Elite indicators :) - page 135

[Mladen Rakic]

Paul,

Yes : signal line in zero lag macd is calculated as zero lag too. So, since the signal line is "faster" compared to EMA (which is used in "classical" macd), it "covers" the breakout much better.

I think that in this case the speed is not in our favor and to compensate you should lessen the number of standard deviations used for bands (I tried with 0.5 for example and it then behaves roughly the way one would expect, but you should try your own settings too)

regards

mladen

stav01:
Many thanks Mladen.

An observation on the zero lag version compared to the original is that the dots rarely come outside of the bands. Is there any reason for that?

Regards,

Paul.

[stav01]

Speedy

Mladen,

Thanks for your speedy and helpful reply.

Regards,

Paul.

mladen:
Paul,

Yes : signal line in zero lag macd is calculated as zero lag too. So, since the signal line is "faster" compared to EMA (which is used in "classical" macd), it "covers" the breakout much better.

I think that in this case the speed is not in our favor and to compensate you should lessen the number of standard deviations used for bands (I tried with 0.5 for example and it then behaves roughly the way one would expect, but you should try your own settings too)

regards

mladen

[[Deleted]]

Thank you Mladen...

Hi Mladen,

Just to confirm that the latest 2 Schaffs are working like a dream. Much appreciate you.

Enjoy the weekend.

[drhouse7]

Dear Mladen,

is it possible for you to code an indicator that show when a candle is more than "X" pips ? I mean the complete bar with shadows (high-low) ...

It could be really helpfull...

thanks for support

Best regards

Doc

[homestudy]

Very Very Nice

mladen:
While doing some code corrections, made this one too

It is a variation of the Gann hi low activator (or SSL channel as I named it in one moment, only it uses smoothed prices)

Compared to the SSL channel seems to be giving much less false signals (or signals when the prices are ranging - it is less sensitive to ranging, and it seems to be quite good in finding trends) The upper is the SSL channel that was used as a model for the new indicator and the lower is the new one.

Looks rather interesting, doesn't it :):)

Mladen,

Thank you for this indy!! I have been watching it for a day now, it works very well!

Jim

[drhouse7]

I forgot that already exist the linear price bar indicator (bars are calculated for pips) ...sorry for disturbed you Mladen

Best regards

Doc

[Mladen Rakic]

Doc,

Good that you found it. Frankly, I was lazy today so you saved my lazy day :):)

regards

Mladen

[drhouse7]

mladen:
Doc,

Good that you found it. Frankly, I was lazy today so you saved my lazy day :):)

regards

Mladen

Dear Mladen,

seems that you are in a "bear moment"

Regards

Doc

[[Deleted]]

New Indicator

Hello all. Ive been working on an idea from Calculus to predict pivot points and local extrema (min/max). Its in the early stages, so consider this indicator an early prototype. I realize its sort of a naive approach currently, however all technical analysis has gray areas mathematically. Much of technical analysis was developed based on observations, and trial and error, rather than a rigorous mathematical approach. To find out more about this please refer to JSTOR: Naive Trading Rules in Financial Markets .

This indicator uses finite difference methods to calculate derivatives. Its a simple technique in numerical analysis that comes from Taylor's expansions. Eventually I will incorporate much better approximations to the derivative as well as include smoothing, ect., ect. I have to go through some of the math to figure out some things.

At any rate, whip out your calculus text books if you want to understand derivatives (the math ones) more than my basic explanation.

The first derivative is the yellow line. It represents a rate of change of price, or "velocity" if you will. The green line is the rate of change of the rate of change of price, which can be thought of as "acceleration". Whenever the "velocity" hits zero, this corresponds to a local minimum/maximum (extrema) similar to if a car has zero speed it is not changing its position. To see whether its a minimum or a maximum you must look at the second derivative.

Rules :

If yellow line is zero and green line is positive, you have a local minimum

If yellow line is zero and green line is negative, you have a local maximum

Ive also noticed you can use it to predict pivots (areas where the price reverses) by peaks of the first derivative.

The min/max criteria are taken directly from a undergraduate calculus text book. I dont want to get into whether or not the function that represents price is differentiable or not, nor convex optimization theory, nor any other higher level of mathematical complexity. Just feel free to use this indicator and comment on any patterns or uses you find for it.

[[Deleted]]

I have updated my differential indicator to use more accurate derivative calculations. Its calculation for the previous and current bar is less accurate but it gives you an idea of what to expect. The error is still relatively low, but in the interest of full disclosure I wanted to say so. It had to be less accurate because we do not know the prices in the future. This being so, this indicator serves as a great confirmation. To use it as a leading indicator, If you see the first derivative approach zero its time to enter/exit a trade. The direction depends on the green line and whether or not the market is cycling, trending, or going through its elliot waves (see previous post for more information).