Attribution Non-Commercial (BY-NC)

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Attribution Non-Commercial (BY-NC)

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AIQ CODE..............................................................................................................................................9 CANDLESTICKS ....................................................................................................................................9 CANDLESTICK COLOUR STUDY ............................................................................................................9 RATE OF CHANGE .................................................................................................................................9 MONEY MANAGEMENT EXITS ............................................................................................................10 MACDI EXIT RULES ...........................................................................................................................10 CONDITIONAL RULES-SELLING PRESSURE ...................................................................................11 MOMENTUM .......................................................................................................................................12 VIDYA - TUSHAR CHANDE ...............................................................................................................13 SECTOR MOVEMENT...........................................................................................................................13 PRICE/VOLUME CRITERIA?.................................................................................................................17 HIGH JUMP CANDIDATE SELECTION ...................................................................................................17 VOLUME SPIKE ...................................................................................................................................18 VARIABLE PROFIT PROTECT STOP, LOSS STOP AND TIME STOP .........................................................19 BUY FOR STOCKS IN A SECTOR ...........................................................................................................20 BOLLINGER BANDS ............................................................................................................................20 LINEAR REGRESSION CALCULATION USING THE LEAST MEANS SQUARED METHOD ...........................21 LINEAR REGRESSION METHOD BASED INDICATORS ............................................................................21 SECTOR DIVERGENCE .........................................................................................................................22 COUNTOF............................................................................................................................................23 ATR AND WILDERS RSI ...................................................................................................................23 RELATIVE STRENGTH .........................................................................................................................24 RECURSION.........................................................................................................................................25 METASTOCK CODE..........................................................................................................................28 PRIMARY BUY SIGNAL .......................................................................................................................28 PRIMARY SELL SIGNAL ......................................................................................................................28 MARKETSPACE STOCK SYSTEM .........................................................................................................28 Primary Buy Signal.......................................................................................................................28 Primary Sell Signal .......................................................................................................................29 SMOOTH STOCKS ................................................................................................................................29 Bressert Cycle Indicators..............................................................................................................30 EXPLANATION OF THE MCCLELLAN OSCILLATOR ..............................................................................31 THRUST OSCILATOR: ..........................................................................................................................31 MIDAS VOLUME WEIGHTED AVE PRICE-SUPPORT/RESIST ...............................................................32 STOCHASTIC CROSS TRADING SYSTEM .................................................................................33 TSI AND ERGODICS INDICATORS..............................................................................................33 Trading Ergodics with the Trend Rules .....................................................................................34 RELATIVE STRENGTH OF STOCK TO INDEX ..........................................................................34 FIND RSI ABOVE 80 .......................................................................................................................36 KASE DEV STOP .................................................................................................................................36 WOLF WAVE PATTERNS..............................................................................................................36 THE MARKET FACILITATION INDEX ...................................................................................................37 TRUE STRENGTH INDEX..............................................................................................................38 GANN SWING HILOW ACTIVATOR......................................................................................................41 RUGGERIO'S TREND ............................................................................................................................42 AUTOMATIC METASTOCK TRENDLINE FORMULA ...............................................................................42 THE RECURSIVE MOVING TREND AVERAGE.......................................................................................44 THREE INSIDE DAYS ....................................................................................................................49 NR4 FORMULA...................................................................................................................................50 MOVAVG ASYMMETRIC VOLATILITY PRICE BANDS ..........................................................................58 REGRESSION ASYMMETRIC VOLATILE PRICE BAND ...........................................................................58 WRO AND WSO INDICATORS ..........................................................................................................152 BODY MOMENTUM.....................................................................................................................158 ST OSCILLATOR...........................................................................................................................159 LOOKBACK ......................................................................................................................................160 JACK LANDIS' WEIGHTED STOCHASTIC (SHORTENED TO LANDIS).....................................................163

CHANDE & KROLL'S R2 INDICATOR .................................................................................................165 PRICE ACTION INDICATOR (PAIN) ...................................................................................................165 WEEKLY PIVOT POINT ......................................................................................................................167 HIGHEST HIGH SINCE BUY SIGNAL........................................................................................168 FORECAST OSCILLATOR SYSTEM ALTERNATIVE..............................................................168 FORECAST OSCILLATOR SYSTEM ..........................................................................................168 Chaos Blue BL ............................................................................................................................171 Chaos Red BL .............................................................................................................................171 Chaos Green BL..........................................................................................................................171 Chaos Gator................................................................................................................................171 CHAOS AO .......................................................................................................................................172 Chaos AO Signal Line.................................................................................................................172 Chaos AC ....................................................................................................................................172 Chaos Fractal .............................................................................................................................172 TRADING THE TREND 2 .............................................................................................................184 TRADING THE TREND 1 .............................................................................................................186 BOLLINGER BAND WIDTH ........................................................................................................187 BOLLINGER BAND HISTOGRAM KARNISH ...........................................................................187 BB HISTOGRAM ...............................................................................................................................191 CHANDELIER EXIT, VERSION 2 METASTOCK CODE ..............................................................196 MOVING AVERAGE CROSSOVERS ..........................................................................................197 VIDYA WITH P VARIABLE VERSION 2 ...................................................................................200 VIDYA EXPLANATION ...............................................................................................................201 IMPROVED CHANDELIER EXIT ................................................................................................217 BOOMERS TRADING SIGNALS ............................................................................................................224 Boomers buysig...........................................................................................................................224 ADX AND TRENDLINES .............................................................................................................227 ADX RISING EXPOLORATION...................................................................................................243 SWING TRADING EXPERT .........................................................................................................243 DMI EXPLORATION VERSION 3.........................................................................................................245 VOLATILITY BREAKOUT ...................................................................................................................249 VOLATILITY EXPLORATION ..............................................................................................................253 RELATIVE VOLATILITY INDEX ..........................................................................................................254 SMOOTHED ADAPATIVE STOCHASTIC OSCILLATOR ..........................................................................254 SIDEWAYS CHANNELS EXPLORATION ..............................................................................................260 STOCHASTIC AND RSI SYSTEM ...............................................................................................261 DAHL OSCILLATOR...........................................................................................................................263 2 DAY HAMMER EXPLORATION .......................................................................................................264 WRO AND WSO INDICATORS ..........................................................................................................265 WRO INDICATOR: ............................................................................................................................267 GAP1 SYSTEM ..................................................................................................................................268 GAP2 SYSTEM ..................................................................................................................................268 RSI DIVERGENCE EXPLORATION............................................................................................269 STIX INDICATOR .........................................................................................................................270 DENVELOPE (RSI) ............................................................................................................................270 CYLICAL SYSTEM .......................................................................................................................271 JKCYCL .............................................................................................................................................272 ST OSCILLATOR...........................................................................................................................273 CCI SPIKE TRADING SYSTEM ...........................................................................................................273 LOOKBACK ......................................................................................................................................274 MCCLELLAN OSCILLATOR ...............................................................................................................276 MCCLELLAN SUMMATION INDEX .....................................................................................................276 BARNES' ACCELERATION .................................................................................................................278 BARNES' ADAPTIVE FORECAST ........................................................................................................278 BARNES' MOVING AVERAGE ............................................................................................................278 NATENBERG'S VOLATILITY ..............................................................................................................279 TEMA STOCHRSI FORMULA .............................................................................................................280 DEVSTOP .......................................................................................................................................280 WEEKLY PIVOT POINT ......................................................................................................................281 STO RSI ..........................................................................................................................................282

ATR MODIFIED.............................................................................................................................283 HIGHEST HIGH SINCE BUY SIGNAL........................................................................................283 MINERS STORSI..............................................................................................................................284 FORECAST OSCILLATOR SYSTEM ALTERNATIVE..............................................................287 MURREY MATH ................................................................................................................................287

TRADE EQUITY AND TRADE STOP FORMULA UPDATE .......................................................................292

SO MUCH FOR QUICK FIXES. MY THANKS TO DAVID HOBBS FOR LETTING ME KNOW THAT MY 'ND' VARIABLE FIX WAS ALSO FLAWED. I'LL TRY AGAIN. IF YOU HAVE VERSION 3.X TRADE EQUITY OR TRADE STOP FORMULAS WITH AN 'ND' THAT LOOKS LIKE EITHER OF THE LINES BELOW, ND:=LASTVALUE(INT(FRAC(CP/100)*10)); OR ND:=LASTVALUE(INT(FRAC(CP/99)*10)); THEN IT SHOULD BE CHANGED TO ND:=LASTVALUE(INT(0.1+FRAC(CP/100)*10)); HOPEFULLY THIS WILL FIX THE PROBLEM ONCE-AND-FOR-ALL. ...................................................................297

LATCHES ..........................................................................................................................................297 TRADESTATION CODE..................................................................................................................302 SLOWKCLASSIC ...............................................................................................................................302 MACD HISTOGRAM .........................................................................................................................302 HIGH OF TODAY ................................................................................................................................303 MACD CROSSOVER CHART .............................................................................................................304 COLESS RANGE ...............................................................................................................................304 INDICATOR COLE'S RANGE DAILY ....................................................................................................305 8 PERIOD DONCHIAN CHANNEL MID-POINT LINE .............................................................................305 INDICATOR SUPP-RESIS DAILY ........................................................................................................305 ANDREWS PITCHFORK.....................................................................................................................307 E-MINI WITH MONTE CARLO ...........................................................................................................311 HURST EXPONENT ............................................................................................................................313 ERGOTIC CSI....................................................................................................................................314 ERGOTIC MACD ..............................................................................................................................315 ENTRY & EXIT .................................................................................................................................316 STOPS IN EDS ................................................................................................................................317 TRIGGERS BASED ON ENTRY PRICES..................................................................................................318 COUNT OF ........................................................................................................................................318 COMPARE TWO INDICES ...................................................................................................................318 COLOUR STUDIES .............................................................................................................................319 RECURSION.......................................................................................................................................320 DIFFERENT RESULTS IN TRADESTATION ..........................................................................................325 SIGNAL REVIEW UPSIDE ................................................................................................................326 3 BAND RESEARCH SYSTEM .............................................................................................................326 MARKET PROFILE .............................................................................................................................327 T BOND SYSTEM ..............................................................................................................................334 HIGHER HIGHS...................................................................................................................................334 INDICATOR MARKS ..........................................................................................................................335 YESTERDAYS HIGH LOW ON AN INTRADAY CHART ........................................................................336 TO COUNT THE NUMBER OF NEW HIGHS IN THE LAST N BARS ............................................................336 COMMENTARY FUNCTION ................................................................................................................337 NO PLOT() STATEMENT ....................................................................................................................338 NUMERICAL ACCURACY...................................................................................................................340 TRADESTATION: RELATIVE VIGOR INDEX ..........................................................................340 STOPS ...............................................................................................................................................341 ADAPTIVE STOP ................................................................................................................................341 LINE THICKNESS WONT RESPOND ..................................................................................................342 TEXT STUDIES ..................................................................................................................................342 @Text Current C <= ..................................................................................................................344

@TextCurrentCText....................................................................................................................344 @TextCurrentIndic .....................................................................................................................345 TRADESTATION INSTABILITY ...........................................................................................................346 OTHER HOW TOS ..........................................................................................................................347 TS4 INSTALLATION ON WIN 2K ........................................................................................................349 ATR DISCUSSION .............................................................................................................................355 CODING VELOCITY AND ACCELERATION ...........................................................................................356 WEALTHSCRIPT CODE.................................................................................................................357 DEAD CAT CATCHER ........................................................................................................................357 INTRADAY ........................................................................................................................................358 WEALTHSCRIPT CODE ......................................................................................................................358 WEALTHSCRIPT CODE.................................................................................................................360 TURTLE SOUP WITH FILTER ..............................................................................................................360 WEALTHSCRIPT CODE ......................................................................................................................361 MULTI COLOUR MA ETC..................................................................................................................363 DIVERGENCE BETWEEN PRICE AND RSI OR MACD HISTO...? ...........................................................364 CHECK PEAK & CHECK VALLEY ......................................................................................................368 MOVING AVERAGES .........................................................................................................................371 FIBONACCI FORMULAS .....................................................................................................................373 JOE DINAPOLI - DINAPOLI TREND FORMULA ...................................................................................376 FORECAST OSCILLATOR ...................................................................................................................390 CHANDE'S DYNAMIC MOMENTUM INDEX .........................................................................................392 ADAPTIVE SYSTEMS .........................................................................................................................394 ON BALANCE VOLUME .....................................................................................................................399 BOOK LIST........................................................................................................................................401 GANN ...............................................................................................................................................401 LIST OF BOOKS AND COURSES:..........................................................................................................401 RWI .................................................................................................................................................405 KNEWPEAKINDICATOR ...............................................................................................................406 KPEAK OSCILLATOR ....................................................................................................................406 OKS & PEAKOSCILLATOR...........................................................................................................407 KCD INDICATOR.............................................................................................................................407 KPERM FN.........................................................................................................................................408 1ST CLASS SHORTS ........................................................................................................................408 1ST CLASS LONGS ............................................................................................................................409 KCDL PIERCING .............................................................................................................................410 {BULLISH PIERCING} .......................................................................................................................410 {BEARISH PIERCING} .......................................................................................................................411 KSDANGERLONG & SHORT ........................................................................................................411 KS2 LONGS & WARNING ..............................................................................................................411 KS2 SHORTS & WARNING ............................................................................................................412 PERMISSION STOCHASTIC..........................................................................................................414 XPERMD ............................................................................................................................................414

