across different asset classes and time frames.
The normalized volatility measure is then used to adjust the smoothing parameter for the exponential moving average. Specifically, the smoothing parameter is set to the normalized volatility measure, with the minimum value used when the volatility is at its minimum. As the volatility increases, the smoothing parameter decreases, resulting in a quicker response to price changes.
The resulting smoothed price plot is then plotted on the chart.
Conclusion:
This script provides a useful tool for traders looking to analyze the trends in an asset's price while taking into account its volatility. The adjustable smoothing parameter ensures that the indicator responds appropriately to changes in volatility, making it a valuable addition to a trader's toolkit.
This script is a technical indicator for financial markets, designed to provide traders with a smoothed version of an asset's price using Brown's exponential smoothing method. The indicator adjusts the smoothing parameter based on the volatility of the asset, resulting in a smoother plot with less volatility and a quicker response to price changes with higher volatility.
Methodology:
The indicator begins by defining a length parameter, which determines the number of bars used in a volatility calculation. The user can input a value for this parameter, with a default of 20 bars.
Next, the script calculates the standard deviation of the asset's close price over the defined length, which serves as a measure of volatility. The standard deviation is then normalized by dividing it by the maximum standard deviation and adding a minimum value (set to 0.00005 by default). This normalization technique ensures that the indicator is comparable across different asset classes and time frames.
The normalized volatility measure is then used to adjust the smoothing parameter for the exponential moving average. Specifically, the smoothing parameter is set to the normalized volatility measure, with the minimum value used when the volatility is at its minimum. As the volatility increases, the smoothing parameter decreases, resulting in a quicker response to price changes.
The resulting smoothed price plot is then plotted on the chart.
Conclusion:
This script provides a useful tool for traders looking to analyze the trends in an asset's price while taking into account its volatility. The adjustable smoothing parameter ensures that the indicator responds appropriately to changes in volatility, making it a valuable addition to a trader's toolkit.
Notes de version
added double smoothing optionScript open-source
Dans l'esprit de TradingView, le créateur de ce script l'a rendu open-source, afin que les traders puissent examiner et vérifier sa fonctionnalité. Bravo à l'auteur! Vous pouvez l'utiliser gratuitement, mais n'oubliez pas que la republication du code est soumise à nos Règles.
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.
Script open-source
Dans l'esprit de TradingView, le créateur de ce script l'a rendu open-source, afin que les traders puissent examiner et vérifier sa fonctionnalité. Bravo à l'auteur! Vous pouvez l'utiliser gratuitement, mais n'oubliez pas que la republication du code est soumise à nos Règles.
Clause de non-responsabilité
Les informations et les publications ne sont pas destinées à être, et ne constituent pas, des conseils ou des recommandations en matière de finance, d'investissement, de trading ou d'autres types de conseils fournis ou approuvés par TradingView. Pour en savoir plus, consultez les Conditions d'utilisation.