Mass_Index - indicateur pour MetaTrader 5

Real author:

MetaQuotes

The Mass Index is intended for detection of trend turns based on changes in the bandwidth between the highest and the lowest prices. If the bandwidth expands, the Mass Index increases, if it narrows, the index decreases.

The Mass Index was developed by Donald Dorsey. A special model constructed by the indicator and called 'reversal bulge' should be considered the most important signal from the Mass Index. The reversal bulge is formed when the 25-period mass index, first, exceeds 27 and then falls below 26.5. In this case, the price turn is quite possible independently on the general nature of the trend, and it does not matter, whether prices move up, down or fluctuate within the trading range.

To detect what exactly signal - to buy or to sell - is produced by the reversal bulge, 9-period exponential moving average of prices is frequently used. When a reversal bulge appears, it is time to buy, if the moving average falls (with a view to a reversal), and sell, if it increases.

The indicator uses SmoothAlgorithms.mqh library classes (must be copied to the terminal_data_folder\MQL5\Include). The use of the classes was thoroughly described in the article "Averaging Price Series for Intermediate Calculations Without Using Additional Buffers".

This indicator was first implemented in MQL4 and published in CodeBase on 08.02.2007.

Fig.1. Mass_Index Indicator