XPERM K ...........................................................................................................................................414 XPERM LONG...................................................................................................................................414 XPERM SHORT ................................................................................................................................415 XD ........................................................................................................................................................415 XKCD ..................................................................................................................................................416 KPERMISSIONFN ............................................................................................................................416 KDEVSTOPS......................................................................................................................................416 XDEV...................................................................................................................................................417 XREV...................................................................................................................................................417 LARRY WILLIAMS EXPERT ........................................................................................................418 DEMARK EXPERT...........................................................................................................................420 ZIG ZAG TREND INDICATOR .............................................................................................................423 Expressing Exponential averages in days...................................................................................428 FIBONACCI FORMULAS .....................................................................................................................442 JOE DINAPOLI - DINAPOLI TREND FORMULA ...................................................................................444 FORECAST OSCILLATOR ...................................................................................................................457 CHANDE'S DYNAMIC MOMENTUM INDEX .........................................................................................460 ADAPTIVE SYSTEMS .........................................................................................................................461 ON BALANCE VOLUME .....................................................................................................................466 MARKET COMMENTARY ...................................................................................................................467 ACTIVE TRADER MAGAZINE CODE ..................................................................................................468 ROSS CONGESTION PAINTBAR. .........................................................................................................489 NARROW RANGE 4 (NR4) DAYS ......................................................................................................490 NARROW RANGE 7 (NR7) DAYS ......................................................................................................491 HISTORICAL VOLATILITY .................................................................................................................492 BOLLINGER BANDS ..........................................................................................................................493 OUTSIDE DAY, NR4 AND MOVING AVERAGE ..................................................................................494 NR7, INSIDE DAY AND BOLLINGER BAND .......................................................................................495 STOWELLS THREE-BAR NET LINE .....................................................................................................499 NONLINEAR EHLERS FILTER .............................................................................................................505 NEW MARKET PARADIGM SYSTEM ....................................................................................................508 BETTER BOLLINGER BANDS BY DENNIS MCNICHOLL ......................................................................510 KLINGER VOLUME OSCILLATOR ......................................................................................................512 TPF_REVERSAL2002 .......................................................................................................................514 {MARKET DIRECTION}.....................................................................................................................517 REAL TIME PIVOT 2000....................................................................................................................518 VOLATILITY STOP INDICATOR ..........................................................................................................519 CLUSTER 20000................................................................................................................................521 REVERSAL INDICATOR ......................................................................................................................522 HI LO PIVOTS ...................................................................................................................................523 INTRADAY HI LO .............................................................................................................................524 PB LONG ..........................................................................................................................................525 PB SHORT ........................................................................................................................................527 RUBBER BAND2................................................................................................................................529 SFD..................................................................................................................................................530 SFK..................................................................................................................................................531 SSD..................................................................................................................................................531 CLUSTER VOLATILITY STOP USES CLUSTER 2000 AS A FUNCTION .................................................532 CLUSTER 2000.................................................................................................................................534

REVERSAL INDICATOR ......................................................................................................................535 CLUSTER INDICATOR CODE ...............................................................................................................535 CANDLESTICK PATTERN RECOGNITION ............................................................................................536 TFS TREND FOLLOWING SYSTEM ....................................................................................................544 TETHERLINE .....................................................................................................................................545 VOLUME OSCILLATOR ......................................................................................................................546 DOUBLE STOCHASTIC .......................................................................................................................546 RINA DATA COLLECTION PORTFOLIO OUTPUT ...............................................................................547 WILL SPREAD ...................................................................................................................................551

AIQ Code

CANDLESTICKS See Separate file CANDLESTICK COLOUR STUDY !Colour Study GreenCandle if ([Open]<=[Close]). RedCandle if ([Open]>[Close]). GreenBar if ([close]>=val([close],1)). RedBar if ([close]<val([close],1)). Island reversal

!================================================== lowbody is min([open],[close]). highbody is max([open],[close]). gapup if valresult(lowbody,1) > valresult(highbody,2). gapdn if valresult(lowbody,1) < highbody. islandReversal if gapup and gapdn. !=================================================== I have not tested this. I hope it is correct.

Almost correct... just reverse the UDFs: gapdn if highbody < valresult(lowbody,1).

+++++++++++++++++++++++++++++++++++++++++++++++++++++++ RATE OF CHANGE ! prdsys@pewd.com august 2000 www.pewd.com ! ROC indicator (rate of change) ! source: TA from A-Z, S. Achelis www.equis.com/free/taaz/ ! change value of nbrdays to change number of days in indicator originally coded for 12 period ROC define nbrdays 12. closexago is val([close],nbrdays). 9

!! Exits Start Here !! losslimit is 1.25. !! This controls the stop loss limit. stesa is expavg([close],5). stoploss if val([high],1) >={position entry price} * losslimit. profitarget if val([low],1) <= valresult(stesa,1). !! Insert the UDF and rule(below) into the backtester. exitprice is iff(stoploss, {position entry price} * losslimit, iff(profitarget,valresult(stesa,1), val([close],1))). closeposition if [high] >= {position entry price} * losslimit or [low] <=stesa or {position days} =4 or mfi1 < 0.1. !!! Exit the position when one of the following 4 events occurs first: !!! 1) a -25% max stoploss is reached, !!! 2) or profit target is triggered when price hits the 5-day ESA, !!! 3) or the 1-day MF RSI turns 0, !!! 4) or at the close of day 4. !!! If money management does not allow you to use a -25% stop loss, then use a smaller limit. It will decrease overall performance, but it will make you FEEL safer. ============================================================= MACDI EXIT RULES ! Based upon strategies from "Street Smarts", copyright M. Gordon Publishing.

!Linda Bradford Raschke MACDI exit rules MACDXEXIT if val([macd],2)< val([macd],1) and val([macd],1)> val([macd],0) and val([macd],1)>0 10

I did more work on this and now it works for all the stocks in my database with look back of 22 days-all of my stocks showed at least 4 up days in a 22 day look back period from today: !============================= !Selling Pressure 4 day average in 22 day lookback: ORg is [open]-[low]. UpC if [close]>val([close],1). A1 is Sum(ORgUpC,4)/4. A2 is Sum(ORgUpC,5)/4. A3 is Sum(ORgUpC,6)/4. A4 is Sum(ORgUpC,7)/4. A5 is Sum(ORgUpC,8)/4. A6 is Sum(ORgUpC,9)/4. A7 is Sum(ORgUpC,10)/4. A8 is Sum(ORgUpC,11)/4. A9 is Sum(ORgUpC,12)/4. A10 is Sum(ORgUpC,13)/4. A11 is Sum(ORgUpC,14)/4. A12 is Sum(ORgUpC,15)/4. A13 is Sum(ORgUpC,16)/4. A14 is Sum(ORgUpC,17)/4. A15 is Sum(ORgUpC,18)/4. A16 is Sum(ORgUpC,19)/4. A17 is Sum(ORgUpC,20)/4. A18 is Sum(ORgUpC,21)/4. A19 is Sum(ORgUpC,22)/4. Cup1 if countof(UpC,4)=4. Cup2 if countof(UpC,5)=4. Cup3 if countof(UpC,6)=4. Cup4 if countof(UpC,7)=4. Cup5 if countof(UpC,8)=4. Cup6 if countof(UpC,9)=4. Cup7 if countof(UpC,10)=4. Cup8 if countof(UpC,11)=4. Cup9 if countof(UpC,12)=4. Cup10 if countof(UpC,13)=4. Cup11 if countof(UpC,14)=4. Cup12 if countof(UpC,15)=4. Cup13 if countof(UpC,16)=4. Cup14 if countof(UpC,17)=4. Cup15 if countof(UpC,18)=4. Cup16 if countof(UpC,19)=4. Cup17 if countof(UpC,20)=4. Cup18 if countof(UpC,21)=4.

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CountUp is countof(UpC,22). Avg4day is iff(Cup1,A1,iff(Cup2,A2,iff(Cup3,A3,iff(Cup4,A4,iff(Cup5,A5,iff(Cup6, A6, iff(Cup7,A7,iff(Cup8,A8,iff(Cup9,A9,iff(Cup10,A10,iff(Cup11,A11, iff(Cup12,A12,iff(Cup13,A13,iff(Cup14,A14,iff(Cup15,A15,iff(Cup16,A16 , iff(Cup17,A17,iff(Cup18,A18,A19)))))))))))))))))). !The following is to display data to test calculation of average: ORgUpC is IFF(UpC,ORg,0). ORgUpC1 is valresult(IFF(UpC,ORg,0),1). ORgUpC2 is valresult(IFF(UpC,ORg,0),2). ORgUpC3 is valresult(IFF(UpC,ORg,0),3). ORgUpC4 is valresult(IFF(UpC,ORg,0),4). ORgUpC5 is valresult(IFF(UpC,ORg,0),5). GoodData if HasDataFor(255)>=252 and expavg([volume],50)>3000 and [close]>=5 and mover and not ScanAny(GapDown,20) and resetdate() and CountUp>=4. GapDown if Val([low],1) - [high]>2. Look if [ADX]>30 and [DirMov]>0 and Avg4day<1.00 and GoodData. HG if Look and [low]<=expavg([close],20). !Mover scan created by Bill S. (from Bear Essentials): bigs if [Close] > 10. diffrat is (([high] - [low]) / [low]) * 100. avgrat is simpleavg(diffrat,30). mover if avgrat > 4. BigMover if avgrat>8. List if 1=1.

MOMENTUM ! prdsys@pewd.com august 2000 www.pewd.com ! momentum indicator ! sources: TA from A-Z, S. Achelis www.equis.com/free/taaz/ ! MarketTrack-MX user manual, page 10-16 (Track Data Corp) define nbrdays 12. momentum is ([close]/val([close],nbrdays))*100. check my code for accuracy before trading off of them

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VIDYA - TUSHAR CHANDE Here's Vidya based on a 9-period CMO, or as close as we can get given > TEP's limitations for recursive calculations. Change VidLen to vary > the > (nominal) length of the moving average. As an indicator it is very > slow > to calculate, but is not bad in a scan. > > HHP

! (based on 9-period CMO). !================================== Define CMOLen 9. ! Conventional value is 9. Define VidLen 12. ! Smoothing. Vary to suit. Define Itr 100. ! Iterations allowed (maximum 240). !============================= MO is [Close] - Val([Close], 1). AbsMO is Abs(MO). AbsCMO is 0.01 + Abs(Sum(MO, CMOLen)) / (Sum(AbsMO, CMOLen) + 0.01). Alpha is (2 / ((1 + VidLen)) * AbsCMO). Beta is 1 - Alpha. DaysInto is ReportDate() - RuleDate(). Stop if DaysInto > Itr. StopCalc is iff(Stop, [Close], Vidya). Vidya is Alpha * [Close] + Beta * ValResult(StopCalc, 1). !===================================

SECTOR MOVEMENT Steve, Quite correct to point out this market has no intrinsic worth of 5000 and the trip back to that level may take years, I meant that because it is a long trip, I'm not in a hurry to jump on the first train that leaves. There will be plenty of opportunity to catch a tech wave or two. The sector rotation formula is very simple, but it has backtested better than TS for the way I am using it. It mostly fires at the beginning of a shift in leadership, and is best with 20 day holds or so. The gifs will show you what it looks like, and it doesn't look very good because it fires for a few days and then drops. It is only used to fire a good sector signal, the stock sell is based on stock action, not a drop in the sector signal. !========================================================== 13

