*** *** Bollinger Bands (BB) usually expand quickly after a volatility increase but contract more slowly as volatility declines. This extended time it takes for BB to contract after a volatility drop can make trading some instruments using BB alone difficult or less profitable. In the October 1998 issue of "Futures" there is an article written by Dennis...
This indicator is a composite of MACD and Z-Score (requested by @ChartAt). The general idea is that counter-trend component of the Z-score is used to adjust/improve the trend component of the MACD. The advantage is that it is a more accurate and “assumption-free” and can more accurately describe how a market or stock actually works in a given time frame. I have...
BBImpulse is part of the latest indicators package offered by John Bollinger. Excerpt from their market blurb (www.bbforex.com): "BBImpulse is derived from %b. Its value is the periodic change of %b, so if %b was 0.45 this period and 0.20 last period the present value of BBImpulse is 0.25. We present two reference levels on the chart, an alert level and an...
Fixed a typo in the code where BB multiplier was stuck at 1.5. Thanks @ucsgears for bringing it to my notice. Updated source: pastebin.com Use the updated source instead of the what TV shows below. This is a derivative of John Carter's "TTM Squeeze" volatility indicator, as discussed in his book "Mastering the Trade" (chapter 11). Black crosses on the...
Introduced by M.H.Pee, Trend Trigger Factor is designed to keep the trader trading with the trend. System rules according to the developer: * If the 15-day TTF is above 100 (indicating an uptrend), you will want to be in long positions. * If the 15-day TTF is below -100, you will want to be short. * If it is between -100 and 100, you should remain with the...
The Acceleration Band System was published in "Big Trends in Trading" by Price Headley in 2002. The system designed to catch stocks as they start to trend but before they go parabolic. The system is simple but supposed to be very effective. This system makes use of %R and ADX a lot to determine the entries/exits. Refer to the documents listed below for the...
HawkEye volume, developed by Nigel Hawks, is supposed to be a premier VSA indicator. Documentation on this is scarce (looks like the training seminars/sessions conducted by the parent company cover this in detail), if you come across any (other than what I have mentioned on that chart) do let me know. I am not sure how much this resembles the commercial...
I know a Trader that went 18 months without a losing trade. This Trader averaged trading 700-800 contracts per month in the Futures markets. The was not his only system but here were his rules. He looked at the 60 minute bar and calculated the ranges of the bars over the last 3 months. IF the range of the Bar was Greater Than the 99th Percentile, He would Fade...
Stress Indicator, first proposed by Mr. Perry Kaufman, provides an easy way for trading pairs / arbs. Kaufman's trading rules for Stress Indicator: - Decide on a pair to trade: For ex., AAPL v QQQ - Calculate the Stress Indicator (SI) for that pair - Buy the stock when SI 50 - Calculate the 60-day moving average of QQQ - If the trend of QQQ is down,...
"Full Disclosure: I came across this information from www.SentimenTrader.com I have no financial affiliation…They provide incredible statistical facts on The General Market, Currencies, and Futures. They offer a two week free trial. I Highly Recommend. The S&P 500 has gone 43 trading days without a 1% daily move, up or down. which is the equivalent of two...
VFI,introduced by Markos Katsanos, is based on the popular On Balance Volume (OBV) but with three very important modifications: * Unlike the OBV, indicator values are no longer meaningless. Positive readings are bullish and negative bearish. * The calculation is based on the day's median (typical price) instead of the closing price. * A volatility threshold...
This indicator displays the trend-adjusted price activity of a security. It oscillates around the zero-line. It is usually plotted as OHLC, but Pine doesn't have this support yet. So, I have rendered OHLC separately (see chart for the details). This indicator is particularly useful for ‘scalping’ in a sideways market, where there is limited movement taking...
Rainbow Charts, by Mel Widner, is a trend detector. It uses recursively smoothed MAs (remember, this idea was proposed back in 1997 -- it was certainly cool back then!) and also builds an oscillator out of the MAs. Oscillator bands indicate the stability range. I have also included a simple binary wave based on whether all the MAs are in an upward slope or not....
Krivo index, suggested by Richard Krivo, tries to quantify the "strength" of a currency by checking how many of its pairs are trading strongly (close above 200sma). As you can see from the chart, KI gives an excellent overview of their strength. Note how it correctly points out the JPY crash (Nov 2012). I decided to implement KI for each currency separately to...
I have included ports of 2 indicators from MT4 (not from the original commercial source). I couldn't cross check if these matched their commercial equivalents (you need to assume they don't!). If you own any of these in other platforms, appreciate if you could publish some comparison results here. Kase Peak Oscillator is the difference between two trend...
ChartMill Value Indicator & Modified ChartMill Value Indicator : ------------------------------- Developed by Dirk Vandycke, CVI tracks how far the price spread is from its MA. Since MA keeps increasing even when price consolidates or stalls, it is very difficult for the deviation from a moving average to remain in the overbought or oversold regions for...
Relative Volume Indicator ------------------------------ RVI is a support-resistance technical indicator developed by Melvin E. Dickover. Unlike many conventional support and resistance indicators, the Relative Volume Indicator takes into account price-volume behavior in order to detect the supply and demand pools. These pools are marked by "Defended Price...
According to Elder, "The Impulse System encourages you to enter a trade cautiously but exit fast, by identifying inflection points where a trend speeds up or slows down. This is the professional approach to trading, the total opposite of the amateur's style. Beginners jump into trades without thinking too much and take forever to get out, hoping and waiting for...