!GROUP & SECTOR STUFF ! Rich set up form Description is Description(). GroupSymbol is TickerUDF(RSTicker(),Symbol()). GroupName is TickerUDF(RSTicker(),Description). SectorSymbol is TickerUDF(RSTicker(),GroupSymbol). SectorName is TickerUDF(SectorSymbol,Description). SectorTCIDIR is TickerUDF(SectorSymbol,TCIDIR). GroupTCIDIR is TickerUDF(GroupSymbol,TCIDIR). TCIDIR is (( [TCI]-val([TCI],1))*10 )+ [dirmov]-60. !combines the TCI and the DIRMOV to find quik trend Tech if SectorSymbol="MGTECHNO". !I set up my sectors based on the 10 Market Guide sectors,but any will work NOTECHNOSECTOR if not tech. notech if NOTECHNOSECTOR and SectorTCIDIR>=0. ! used to keep techs out of the game if the NASDAQ is on a decline ! but any other sector that shows life will be active for a few days. !ALL weather for month long 20 stocks !will switch to non-tech sectors if they are hot when combosig=-1 !..code for stock picking--last few criteria and [TCI]<65 and not FoundGaps and ((combosig=-1 and notech) or combosig=1). ! this lets ANY stock get picked when the NASDAQ is on a buy ! but if on a sell, only nontech sectors IF they are hot will fire

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Weighted Action List Report attached are the action and weighted action reports, in eds, which is real close to the system supplied reports (report module). change the constants to match what you usually run on reports, and don't forget to change to whatever list you want to run for (file/properties). 2 report tabs, 1 for wa report, another for the action report, both upside versions. i didn't code the downside reports. and i should note, AIQ wrote the original EDS - i just fixed it and modified it slightly, the original work is AIQ's, not mine. note that there are a few oddities in the wa report, not reflected in the code - this version of the code matches the report as close as i can get it, at least till the next time someone prompts me to look at it ;) first oddity - wa report looks back x days, action report looks back x+1 days, for looking for an up er. next item, in the report (and attached eds) the system does not look for a phase reversal upside followed a day or 2 later by a reversal downside, followed by another reversal up. it does make sure phase is currently going up, but doesn't check for whipsaws (up/down/up). if i recall correctly, you will occasionally see stocks on the weighted action report which have had a upside phase reversal a few days ago, followed by a downside reversal a day or 2 later, then another up. personally, i don't trade such stocks. your 15

mileage may vary, disclaimer, do what you will with it , i'm not liable (too many lawyers in my family i guess :) ) the other thing i'm not checking for in the code is an up er followed a few days later by a down er. an example would be yhoo - up er on 1/3, down er on 1/11, yet its on the report. same comment as above. i disagree with the report specs in this case - i don't want to see it if an up er has been followed by a down one, regardless of current phase direction. others however would view the down er as unconfirmed, and thus a non signal, due to lack of down phase action, so they remain on the report. other versions of this EDS that i've passed around in the past do check for an intervening down er, and exclude such stocks - this version doesn't as i tried to match the report. same disclaimer, check your charts before pulling the trigger.

! ----------------------------------------------------------------------------------------------! eds to match weighted action report ! modified by pewd from original version supplied by AIQ ! check what settings you have on wt act rpt if youre trying to match this eds to the report, ! eg., make sure youre running for the same list, price, and volume filters as on the wt. act. report ! ! ER to upside 95 or greater last 10 days confirmed by change in direction of the Price Phase indicator in the last 3 days. ! ! modifications to original (aiq) version: ! pewd 7/99 added price filter, $10 and up ! pewd 7/99 added volume filter, 100,000 shares and up ! pewd 7/99 changed up er lookback from 10 to 6 ! pewd 7/99 corrected logic error in PhaseChangeUp test, eliminate stocks that turned phase down on report date ! pewd 7/99 added 4th day to PhaseCHANGEUPup rule to match reports module ! pewd 7/99 added er, price, and a few other columns to report ! pewd 1/01 added action report tab, cleaned up my sloppy code from 99 ! -----------------------------------------------------------------------------------------------------------------------------! define report constants define minprice 10. ! minimum price define minvolume 1000. ! minimum volume, in lots (x 100) define nbrdays 11. ! nbr days to look for an up er define miner 90. ! minimum er value to trigger define nbrphasedays 4. ! number of days to look back for phase reversal ! check for minimum price pricefilter if [close]>=minprice.

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! check for minimum volume volumefilter if [Volume ESA] > minvolume. phasereverse if val([phase],1)<[phase] and val([phase],2)>val([phase],1). goodphase if ^[phase]>^val([phase],1). phasechangeup if scanany(phasereverse,nbrphasedays) and goodphase. ! look for ER buy signal WA_Report_Up if HiVal([ER UP],nbrdays) >=MinER and PhaseChangeUp and PriceFilter and VolumeFilter. Action_Report_Up if HiVal([ER UP],nbrdays-1) >=MinER and PhaseChangeUp and PriceFilter and VolumeFilter. ! report columns !pewd july 99 UpER is hival([ER UP],nbrdays). Exch is MarketCode(). Change is [close]-val([close],1). Security_name is Description(). Trend is [TS]. DeltaTrend is [DTS]. GroupSymbol is TickerUDF(RSTicker(),Symbol()). GroupName is TickerUDF(RSTicker(),Security_name). GroupTS is TickerUDF(RSTicker(),Trend). GroupDTS is TickerUDF(RSTicker(),DeltaTrend). SectorSymbol is TickerUDF(RSTicker(),GroupSymbol). SectorName is TickerUDF(SectorSymbol,Security_name). SectorTS is TickerUDF(SectorSymbol,Trend). SectorDTS is TickerUDF(SectorSymbol,DeltaTrend).

PRICE/VOLUME CRITERIA?

Gap is IFF([low]>Val([High],1) and ([low]/Val([High],1))>=1.15 and ([close]/Val([High],1))>=1.15,1,0). Keep if [volume esa]>500 and Sum(Gap,100)=0 and Countof([volume]>0,100)>=98.

I wrote the HighestHighJump scan and I use it just as you do to develop a list of trading candidates. The inventor of the HJ indicator is Ian Woodward. He uses it as a gauge of how extended a stock is off its base. When the numbers get over certain cutoffs (on a current basis), he says there is a high danger of a major correction in the stock.

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After I programmed the indicator in AIQ, I noticed that some stocks got to much higher HJ numbers than others. I also noticed that most of the High Growth stocks that Ian (and William O'Neil) define by other means (eg EPS rank, RS and Group RS etc) could be defined by a high peak readings in their maximum HJ levels. So I wrote the scan that looks back and picks out the highest reading over a lookback period of five years or less if less trading history. The ones with the highest readings were always the high growth and/or momentum stocks. What this indicator does is measure the ability of a stock to rise rapidly. The higher the reading the faster the stock has been able to climb. I am working on additional ways to develop trading lists and I will post more on this when I have time. I asked other traders to propose how they would go about developing a short list of stocks. I received several good suggestions and I want to thank those who contributed. Here is the code for the HJ (but not the Highest High Jump) for those of you who are wondering what it is: !HIGH JUMP INDICATOR - from Ian Woodward !For Ian Woodward's standard HighJump set ST MA to 17, IT MA to 50, LT MA to 200. STMA is simpleavg([close],17). ITMA is simpleavg([close],50). LTMA is simpleavg([close],200). STdmaPct is ([close]-STMA)/STMA*100. ITdmaPct is ([close]-ITMA)/ITMA*100. LTdmaPct is ([close]-LTMA)/LTMA*100. Highjump is STdmaPct + ITdmaPct + LTdmaPct.

VOLUME SPIKE ******************* !ER is 95 or above within last 5 days !Strength of Group is based on trend score , or high positive value for DTS ! P-Vol is higher than yesterday and todays P-Vol is higher than its ESA. ! Spike if volume is 50% above the ESA of volume !Buy the stock when all rules are passed. TS is [TS]. DTS is [DTS]. Description is Description(). GroupDTS is TickerUDF(RSTicker(),DTS). GroupTS is TickerUDF(RSTicker(),TS). Group is TickerUDF(RSTicker(),Description).

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GroupTSHigh if GroupTS>90. GroupDTSHigh if GroupDTS>20. ERUP if HiVal([er up],5) >= 95. PVolUP if VAL([P-Vol],1) < [P-Vol] and [P-Vol] > [P-Vol ESA] . VolSpike if [volume] >= [volume esa] * 1.5. BuyMid2 if HiVal([er up],5) >= 95 and PVolUP and VolSpike and (GroupTSHigh or GroupDTSHigh) *********************************** VARIABLE PROFIT PROTECT STOP, LOSS STOP AND TIME STOP

!Variable Profit Protect Stop, Loss Stop and Time Stop ! Coded by Rich Denning ! Date: 3/10/2001 ! This file was written for the AIQ Yahoo Groups Message Board and is for demonstration ! and educational purposes only. Distribution outside of this message board or use ! in commercial applications is prohibited. ! If any of this file is copied, in part or in whole, this header must be included with it. !The following requires AIQ version 6.0 and can only be used as an exit rule in a bactest of a simulation P is {Position Days}. MaxProfitR is {Position High Price}/{Position Entry Price}. Profit is [close]-{Position Entry Price}. MaxProfit is HighResult(Profit,P). Stop1 is {Position Entry Price}+MaxProfit*0.70. Stop2 is {Position Entry Price}+MaxProfit*0.80. Stop3 is {Position Entry Price}+MaxProfit*0.90. Stop4 is {Position Entry Price}+MaxProfit*0.95. Stop5 is {Position Entry Price}+MaxProfit*0.98. Stop6 is {Position Entry Price}+MaxProfit. ! Protect 70% of profit above 50% ! Protect 80% of profit above 60% ! Protect 90% of profit above 70% ! Protect 95% of profit above 80% ! Protect 98% of profit above 90% ! Protect 100% of profit above 100% ProfitProtect if [close]<iff(MaxProfitR>1.5 and MaxProfitR<1.6,Stop1, iff(MaxProfitR>1.6 and MaxProfitR<1.7,Stop2, iff(MaxProfitR>1.7 and MaxProfitR<1.8,Stop3, iff(MaxProfitR>1.8 and MaxProfitR<1.9,Stop4, iff(MaxProfitR>1.9 and MaxProfitR<2.0,Stop5, iff(MaxProfitR>2.0,Stop6,0)))))). LossStop if [close]<{Position Entry Price}*0.75. !TimeStop if {Position Days}>=20. MasterExit if ProfitProtect or LossStop

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BUY FOR STOCKS IN A SECTOR !Scan for DTUniversity Price if [close]<51 AND [close]>19. AvgVol is [Volume ESA]. Vol if ExpAvg(AvgVol,14)>1200 AND [Volume]>1200. !To-days range Range is [high]-[low]. HighRange If ExpAvg(Range,14)>4 AND Range>4 . CCIUp IF Slope([CCI],5)>0 AND [CCI]>0. Avgvcrossover IF [ST ESA]>[IT ESA] AND ( Val([ST ESA],1)<Val([IT ESA],1)).

Semiconductor if GroupSymbol="ETSEMMFG". ComputerSoftware if GroupSymbol="CSSFTETR". Internet if GroupSymbol="INECOMM". ComputerHardware if GroupSymbol="CPMFGS". Biotech if GroupSymbol="MDBIOGEN". Buy IF Price AND Vol AND HighRange AND CCIup AND (semiconductor OR ComputerSoftware OR Internet OR ComputerHardware OR Biotech). BOLLINGER BANDS > ===================================== > varudf is [close]. > variance is Variance(varudf,21). > stddev is Sqrt(Variance). > ma is SimpleAvg(varudf,21). > > UpperBB is 2 * StdDev + ma. > LowerBB is ma - 2 * StdDev. > =======================================

Slope etc While I am at it...here is something that is VERY valuable to your bag of EDS tricks. It is the calculation used to calculate the internal function "slope". The math may be way over some peoples heads,but the most important thing about having this is the ability to calculate the INTERCEPT point! Alan Nathan asked about doing Standard Deviation lines based on the linear regression line. In order to do this you must have the intercept point. So I coded the internal Slope function in EDS so you can now have this. I put together an EDS file 20

that does the math, and creates "bands" based on 2 standard deviations above/below the intercept point of the linear regression line. I hope this is close to what Alan has asked for. You can put UpperSD and LowerSD and Intercept as Custom Indicators and plot the bands. ! Author: Dale Paul (AIQ) ! Date: 4/7/2001 ! How to calculate a slope and intercept using linear regression ! how many days are we running this for? define constdays 4. days is HasDataFor(constdays). ! value (in this case the close) varudf is [close]. LINEAR REGRESSION CALCULATION USING THE LEAST MEANS SQUARED METHOD day is offsettodate(month(),day(),year())+1. dayX2 is day * day. sx is Sum(day,days). sx2 is Sum(dayX2,days). sy is Sum(varudf,days). sxy is Sum( day * varudf ,days). d is ( days * sx2) - (sx * sx). slope is ((days * sxy) - ( sx * sy)) / -d. ! same result as internal Slope function b is ((sx2 * sy) - (sx * sxy)) / d. Intercept is slope + b.

! get the standard deviation of the close variance is Variance(varudf,days). stddev is Sqrt(Variance). ! Compute our Deviation Bands UpperSD is 2 * StdDev + Intercept. LowerSD is Intercept - 2 * StdDev. all if 1. LINEAR REGRESSION METHOD BASED INDICATORS There was an error in my linear regression code--the intercept was claculated incorrectly. Thanks to John R for pointing this out. The correct eds code is

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define TimeFrame 30. b is slope([close],TimeFrame). intercept is sum([close],TimeFrame)/TimeFrame - (b * (TimeFrame+1)/2). expectedLast is intercept + (TimeFrame*b).

SECTOR DIVERGENCE !!! Sector Divergence !!! EDS Author. Ron Stockstill !!! Date. 4/9/2001. !!! Define constants define slopelen 20. ! determine length of lookback for slope function to see if a divergence in price define divpct 15. ! set divergence percentage Sym is symbol(). Desc is description(). GroupSym is TickerUDF( RSTicker(),symbol()). SectorSym is TickerUDF( RSTicker(),groupsym). stock if stock(). ! Only want stock symbols. MedSector if SectorSym = "medical". ! Check for medical sector TechSector if SectorSym = "electric". Biotech biotech Semi if GroupSym = "medic1". ! AIQALL list uses medic1 for if GroupSym = "Elect10".

Slope is Slope([close], slopelen). ! Calculate slope of linear regression line GroupSlope is TickerUDF(groupsym,slope). ! Calculate slope of linear regression line for group symbol groupstock if Semi or Biotech. semiconductors or biotechs ! Only want symbols from

Pctgain is 100*([close] - Val([close],slopelen))/Val([close],slopelen). ! Calculate percent gain using slope length as lookback period. groupPctGain is TickerUDF(groupsym,Pctgain). Totalgain is Pctgain + ABS(groupPctGain). ! Use Absolute value as a negative slope will normally but not always have a negative return. !! Code Positive Divergence using Slope

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Diverge

if stock and groupstock and Slope > 0 and GroupSlope < 0 and Totalgain > divpct.

COUNTOF

Rule if [close] > simpleavg([close],20). CountRule if Countof(Rule,1)=1 and Countof(Rule,2) =1. ! False on day n+2; True on day n+1 ================================================ Tom, Rule is true if close is greater than the 20 day sma. Now suppose you have two days in a row of closes above 20 day sma. Rule will be true for today and also Rule will be true for yesterday. Thus Countof(Rule,2) will = 2 (1 + 1). Thus, Countof(Rule,2)=1 will be FALSE. Now CountRule is only true when yesterday is FALSE and today is TRUE. If today is below the moving average, the Countof(Rule,1) will be zero and CountRule will be false. This leaves the only combination that CountRule can be true; yesterday below the SMA and today above the SMA. You could have used Valresult(rule)<> 1 and rule=1 for CountRule.

ATR AND WILDERS RSI !========================== !!! Average True Range. TR is Max([High], Val([Close], 1)) - Min([Low], Val([Close], 1)). ATR27 is ExpAvg(TR, 27). !! Equivalent to ATR14 using Wilder's smoothing. !======================== PlusDM1 is [High] - Val([High], 1). PlusDM2 is Max(PlusDM1, 0). PlusDM is PlusDM2 * (PlusDM2 > MinusDM2). AvgPlusDM is ExpAvg(PlusDM, 27).

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PlusDMI is AvgPlusDM * 100 / ATR27. !! Plot wuth MinusDMI as 2-line indicator. MinusDM1 is Val([Low], 1) - [Low]. MinusDM2 is Max(MinusDM1, 0). MinusDM is MinusDM2 * (MinusDM2 > PlusDM2). AvgMinusDM is ExpAvg(MinusDM, 27). MinusDMI is AvgMinusDM * 100 / Atr27. !! Plot with PlusDMI as 2-line indicator. DlDiff is PlusDMI - MinusDMI. !! Plot as histogram. Same as AIQ's DirMov. DlSum is PlusDMI + MinusDMI. DX is Abs(DlDiff) * 100 / DlSum. ADX is ExpAvg(Dx, 27). !! PLOT ADX as single line indicator with support at 24, same as AIQ's ADX. !==========================

RELATIVE STRENGTH !RELATIVE STRENGTH STUDY by Rich Denning 10/23/99 !Run against your group or sector structure by clicking on file, properties, then put in group list eg AIQALL and check groups only !Indicatior for ranking RS of stocks, groups or sectors (you can set these up a custom indicators on the charts) RS4 is SLOPE([RS Indx],4)*100. RS9 is SLOPE([RS Indx],9)*100. RS17 is SLOPE([RS Indx],17)*100. RS50 is SLOPE([RS Indx],50)*100. RS200 is SLOPE([RS Indx],200)*100. RScomposit is RS17 + RS50 + RS200. !Is trend up or down in various time frames? my settings are st=17, it=50, lt=200 STtrend is SLOPE([st ma],5). ITtrend is SLOPE([it ma],5). LTtrend is SLOPE([lt ma],5). !List of all tickers List if 1=1. Description is description(). Group is TickerUDF(RSTicker(),Description). Sector is TickerUDF(RSTicker(),Group).

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!List of positive relative strength tickers (short term) Define Length1 17. ! Or 4,9 RS1 is 100*SLOPE([RS Indx], length1). STposRS if RS1 > 0. !List of positive relative strength tickers (long term) Length2 is 200. !Or 50, 100 RS2 is SLOPE([RS Indx],length2)*100. LTposRS if RS2 > 0. !List of negative relative strength tickers (short term) STnegRS if RS1 < 0. !List of positive relative strength tickers (long term) LTnegRS if RS2 < 0. !List all positive tickers AllPos if STposRS and LTposRS and RScomposit > 0 and [DTS]>=0 and [TS]>0 and [VA pct]>0. !List HGS groups only HGSgroup1 if 1=1. !Don't know how to do this yet !HGSgroup if Symbol() is "COMP1" HGS group includes all Computer, Electrical, Telecom, Medical plus selected others

RECURSION

!! Adaptive Moving Average (Perry Kaufman). ! (with allowances for AIQ recursion). ! EDS code by HHP. !******************************************* MA Long Term: Mov(C,30,E); Mov(C,35,E); Mov(C,40,E); Mov(C,45,E); Mov(C,50,E); Mov(C,55,E); MA Short Term: Mov(C,5,E); Mov(C,8,E); Mov(C,11,E); Mov(C,14,E); Mov(C,17,E);

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Adaptive Moving Average: period:=Input("Period",1,250,13); DifP:=Abs(C-Ref(C,-1)); SC:=Power((Abs(C-Ref(C,-period)) / Sum(DifP,period)) * 0.60215{2/3-2/31} + 0.06452{2/31},2); AMA:=PREV+(SC*(C-PREV)); AMA

!*********************************************** Define ERPds 10. ! Efficiency Ratio Periods. Define FPds 2. Define SPds 30. Dir is [Close] - Val([Close], ERPds). dPr is [Close] - Val([Close], 1). Vlty is Sum(Abs(dPr), ERPds). ER is Dir / Vlty. Fastest is 2 / (FPds + 1). Slowest is 2 / (SPds + 1). Smooth is ER * (Fastest - Slowest) + Slowest. C is Smooth * Smooth. !===================== ! EDS Recursion. Original coding by Dale Paul. Define RWin 100. ! Recursion window. DaysInto is ReportDate() - RuleDate(). Stop if DaysInto > RWin. StopADPT is IFF(Stop, [Close], ADPTMA). ADPTMA is C * [Close] + (1 - C) * ValResult(StopADPT, 1). !======================== !! AMA Filter. Define FltWin 20. ! Filter Window periods). Define FltPct 15. dAMA is ADPTMA - ValResult(ADPTMA, 1). AMAFlt is (FltPct / 100) * Sqrt(Variance(dAMA, FltWin)).

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!=========================

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MetaStock Code

((MACD()>Mov(MACD(),9,E) AND C>Mov(C,5,E) AND C>Mov(C,15,E))=TRUE) AND (Ref(MACD()>Mov(MACD(),9,E) AND C>Mov(C,5,E) AND C>Mov(C,15,E),-1)=FALSE) AND BarsSince(Ref( ((MACD()>Mov(MACD(),9,E) AND C>Mov(C,5,E) AND C>Mov(C,15,E))=TRUE) AND (Ref(MACD()>Mov(MACD(),9,E) AND C>Mov(C,5,E) AND C>Mov(C,15,E),-1)=FALSE),-1)) >= BarsSince(Ref(Cross(0.955*Ref(C,-2),C),-1))

Cross(0.955*Ref(C,-2),C) AND BarsSince(((MACD()>Mov(MACD(),9,E) AND C>Mov(C,5,E) AND C>Mov(C,15,E))=TRUE) AND (Ref(MACD()>Mov(MACD(),9,E) AND C>Mov(C,5,E) AND C>Mov(C,15,E),-1)=FALSE)) <= BarsSince(Ref(Cross(0.955*Ref(C,-2),C),-1)) and the MarketSpace Stock System which works with daily data.

((MACD()>Mov(MACD(),45,E) AND C>Mov(C,25,E))=TRUE) AND (Ref(MACD()>Mov(MACD(),45,E) AND C>Mov(C,25,E),-1)=FALSE) AND BarsSince(Ref(((MACD()>Mov(MACD(),45,E) AND C>Mov(C,25,E))=TRUE) AND

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(Cross(0.9*Ref(C,-7),C) AND BarsSince(((MACD()>Mov(MACD(),45,E) AND C>Mov(C,25,E))=TRUE) AND (Ref(MACD()>Mov(MACD(),45,E) AND C>Mov(C,25,E),-1)=FALSE))<= BarsSince(Ref(Cross(0.9*Ref(C,-7),C),-1)))

SMOOTH STOCKS

David, Following are two explorations which will find stocks with a high percentage of relatively "smooth" stocks that have been trending up over the last a) three months and b) twelve months. In the Exploration Editor, put the following in one of the "columns": (C - Ref(C,-252)) / Ref(C,-252) *100 This will give you the percentage gain over the last twelve months. Some of the other columns could have the current closing price, average volume or whatever has meaning to you. In the Filter, put one of the following, depending on whether you want a three month trend or a twelve month trend (or modify for some other period) For three months: (C / (1 + ((C - Ref(C,-64)) / Ref(C,-64)))) <= (C / (1 + ((C - Ref(C,-21)) / Ref(C,-21)))) AND (C / (1 + ((C - Ref(C,-21)) / Ref(C,-21)))) <= (C / (1 + ((C - Ref(C,-5)) / Ref(C,-5)))) AND (C / (1 + ((C - Ref(C,-5)) / Ref(C,-5)))) <= C AND colB >= 20 {I use Column B for my twelve month percentage and don't want to see any stocks with less than a 20% trailing twelve month gain.} For twelve months: (C / (1 + ((C - Ref(C,-252)) / Ref(C,-252)))) <= (C / (1 + ((C - Ref(C,-126)) / Ref(C,-126)) AND (C / (1 + ((C - Ref(C,-126)) / Ref(C,-126)))) <=

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(C / (1 + ((C - Ref(C,-64)) / Ref(C,-64)))) AND (C / (1 + ((C - Ref(C,-64)) / Ref(C,-64)))) <= (C / (1 + ((C - Ref(C,-21)) / Ref(C,-21)))) AND (C / (1 + ((C - Ref(C,-21)) / Ref(C,-21)))) <= (C / (1 + ((C - Ref(C,-5)) / Ref(C,-5))) AND (C / (1 + ((C - Ref(C,-5)) / Ref(C,-5)))) <= C AND colB >= 20 After running the exploration, I sort on the twelve month column (Column B) to get the biggest 12 month gainers on top of the list. Many of the stocks in this list (not all) will be "smooth" gainers and momentum stocks. Then comes the question, how to make money from these stocks? Jim Dawson -----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of David DeFina Sent: Friday, June 08, 2001 12:07 PM To: METASTOCK@metastock.com; Metastockusers@yahoogroups.com Subject: Finding "smooth" stocks?

Im interested in identifying stocks that have smooth transitions up and down, meaning when a stock is increasing day to day that the lows of the previous day arent violated, and vice versa. Also, stocks that have a tendency to increase or decrease multiple days rather than reversing all the time. I know stocks dont behave consistently all the time, but Im looking to rank stocks from a specific universe that have the propensity to trade smoothly. Any input would be appreciated. Thanks, David DeFina

Bressert Cycle Indicators I saw that some were interested in the Bressert cycle indicators for use in Metastock. Here is my implementation of the cycle 10 indicator; I have been using it for more than one year as part of explorations. If you want the cycle 5, just substitute 5 for the 10 in the formulas. Good luck I find these cycle indicators helpful. The below should be installed as a custom indicator. It can then be used on charts and called for in explorations.

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{double smoothed stochastic 10 period} {demominators defined to eliminate divide by zero errors} denom1:= If(HHV(H,10)-LLV(L,10)>0, HHV(H,10)-LLV(L,10), 1); P1:= Mov(((C-LLV(L,10))/ denom1)*100,3,E); denom2 := If(HHV(P1,10)-LLV(P1,10)>0, HHV(P1,10)-LLV(P1,10), 1); Mov(((P1-LLV(P1,10))/denom2)*100,3,E)

EXPLANATION OF THE MCCLELLAN OSCILLATOR (DAILY ADVANCING ISSUES -(minus) DAILY DECLINING ISSUES)= B McClellan OSC= MOV(B,19,E)- MOV(B,39,E) WHERE: -100 OR LESS IS OVERSOLD (BULLISH) WHERE: +100 OR GREATER IS OVERBOUGHT (BEARISH) Note that B is just a constant for illustration purposes only. Advance Decline Line {To display the Advance Decline Line, create a composite security in The DownLoader of Advancing Issues minus Declining Issues. Open a chart of the composite and plot this formula} Cum(CLOSE) McClellan Oscillator {To display the McClellan Oscillator, create a composite security in The DownLoader of Advancing Issues minus Declining Issues. Open a chart of the composite and plot this custom indicator.} Mov(CLOSE,19,EXPONENTIAL) - Mov(CLOSE,39,EXPONENTIAL) mike arnoldi CMO FILTER CMO Filtered: momu:=If(C>Ref(C,-1),C-Ref(C,-1),0); momd:=If(C<Ref(C,-1),Ref(C,-1)-C,0); A1:=Stdev(momu,100); A2:=Stdev(momd,100); Mup:=If(C-Ref(C,-1)>A1,C-Ref(C,-1),0); Mdn:=If(Ref(C,-1)-C>A2,Ref(C,-1)-C,0); Periods:=Input("Length",5,100,13); CMOF:=100*((Sum(Mup,Periods)-Sum(Mdn,Periods)) /(Sum(Mup,Periods)+Sum(Mdn,Periods))); Sig:=Mov(CMOF,10,S); Hist:=CMOF-Sig; Hist; Sig; CMOF; THRUST OSCILATOR: AI:= Security("D:\Stocks\Market Indicators\X.NASD-A",C); AV:= Security("D:\Stocks\Market

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Indicators\X.NASD-A",V); DecI:= Security("D:\Stocks\Market Indicators\X.NASD-D",C); DecV:= Security("D:\Stocks\Market Indicators\X.NASD-D",V); TO:=(((AI*AV)-(DecI*DecV))/((AI*AV)+(DecI*DecV)))*100; Periods1:=Input("length1",3,100,21); Periods2:=Input("length2",3,100,5); IND:=Mov(TO,Periods1,S); sig:=Mov(IND,Periods2,S); sig; IND; You will have to create securities of advancing issues,declining issues,advancing volume, declining volume first then type in the directory where they are located Henry kaczmarczyk THRUST OSCILLATOR the thrust osc, the metastock formula AI:= Security("D:\Stocks\Market Indicators\X.NASD-A",C); AV:= Security("D:\Stocks\Market Indicators\X.NASD-A",V); DecI:= Security("D:\Stocks\Market Indicators\X.NASD-D",C); DecV:= Security("D:\Stocks\Market Indicators\X.NASD-D",V); TO:=(((AI*AV)-(DecI*DecV))/((AI*AV)+(DecI*DecV)))*100; Periods1:=Input("length1",3,100,21); Periods2:=Input("length2",3,100,5); IND:=Mov(TO,Periods1,S); sig:=Mov(IND,Periods2,S); sig; IND; You will have to have created securities of advancing issues,declining issues,advancing volume, declining volume henry1224@hotmail.com

MIDAS VOLUME WEIGHTED AVE PRICE-SUPPORT/RESIST From P.67, TASC, May 2001 MIDAS Volume Weighted Ave Price-Support/resist.} sm:=Input("Starting Month",1,12,1); sd:=Input("Starting day of month",1,31,1); sy:=Input("Starting year",1980,2100,2000); start:= sd = DayOfMonth() AND sm = Month() AND sy = Year(); pv:= MP()*V; denom:=If(Cum(V)-ValueWhen(1,start,Cum(V))=0,1,Cum(V)ValueWhen(1,start,Cum(V))); If(BarsSince(start),(Cum(pv)-ValueWhen(1,start,Cum(pv)))/denom,MP())

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STOCHASTIC CROSS TRADING SYSTEM QUESTION How would I write a MetaStock System Tester for: Buy: stoch(12,3) has fallen below 36 and then crosses above its 6 day WMA. Sell: stoch(12,3) rises above 52 and then falls below its 3 day WMA OR 3 day WMA of stoch crosses above 55. ANSWER stoch(12,3)<36 and cross(stoch(12,3),mov(stoch(12,3),6,w)) stoch(12,3)>52 and cross(mov(stoch(12,3),3,w),stoch(12,3)) or mov(stoch(12,3),3,w)>55 TSI AND ERGODICS INDICATORS Contributed by Christian Baude BAUDECB@ix.netcom.com True Strength Index (TSI) - "Momentum, Direction and Divergence", William Blau, Pub: John Wiley& Sons (see also TASC Jan '93, "Stochastic Momentum" gives the formula for the true strength index. This article refers to an older article by Blau in the Jan '91 TASC "Double Smoothed Stochastics") TSI(close,r,s) = 100*EMA(EMA(mtm,r),s / EMA(EMA(ImtmI,r),s) >> Your formula expanded >> 100*(Mov(Mov(ROC(C,1,$),25,E),13,E)/Mov(Mov(Abs(ROC(C,1,$)),25,E),13,E)) Numerator: mtm = one-day momentum of close r-day EMA of mtm {25 day} s-day EMA {13 day double smoothing} Denominator: ImtmI = absolute value of mtm r-day EMA of ImtmI s-day EMA {double smoothing} TSI(close,25,13) Signal Line = EMA(TSI,7) thresholds at +25, 0, -25 5 day EMA of 20 day EMA of 1 day momentum {little lag Vs smoothing of price} Ergodic Oscillator = Ergodic + Signal line {TSI version of Slow Stochastic} Ergodic(close,r) = TSI(close,r,5) {double smoothing is fixed at 5} Signal Line(close,r) = EMA(TSI(close,r,5),5) r = 20days thresholds are +20, -20

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Interesting comparison chart between 20 Slow Stochastic and 20 Erodic {more head room in oversold-bought areas} another chart showing Ergodic Osc = TSI(close,32,5) with 5-day EMA signal line Trading Ergodics with the Trend Rules 1. Enter or hold position only when slope of Ergodic Signal line has the same direction as the trend 2. Stand aside when slope of Ergodic Signal Line is in the opposite direction of trend 3. Enter or exit position when Ergodic and its Signal Line cross Slow TSI Trend = TSI(close,64,64) {? weekly looking chart - very little lag} Thresholds set at +15 & -15 Trading Ergodics with Slow TSI Trend 1st window - Slow TSI Trend = TSI(close,64,64) 2nd window - Ergodic Osc = TSI(close,64,5)

RELATIVE STRENGTH OF STOCK TO INDEX Here is what I have been using as Relative strength (RSC)Compared to the XAO Column A: CLOSE Column B: If( (Ref(Div(CLOSE,P),-4) > Ref(Mov(Div(C,P),30,E),-4)),1,0) Column C: If( (Ref(Div(CLOSE,P),-3) > Ref(Mov(Div(C,P),30,E),-3)),1,0) Column D: If( (Ref(Div(CLOSE,P),-2) > Ref(Mov(Div(C,P),30,E),-2)),1,0) Column E: If( (Ref(Div(CLOSE,P),-1) > Ref(Mov(Div(C,P),30,E),-1)),1,0) Column F: (( C/P - Mov(C/P,30,E)) / Mov(C/P,30,E)) * 100 Filter: Div(C,P)> Mov(Div(C,P),30,E) AND colB=1 AND colC =1 AND colD = 1 AND colE =1 I name columns B - E period 1, 2, 3, etc. Open The chart of the index you wish to get the relative strength of the securities on make periodicity "Week". In the options area of the exploration editor change to Week. This formula will select securities that have outperform the index over the last 5 weeks. The formula in column F provides a way to rank the securities in terms of their recent performance relative to the index. Frederick W McKenzie :fmckenz@primus.com.au

N:=Input("Lookback Period", 9, 220, 90); M:=N; {Period used for Momentum Index} SD:=1.5; {Number of Stdev's around FlexPivot} MI:= CMO(C ,M ) / 100; { Momentum Index } MA:= Mov(C, N, S); { Moving Average } FlxP := If( MI > 0, { THEN } MA + (MI * (HHV(C, M) - MA)), { ELSE }

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MA + (MI * (MA - LLV(C, M))) ); { ENDIF } LBand := FlxP - SD * Stdev(INDICATOR, N); UBand := FlxP + SD * Stdev(INDICATOR, N); UBand; FlxP; LBand; {from Andreas Grau}

RSI(9) DIVERGENCE BUY: If(RSI(9) >= HHV(RSI(9),19) AND CLOSE <HHV(CLOSE,19), 1,0) OR If(CLOSE <= LLV(CLOSE,19) AND RSI(9) > LLV(RSI(9),19), 1,0) RSI(9) DIVERGENCE SELL: If(CLOSE >= HHV(CLOSE,19) AND RSI(9)<HHV(RSI(9),19),1,0) OR If(RSI(9) <= LLV(RSI(9),19) AND CLOSE > LLV(CLOSE,19),1,0) Substitute any formula for the "RSI(9)" in the above.

Mike Arnoldi

DYNAMIC ZONE WILLIAMS%R EXPLORATION ColA: Mov(WillR(19),70,S)-(1.3185 * Stdev(WillR(19),70)) ColB: Mov(WillR(19),70,s) Filter: Cross(mov(WillR(19),70,s) , Mov(WillR(19),70,S)-(1.3185 * Stdev(WillR(19),70))) {from suggestions by J. Seed and A. Grau} DYNAMIC ZONE WILLIAMS%R INDICATOR I have written a Dynamic Zone Williams % R indicator that you may find useful. I have converted the Will%R to a +/- 50 oscillator. The formula is: {DYNAMIC W%R} PR:=Input("Enter Periods for W%R",1,100,14); PB:=Input("Enter Periods for BUY",1,100,20); PS:=Input("Enter Periods for SELL",1,100,20); {CONVERT W%R TO +/-50 OSC} DWR:=(Mov(WillR(PR),2,S))+50; UpZone:=Mov(DWR,PS,S)+(1.3185 *Stdev(DWR,PS)); LwZone:=Mov(DWR,PB,S)-(1.3185 *Stdev(DWR,PB)); MidZone:=(UpZone + LwZone)/2; MidZone; UpZone; LwZone; DWR This will plot 3 dynamic zones and a Dynamic Williams%R. To use in an exploration you would need to use the Fml Var call function of the indicator. from J. S NEGATIVE CLOSES DOWN DAYS EXPLORE THE NUMBER OF NEGATIVE CLOSES AND THE PERCENT LOSS CHANGING THE > WITH < WE HAVE THE POSITIVE DAYS . COL A: BarsSince(C>Ref(C,-1)) {NUMBER OF NEG. DAYS ) COL B: ROC(C, LastValue(BarsSince(C>Ref(C,-1))),%) {PERCENT}

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Col A: RSI(14) Filter colA>=80 Filter enabled Yes Periodicity Daily Records required 18

Hi Lino, Here is what I found for her Kase DevStop: {Cynthia Kase} Per1:=Input("Max Length",2,100,30); RWH:=(H-Ref(L,-Per1))/(ATR(Per1)*Sqrt(Per1)); RWL:=(Ref(H,-Per1)-L)/(ATR(Per1)*Sqrt(Per1)); Pk:=Mov((RWH-RWL),3,W); AVTR:=Mov(HHV(H,2) - LLV(L,2),20, S); SD:=Stdev(HHV(H,2) - LLV(L,2),20); Val4:=If(Pk>0,HHV(H-AVTR-3*SD,20),LLV(L+AVTR+3*SD,20)); Val3:=If(Pk>0,HHV(H-AVTR-2*SD,20),LLV(L+AVTR+2*SD,20)); Val2:=If(Pk>0,HHV(H-AVTR-SD,20),LLV(L+AVTR+SD,20)); Val1:=If(Pk>0,HHV(H-AVTR,20),LLV(L+AVTR,20)); Val4;Val3;Val2;Val1;

WOLF WAVE PATTERNS Here's a simple Metastock exploration for locating Wolf Wave patterns. It doesn't hit all that often, but when it does, it's best to pay attention. ColA: WW Pa:=Trough(4,LOW,5); Pb:=Peak(3,HIGH,5); P1:=Trough(3,LOW,5); P2:=Peak(2,HIGH,5);

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P3:=Trough(2,LOW,5); P4:=Peak(1,HIGH,5); P5:=Trough(1,LOW,5); tb:=TroughBars(1,LOW,5); tb<=4 AND p1 > pa AND pb < p2 AND p1 < p2 AND p1 < p4 AND p1 > p3 AND p3 > p5 AND p4 < p2 AND ColB: Tangents p1:=Trough(3,LOW,5); p3:=Trough(2,LOW,5); p5:=Trough(1,LOW,5); o1:=p1-p3; o2:=p1-p5; a1:=TroughBars(3,LOW,5)-TroughBars(2,LOW,5); a2:=TroughBars(3,LOW,5)-TroughBars(1,LOW,5); tan1:=o1/a1; tan2:=o2/a2; Abs(tan1-tan2) Filter: colA AND colB <= .2 THE MARKET FACILITATION INDEX In the August 1996 STOCKS & COMMODITIES, an article by Thom Hartle titled "The Market Facilitation Index" showed how to color chart bars to identify chart patterns based on changes in the market facilitation index and volume. The first step is to create a new expert by choosing Expert Advisor from MetaStock's Tool menu, and then choose New from the Expert Advisor. Name the expert "Market Facilitation Index," enter any notes you like, and then click on the Highlights tab. Enter the following Highlights by choosing New, choosing the color and then entering the following formulas: Green Bar (Green bar) ROC((H-L)/V,1,$) > 0 AND ROC(V,1,$) > 0 Fade Bar (Blue bar) ROC((H-L)/V,1,$) < 0 AND ROC(V,1,$) < 0 Fake Bar (Dk Gray bar) ROC((H-L)/V,1,$) > 0 AND ROC(V,1,$) < 0 Squat Bar (Red bar) ROC((H-L)/V,1,$) < 0 AND

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ROC(V,1,$) > 0 After you have entered the four Highlights, click OK to finish editing the expert's properties. You can now right-click on the heading or background of any chart. Next, select Expert Advisor and then Attach from the Chart shortcut menu. Attach the market facilitation index expert, and it will highlight the four market facilitation patterns that were discussed in Hartle's article. Note: You can save a chart as a template with this expert attached, and then any time you apply the template to a chart, the market facilitation index expert will automatically attach to the chart. from Allan J. McNichol, EQUIS International www.equis.com Sender: blackman@hawaii.rr.com

TRUE STRENGTH INDEX Walter Lake wlake@sprint.ca True Strength Index = TSI TSI(close,r,s) = 100*EMA(EMA(mtm,r),s / EMA(EMA(ImtmI,r),s) Numerator mtm = one-day momentum of close r-day EMA of mtm {25 day} s-day EMA {13 day double smoothing} Demoninator ImtmI = absolute value of mtm r-day EMA of ImtmI s-day EMA {double smoothing} TSI(close,25,13) Signal Line = EMA(TSI,7) thresholds at +25, 0, -25 -05 day EMA of 20 day EMA of 1 day momentum {little lag Vs smoothing of price} -0Ergodic Oscillator = Ergodic + Signal line {TSI version of Slow Stochastic} Erodic(close,r) = TSI(close,r,5) {double smoothing is fixed at 5} Signal Line(close,r) = EMA(TSI(close,r,5),5) r = 20days thresholds are +20, -20 interesting comparision chart between 20 Slow Stochastic and 20 Erodic {more head room in oversold-bought areas} another chart showing Ergodic Osc = TSI(close,32,5) with 5-day EMA signal line 0 Trading Ergodics with the Trend - Rules 1. Enter or hold position only when slope of Erogodic Signal line has the same direction as the trend 2. Stand aside when slope of Erogodic Signal Line is in the opposite diretion of trend 3. Enter or exit position when Erogodic and its Signal Line cross -0Slow TSI Trend = TSI(close,64,64) {? weekly looking chart - very little lag}

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Thresholds set at +15 & -15 Trading Ergodics with Slow TSI Trend 1st window - Slow TSI Trend = TSI(close,64,64) 2nd window - Ergodic Osc = TSI(close,64,5)

{Fibonacci Trader-Dynamic Balance Point Step} DPS:=(ValueWhen(1,FmlVar("FT-DBP","DBC"), FmlVar("FT-DBP","DBC"))+ ValueWhen(5,FmlVar("FT-DBP","DBC"), FmlVar("FT-DBP","DBC"))+ ValueWhen(10,FmlVar("FT-DBP","DBC"), FmlVar("FT-DBP","DBC"))+ ValueWhen(15,FmlVar("FT-DBP","DBC"), FmlVar("FT-DBP","DBC"))+ ValueWhen(20,FmlVar("FT-DBP","DBC"), FmlVar("FT-DBP","DBC")))/5; DPS;

{created by Adam Hefner 9-1-99} EXAMPLE OF HOW TO CREATE A MACD Crossover SYSTEM TEST IN MetaStock Enter Long: Mov(C,5,E) > Mov(C,13,E) AND Mov(C,13,E) > Mov(C,40,E) Close Long: Cross(Mov(C,13,E),Mov(C,5,E)) Now you can play with these combinations on both the enter long and close long side. For example, keep the same Enter Long but change the Close Long to = Cross(Mov(C,40,E) ,Mov(C,5,E) ) This will keep you in the trade longer. You may want to enter when the 5 crosses above the 13 and not wait for the 40 OR, you may just want to use the 5 cross above the 40 and forget about the 13. (created by David Evans) Trending Bandini Mov(C,2,S)> Mov(Mov(C,2,S),2,S) AND Mov(Mov(C,2,S),2,S)> Mov(Mov(Mov(C,2,S),2,S),2,S) AND Mov(Mov(Mov(C,2,S),2,S),2,S)>

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Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S) AND Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S)> Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S) AND Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S)> Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S) AND Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S)> Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S),2,S) AND Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S),2,S)> Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S),2,S),2,S) AND Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S),2,S),2,S)> Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S),2,S), 2,S),2,S) AND Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S),2,S), 2,S),2,S)> Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(Mov(C,2,S),2,S),2,S),2,S),2,S),2,S), 2,S),2,S),2,S),2,S) {created by Brookelise} Elliot Oscillator Mov((H+L)/2,5,S)-Mov((H+L)/2,34,S) GRII This is a long formula so I broke it up into four pieces. GRII is derived from formulas 1, 2, and 3. This is a nifty momentum oscillator that I've used for about five years to help me determine the direction of a given market when I have evidence that the market is about to turn. test formula 1 GRIIF1 tsf(C,9)-ref(tsf(C,9),-1) 2 GRIIF2 (ref(tsf(C,9),-1)-(ref(tsf(C,9),-2))) 3 GRIIF3 (ref(tsf(C,9),-2)-(ref(tsf(C,9),-3))) 4 GRII (tsf(C,9)-ref(tsf(C,9),-1))+((ref(tsf(C,9),-1)-ref(tsf(C,9),-2)))+((ref(tsf (C,9),2)-(ref(tsf(C,9),-3)))) (written by Eddie Kwong) SPECIAL TRIX This is my own version of the well-known indicator, TRIX. I have had much better results with this than the canned version that comes with every charting program.

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trix(12)-ref((trix(12)),-1) (created by Eddie Kwong) {Fibonacci Trader - Fixed Balance Point} {NOTE: under Color/Style options, change plot to last "style" option} {Fixed Balance Point Calculation} FBC:=If(DayOfWeek()=1 AND Ref(DayOfWeek(),-1) <5, {then}(HighestSince(2,DayOfWeek()=1,H)+ LowestSince(1,DayOfWeek()=1,L)+ CLOSE)/3, {else}If(DayOfWeek()=5, {then}(HighestSince(1,DayOfWeek()=1,H)+ LowestSince(1,DayOfWeek()=1,L)+ CLOSE)/3, {else}0)); {Fixed Balance Point Plot} FBP:=ValueWhen(1,FBC>0,FBC); FBP

GANN SWING HILOW ACTIVATOR I was only able to implement Krausz's Gann Swing HiLow Activator in Metastock, because it's simply the average of the last three bars High (stop for short position or long entry) or Low (stop for long position or short entry) plotted one period forward: Ref(Mov(L,3,S),-1) or Ref(Mov(H,3,S),-1) (from Thorsten Buhmann in Germany) Tema PV Binary Wave Use of Tema PV Binary Wave and Tema QStick Formulas in MetaStock, from "JimG" There are really two different ways to use these formulas. Since the Binary Wave is a smoothed addition of several technical indicators that each give +1 when bullish, 0 when neutral and -1 when negative, it makes sense that a positive number is bullish and rising numbers are bullish. Similarly negative numbers and falling numbers are bearish. The QStick is really a candlestick type indicator, but can be read as bullish or bearish in same way as the Binary Wave. The two traditional ways to play them are to buy on a rise from a negative peak and sell on a fall from a positive peak, or to buy on a zero cross over to the upside and sell on a zero crossover to the downside. Of course you can optimize and find various buy and sell levels as long as you understand what is bearish and what is bullish.

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My own MetaStock system tests alerts on the BW crossing a moving average of itself and buys or sells on a confirmation of Qstick turning positive or negative respectively. Having said that, I don't make my buy an sell decisions from the indicators or the system test. I do use the system test as an initial screen and use a buy signal as a flag to move the stock to my watch list. I make all buying and selling decisions based on the trend channels. Over the years, I've found that works best for me. RUGGERIO'S TREND Ruggiero's rules for trend mode quoting his table 4.9: 1. If ADX crosses above 25, then the market is trending. 2. If ADX crosses below 20, then the market is consolidating. 3. If ADX crosses below 45 from above, then the market is consolidating. 4. If ADX rises from below 10 on 3 out of 4 days, then the market will start to trend. 5. If a trend is based on rule 4, it remains in effect until the 5 day difference in ADX is less than 0. Ruggiero employs a 14 day ADX but that is based on T-Bonds data. He suggests employing the above rules as a filter. I make the indicator take the value +1 if trending, a -1 if consolidating according to the above criteria but I guess the zero is for the grey area in between. Anyway according to definition: If a market is not trending it must be consolidating. However the zero may contain additional useful information. Ruggiero suggests tweaking the threshold values. periods:=Input("Periods?",1,63,14); If((ADX(periods)>25 AND (BarsSince(Cross(45,ADX(periods))) > BarsSince(Cross(ADX(periods),25)))) OR (ADX(periods) > 10 AND Ref(ADX(periods),-4)<10 AND (ADX(periods)-Ref(ADX(periods),-5)>0)), 1, If(ADX(periods)<20 OR ((BarsSince(Cross(45,ADX(periods))) < BarsSince(Cross(ADX(periods),25))) AND ADX(periods) < 45),-1,0))

AUTOMATIC METASTOCK TRENDLINE FORMULA Trough(1,L,10)+ ((((Trough(1,L,10)-Trough(2,L,10)) / (TroughBars(2,L,10)-TroughBars(1,L,10))) *TroughBars(1,L,10))) This formula will draw a trendline from the most recent bottom. The L (low) can be changed to C (close) and the 10 can be changed to a different percent value. You will also need to change the line style to the last one in the drop down list. Mike Helmacy

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www.techanalysis.com Those who know me have found out I vacillate between the VERY complicated and the very simple. I have been following a few stocks (medium volatility, but good %% moves both up and down over a 2-5 week time frame) and tracking them with about 15 templates on which most of the formulas that I have acquired reside. I wanted to track those that did best and those that were not as effective. I also tracked those formulas that were late in showing turns in momentum vs those that caught the turn close on. In this regard, I was looking for finding stocks at intermediate term lows and highs, NOT for indicators that identified stocks that had begun their run in any direction and were destined to continue. As a result, I came up with a very simple indicator that showed a HIGH degree of accuracy in "turn-calling", but it did NOT give me indication of the strength or duration of the new move, only that it probably would occur. I believe that I have finally discovered that any signal of a change in momentum will NEVER give you a sense of strength or duration BY ITS VERY NATURE, and that only signals that identify stocks WITHIN a momentum trend (ie..already established) are able to do that. My momentum trend change indicator is derived from an intermediate trend indicator I've used for some time in MSWIN 6.0... PDI(34) - MDI(34) My new formula is........... ((PDI(8) - MDI(8)) - (PDI(21) - MDI(21))) + (PDI(13) - MDI(13)) Try it......I think you'll like it......and it's the same coding in WOW, I believe..........BW Chan I have posted an update to the RMTA and TOSC formula's, >the first formulas had an "Absolute Value" that wasn't called for >in the article ( I had mistaken the "[" "]" to mean "|" "|"). The new >formulas seem to plot exactly as the old......but I wanted the code >to match the math in the article. >Thanks go out to William Golson for the help. > >{Recursive Moving Trend Average} >Lb:=Input("Look-Back Period?",3,100,21); >Alpha:=2/(LB+1); >Bot:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+C; >RMTA:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+ > (Alpha*(C+Bot-Ref(Bot,-1))); >RMTA; > >{TOSC} >Lb:=Input("Look-Back Period?",3,100,21); >Alpha:=2/(LB+1); >Bot:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+C; >RMTA:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+ > (Alpha*(C+Bot-Ref(Bot,-1))); >TOSC:=RMTA-Mov(C,lb,E); >TOSC; > Best wishes, > Adam Hefner. e-mail: VonHef@itlnet.net

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THE RECURSIVE MOVING TREND AVERAGE Is the name of an article in the December issue of TASC, written by >Dennis Meyers. In it he describes what he calls " The Recursive >Moving Trend Average" . I wont go into all the article right now, but >here is my translation of his math (for Metastock 6.5) : > > {Recursive Moving Trend Average} >Lb:=Input("Look-Back Period?",3,100,21); >Alpha:=2/(LB+1); >Bot:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+C; >RMTA:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+ > (Alpha*Abs(C+Bot-Ref(Bot,-1))); >RMTA; > >He then explains how to make an oscillator by subtracting an >Exponential MA form the Recursive MA...... again here is the code: > > {TOSC} >Lb:=Input("Look-Back Period?",3,100,21); >Alpha:=2/(LB+1); >Bot:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+C; >RMTA:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+ > (Alpha*Abs(C+Bot-Ref(Bot,-1))); >TOSC:=RMTA-Mov(C,lb,E); >TOSC; > > >Here is the code for System Testing; > >Buy Long: > >Lb:=opt1; >ent:=3; >Alpha:=2/(LB+1); >Bot:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+C; >RMTA:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+ > (Alpha*Abs(C+Bot-Ref(Bot,-1))); >TOSC:=RMTA-Mov(C,lb,E); >Cross(tosc,(0-Abs(ent))) > >Sell short: > >Lb:=opt1; >ent:=3; >Alpha:=2/(LB+1); >Bot:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+C; >RMTA:=(1-Alpha)*(If(Cum(1)<Lb,C,PREV))+ > (Alpha*Abs(C+Bot-Ref(Bot,-1))); >TOSC:=RMTA-Mov(C,lb,E);

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>Cross((0+Abs(ent)),tosc1) > >Opt1 is the look- back periods, of 3 to 30, and >Opt2 is the entry value of the oscillator, 0 to 5. > >Now, after all the hours spent on figuring out the >code, I have discovered that the RMTA plots very similar to the DEMA, oh well............ > Adam Hefner. > e-mail: VonHef@itlnet.net

Market Pressure - Ultimate: This is the basic calculation: If toadies close is greater than yesterdays close and toadies volume is greater than yesterdays volume, write down toadies volume * close, otherwise, If toadies close is less than yesterdays close and toadies volume is less than yesterdays volume, write down todays volume as a negative number * close, otherwise write down 0. Then add up the past 7 days and * 4, add this to the past 14 days total and * 2, add this to the past 28 days total. Plot this grand total in your chart for each new trading day. Simple Interpretation: Market Pressure - Ultimate can show divergences with the instrument it is plotted against. It may show signs of support and resistance when the indicator hits areas of support/resistance on its own graph. Comparing rates of change/moving averages of the indicator against that of the instrument may reveal accumulation/distribution pressures. Market Pressure - Ultimate: Sum(If(C > Ref(C,-1) AND V > Ref(V,-1), V * C, If(C < Ref(C,-1) AND V < Ref(V,-1), Neg(V) * C,0)),7) * 4 + Sum(If(C > Ref(C,-1) AND V > Ref(V,-1), V * C, If(C < Ref(C,-1) AND V < Ref(V,-1), Neg(V) * C,0)),14) * 2 +

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Sum(If(C > Ref(C,-1) AND V > Ref(V,-1), V * C, If(C < Ref(C,-1) AND V < Ref(V,-1), Neg(V) * C,0)),28)

Changing Ways Accumulation/Distribution: This is the calculation for the first formula (Todays Change): Todays close - yesterdays close This is the main formula, incorporating the first calculation: If todays change (1st formula) is greater than a 7 day exponential moving average of todays change and todays close is greater than yesterdays close, write down todays close + todays volume, otherwise, If todays change is less than a 7 day exponential moving average of todays change and todays close is less than yesterdays close, write down the negative value of todays close + todays volume, otherwise write down 0. Then add up all the days values and keep a cumulative running total for each new trading day. Simple Interpretation: Changing Ways Accumulation/Distribution can show divergences against the instrument. When compared against volume activity, it can show what impact a day of high turnover had on the share price for the coming periods. This is to say that if a day had high volume and there was little movement in the indicator alongside this, then you can suggest that all the volume for that day was absorbed into the price and there is less likelihood of buying/selling pressure in that day taking hold in the market in future trading days. Metastock code for Changing Ways Accumulation/Distribution: Cum(If(Fml( "Todays Change" ) > Mov(Fml( "Todays Change" ),7,E) AND C > Ref(C,-1), C + V, If(Fml( "Todays Change" ) < Mov(Fml( "Todays Change" ),7,E) AND C < Ref(C,-1), Neg(C + V) ,0))) Where Fml( "Todays Change" ) = c - ref(c,-1) Front Weighted 36 Day Moving Average: This indicator requires 3 sub calculations and then the totalling of all 3 to get the final indicator:

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This is the basic calculation: Take the closing prices of your instrument 34 days ago - 26 days ago (inclusive), multiply each daily value by 0.01 and write each value down. Then take the closing prices of your instrument 25 days ago - 18 days ago (inclusive), multiply each daily value by 0.02 and write each value down. Then take the closing prices of your instrument 25 days ago - 18 days ago (inclusive), multiply each daily value by 0.02 and write each value down. Then take the closing price of your instrument 17 days ago and multiply by 0.03 ad write the value down. Then take the closing price of your instrument 16 days ago - 8 days ago (inclusive), multiply by 0.031 and write each value down. Then take the closing price of your instrument 7 days ago - 6 days ago (inclusive), multiply by 0.006 and write each value down. Then take the closing price of your instrument 5 days ago - 1 day ago (inclusive), multiply by 0.07 and write each value down. Then take the closing price of your instrument today, multiply by 0.079 and write this value down. Finally, add up all the values that you wrote down and plot the value on the chart, repeat this for every new trading day. Simple Interpretation: Front Weighted 36 Day Moving Average is similar to all other moving averages. The interpretation is just as with all others, the trend is up when prices are above the moving average and the trend is down when prices are below the moving averages. This particular variation attempts to weight the data at the front more than that at the back, with a sliding scale for each trading days value. Metastock code for Front Weighted 36 Day Moving Average: Fml( "1FrontWeighted36BarMA1" ) + Fml( "2FrontWeighted36BarMA2" ) + Fml( "3FrontWeighted36BarMA3" ) Where Fml( "1FrontWeighted36BarMA1" ) = 0.01 * Ref(P,-34) + 0.01 * Ref(P,-33) + 0.01 * Ref(P,-32) + 0.01 * Ref(P,-31) + 0.01 * Ref(P,-30) + 0.01 * Ref(P,-29) + 0.01 * Ref(P,-28) + 0.01 * Ref(P,-27) + 0.01 * Ref(P,-26) + 0.02 * Ref(P,-25) + 0.02 * Ref(P,-24) + 0.02 * Ref(P,-23) + 0.02 * Ref(P,-22) +

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0.02 * Ref(P,-21) + 0.02 * Ref(P,-20) + 0.02 * Ref(P,-19) + 0.02 * Ref(P,-18) Where Fml( "2FrontWeighted36BarMA2" ) = 0.03 * Ref(P,-17) + 0.031 * Ref(P,-16) + 0.031 * Ref(P,-15) + 0.031 * Ref(P,-14) + 0.031 * Ref(P,-13) + 0.031 * Ref(P,-12) + 0.031 * Ref(P,-11) + 0.031 * Ref(P,-10) + 0.031 * Ref(P,-9) + 0.031 * Ref(P,-8) + 0.006 * Ref(P,-7) + 0.006 * Ref(P,-6) + 0.07 * Ref(P,-5) + 0.07 * Ref(P,-4) + 0.07 * Ref(P,-3) + 0.07 * Ref(P,-2) Where Fml( "3FrontWeighted36BarMA3" ) = 0.07 * Ref(P,-1) + 0.079 * P

Excel Confidence % This is the calculation: Take todays volume * 50 and find the square root of that number. Then divide 2.5 by your result. Then take the result of dividing by 2.5 and * todays close. Write this figure down. Then plot a 10 day moving average of this figure. This is the fundamental calculation which we shall call a. Take the value for a and take it away from the lowest value of itself over the past 5 days. Add up these results for the past 3 days. This number is called b. Now take the highest value for a over the past 5 days and subtract the lowest value for a, also over the past 5 days. Call this number c. Finally, divide b by c and multiply the answer by 100. (phew!) Simple Interpretation: Excel Confidence % should oscillate between 0 and 100, usually at the extreme ends of the scale. A value of 0 indicates no confidence in the market going up, whilst 100

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indicates perfect confidence in the market going up. Although this obviously isn't the holy grail of indicators, it does offer some insight into what the market is thinking and how one can measure investor sentiment. You might like to add a slower version of this (just increase the 3 day and 5 day calculations to something you believe to be appropriate - try 7 & 15) and trade the crossovers, as with stochastics. You can also just trade the values ie 90 or higher, buy, 10 or lower, sell. Excel Confidence %: (Sum( Mov(C * (2.5/ Sqrt(50 * V)),10,S)LLV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5), 3 ) / Sum( HHV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5) LLV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5), 3) ) * 100

Lone Ranger This is the calculation: There are 2 calculations needed for this. For the first, just take the highest value of the close in the past 3 days (including todays close) and take this away from the lowest value of the cose in the past 3 days. Call the result of this a. Then divide a by volume. Subtract the result of this by the value of a divided by volume 5 days ago. Finally, multiply this number by -1. Simple Interpretation: This is a short term indicator which will show short term divergences against the market instrument. You can also use it to compare its rate of change against that of the market. Extreme lows or highs in the indicator may be a signal of similar instances in the market, however you would want to define a time period to make use of this function. Metastock code for Lone Ranger: (( Fml( "Z Range" ) / V) Ref((Fml( "Z Range" ) / V),-5)) * -1 Where Fml( "Z Range" ) = (HHV(c,3) - LLV(c,3)) THREE INSIDE DAYS Inside days suggest a volatility compression and often preceede strong breakouts. Search returns 1 for ok and 0 for not ok Inside() Inside()-1

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Inside()-2

NR4 FORMULA from page 100 Trading Tactics Column A Std(Log(C/Ref(C,-1)),5)/Std(Log(C/Ref(C,-1)),99) Column B HIGH-LOW<Ref(LLV(H-L,3),-1) Column C HIGH<(Ref(HIGH,-1)AND LOW>Ref(LOW,-1)) Column D HIGH Column E LOW Filter colA<.5 AND (colB= 1 OR colC= 1) PRICE AND VOLUME BREAKOUT Shows stocks where the price increased 5% and the volume is 50% above a 50-day moving average. Rank results by % change in price, then check the volume. CLOSE Ref(CLOSE,-1) ROC(CLOSE,1,percent) VOLUME Mov(VOLUME,50,EXPONENTIAL) ((VOLUME - Mov(VOLUME,50,EXPONENTIAL)) /Mov(VOLUME,50,EXPONENTIAL)) * 100 **When(colC >= 5) AND When(colD >= colE*1.5) BOTTOM REVERSAL These are a collection of bottom signals. The search returns 1 for Ok and 0 for not ok. CLOSE EngulfingBull() MorningDojiStar() MorningStar() WhiteSoldiers() GAP DAYS Shows stocks which have gapped up or down on the open compared to yesterdays price. The search returns 1 for Ok and 0 for not ok. GapUp() HIGHER CLOSES Shows stocks which have closed higher on successive days. CLOSE CLOSE -1 CLOSE -2 **When(colA,>,colB) AND When(colB,>,colC) MOVING AVERAGE CROSSOVER - BULLISH

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This is a10 and 30 day moving average crossover search. Results close to 0 pinpoint the crossover. CLOSE Mov(CLOSE,30,EXPONENTIAL) ((CLOSE-Mov(CLOSE,30,EXPONENTIAL)) /Mov(CLOSE,30,EXPONENTIAL)) * 100 ((CLOSE-Mov(CLOSE,10,EXPONENTIAL)) /Mov(CLOSE,10,EXPONENTIAL)) * 100 **When(colA > colB) MACD CROSSOVER BUY SIGNAL Shows those stocks where an MACD crossover has been signalled.The search returns 1 for Ok and 0 for not ok. CLOSE MACD() Ref(MACD(),-1) Mov(MACD(),9,EXPONENTIAL) Ref(Mov(MACD(),9,EXPONENTIAL),-1) ((MACD() - Mov(MACD(),9,EXPONENTIAL)) /Mov(MACD(),9,EXPONENTIAL)) * 100 **Cross( MACD(), Mov(MACD(),9,EXPONENTIAL)) PERFORMANCE DAILY Stocks sorted on % gains over 1, 2, 3, 4, and 5 days. Rank results for the selected day. Good for finding breakout stocks. CLOSE ROC(CLOSE,1,percent) ROC(CLOSE,2,percent) ROC(CLOSE,3,percent) ROC(CLOSE,4,percent) ROC(CLOSE,5,percent) RALLY GAP AND INSIDE DAY Finds stocsk which have rallied, gapped upwards, and then had an inside day. Usually leads to a resumption of the rally. The search returns 1 for Ok and 0 for not ok. RallyWithVol() Inside() GapUp() RANGE HIGH Looks for out of range move where the close equals the high. Suggests more buying pressure. The search returns 1 for Ok and 0 for not ok. BigWhite() CLOSE HIGH VOLUME Displays those where volume is above the 100 day moving average. The search returns 1 for Ok and 0 for not ok. VOLUME Mov(VOLUME,100,EXPONENTIAL) ((VOLUME - Mov(VOLUME,100,EXPONENTIAL)) /Mov(VOLUME,100,EXPONENTIAL)) * 100 When(colA,>,colB)

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THIS COLLECTION COMES FROM A SPANISH SOURCE. They are contributed by Patrick who notes "my limited Spanish suggests that they are simply a random collection made by the web owner, who points out that there is as yet 'no Holy Grail' in technical analysis! For the past few days I have been using them by substituting the for 'number' given to each formula, the complete formula that particular number represents. In this way, each becomes independent." We have included all 80 of them, complete with the orginal Spanish cover note. A continuacin se ofrecen una serie de frmulas que puede utilizar con el programa Metastock recogidas de la red y cuya utilidad Vd. debe valorar. Se ruega encarecidamente a todos aquellos que tengan frmulas que puedan resultar tiles las enven a jomaba@interbook.net para su publicacin en esta pgina. Muchos dicen que el Santo Grial no existe.Y si es mentira? 1 DAILY CLOSE VS HIGH AND LOW WAVE if((C-L)/(H-L),>,.66 ,1, if((C-L)/(HL),<,.38,-1,0)) 2 PRICE OSCILLATOR WAVE if(ref(oscp(3,15,S,%),-1),<,0,1,0) 3 VOLUME OSCILLATOR WAVE if(oscv(1,50,S,%),>,50,1,0) 4 WEEKLY PRICE OSCILLATOR WAVE if(fml(#17),>,ref(fml(#17),-1),1, if(fml(#17),<,ref(fml(#17),-1),-1,0)) 5 VOLATILITY WAVE if(ref(fml(#27),-1),<,90,1,0) 6 LONG BINARY WAVE fml(#1) + fml(#2) + fml(#3) + fml(#9) 7 STOCHASTIC WAVE - LONG if(ref(stoch(14,3),-1),=,llv(stoch(14,3),3),2, if(stoch(14,3),=,llv(stoch(14,3),3),1,0)) 8 STOCHASTIC WAVE - SHORT if(ref(stoch(14,3),-1),=,hhv(stoch(14,3),3),2, if(stoch(14,3),=,hhv(stoch(14,3),3),1,0)) 9 VOLATILITY DIFFERENCE WAVE if(fml(#11),>=,1.00,1,0) 10 LONG BINARY II fml(#1) + fml(#3) + fml(#9) + fml(#24) 11 VOLATILITY DIFFERENCE mov(H-L,1,S)/mov(H-L,20,S) 12 HI LOW WAVE - DAILY if(H,>,ref(hhv(H,100),-1),1,if(L,<,ref(llv(L,100),-1),1,0)) 13 WEEKLY HIGH LOW WAVE if(H,>,ref(hhv(H,40),-1),1, if(L,<,ref(llv(L,40),-1), -1,0)) 14 PERCENT ABOVE\BELOW MOVING AVG (oscp(1,30,E,%)) 15 WEEKLY PRICE OSCILLATOR mov(oscp(10,20,S,%),10,S) 16 MACD WAVE MACD/trigger Binary Wave if(macd(), >, mov(macd(),9,E), {bullish} +1, {bearish} -1) 17 WEEKLY OSC SEGMENT mov(oscp(43,86,S,%),43,S) 18 HISTORICAL VOLATILITY (std(log(C / ref(C,-1)),10)*sqr(365)) /(std(log(C / ref(C,-1)),50)*sqr(365)) 19 RELATIVE STRENGTH C/P 20 CLOSE REL TO HIGH LOW (C-L)/(H-L) 21 GAP IDENTIFICATION if(L,>,ref(H,-1),1, if(H,<,ref(L,-1),-1,0)) 22 AVG VOLUME mov(V,50,S) 23 MOVE WAVE 20-unit m.a. Binary Wave if(C, >, mov(C,20,E), {then bullish} +1, {else bearish} -1) 24 STOCHASTIC VALUE WAVE if(ref(stoch(14,3),-1),<,65,1,

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if(stoch(14,3),<,65,1,0)) 25 ROC WAVE 12-ROC price Binary Wave if(roc(C,12,%), >, 0, {then bullish} +1, {else bearish} -1) 26 STOCH WAVE 5- Stochastic Binary Wave if(stoch(5,3), >, 50, {then bullish} +1, {else bearish} -1) 27 ATR RATIO atr(10)/atr(50)/100 28 BINARY WAVE Composite Wave of above fml("MACD Wave") + fml("MOVE Wave") + fml("ROC Wave")+ fml("STOCH Wave") 29 WEEKLY OPEN CLOSE WAVE if(C,>,O,1,if(C,<,O,-1,0)) 30 SHORT BINARY WAVE fml(#31) + fml(#32) + fml(#33) 31 SHORT OPEN CLOSE WAVE if((C-L)/(H-L),<,.38,1,0) 32 SHORT PRICE OSCILLATOR WAVE if(ref(oscp(3,15,S,%),-1),>,0,1,0) 33 SHORT VOLUME WAVE if(oscv(1,50,S,%),>,0, if(V,>,ref(V,-1),1,0),0) 34 O.B.V. Good example of if() func cum( if( C, >, ref(C,-1), +V, if( C, <, ref(C,-1), V, 0) )) 35 SINE WAVE 5-unit standing sine wave sin( cum(5) ) 36 STOCHASTIC Example of hhv() function ( sum( C - llv(L,5), 3 ) / sum( hhv(H,5) - llv(L,5), 3) ) * 100 37 Median price (hhv(H,10)-C)-(C-llv(L,10))/(hhv(H,10)-llv(L,10)) 38 Future MACD---Dr. Trieber (C-(( 11.607*(mov(C,26,E)))(10.607*(mov(C,12,E))) -(12.536*(mov(macd(),9,E))))) 39 Fraction (32nd's) int(C)+((frac(C)/0.03125)/100) 40 Summation Noise Indicator (Adam White) (sum(abs(C-ref(C,-1)),14)sum(abs(mov(C,10,S)-ref(mov(C,10,S),-1)),14))/ sum(abs(C-ref(C,-1)),14) 41 Chaikin Money Flow sum(((((C-L)-(H-C))/(H-L))*V),21)/sum(V,21) 42 Linear Regression ((15*(sum(cum(1)*C,10))-(sum(cum(1),10)*(sum(C,10)))) /((10*sum(pwr(cum(1),2 ),10))-pwr(sum(cum(1),2),10)) -pwr(sum(cum(1),10),2)) 43 Smoothed Tick Momemtum Line-TASC mov(roc(cum(if(C,>,ref(mov(C,10,E),1),+1, if(C,<,ref(mov(C,10,E),-1),-1,0))),5,$),5,E) 44 Bull Power (for Elderray) H-mov(C,13,E) 45 Bear Power (for Elderray) L-mov(C,13,E) 46 13-Period Moving Average (for Elderray) mov(C,13,E) 47 RSI Binary Wave (using 30/70 xover) if(rsi(10),>,30,if(ref(rsi(10),1),<,30,+1,if(rsi(10),<,70,if(ref(rsi(10),- 1),>,70,-1,0),0)),0) 48 Trendscore...Tushar Chande (TASC) if(C,>=,ref(C,-11),1,-1)+if(C,>=,ref(C,12),1,-1)+if(C,>=,ref(C,-13),1,-1)+ if(C,>=,ref(C,-14),1,-1)+if(C,>=,ref(C,-15),1,-1)+if(C,>=,ref(C,-16),1,-1)+ if(C,>=,ref(C,-17),1,-1)+if(C,>=,ref(C,-18),1,-1)+if(C,>=,ref(C,-19),1,-1)+ if(C,>=,ref(C,-20),1,-1) 49 KST-Martin Pring (One formula) (mov(roc(C,10,%),10,S))+(2*(mov(roc(C,15,%),10,S)))+ (3*(mov(roc(C,20,%),10,S)))+(4*(mov(roc(C,30,%),15,S)))/10 50 Dual Oscillator B-Wave +1 buy, -1 sell if(fml("dual osc 1"),>,fml("dual osc 2"),if(ref(fml("dual osc 1"),-1),<, ref(fml("dual osc 2"),-1),+1,if((fml("dual osc 1")),<,fml("dual osc 2"), if(ref(fml("dual osc 1"),-1),>,ref(fml("dual osc 2"),-1),-1,0),0)),0) 51 Dual Osc 1 mov(C,2,S)-mov(C,10,S)

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52 Dual Osc 2 mov((H+L+C)/3,5,S)-mov((H+L+C)/3,20,S) 53 R Squared pwr(corr(cum(1),C,5,0),2) 54 Slope of Linear Regression Line ((5*(sum(cum(1)*C,5)))(sum(cum(1),5)*(sum(C,5))))/ ((5*sum(pwr(cum(1),2),5))-pwr(sum(cum(1),5),2)) 55 RWI for today's high (H-ref(L,-16))/(mov((H-L),16,S)*sqr(16)) 56 RWI for today's low (ref(H,-16)-L)/(mov((H-L),16,S)*sqr(16)) 57 Momemtum roc(mov(C,10,E),10,%) 58 Volume Binary Wave if(V,>,ref(mov(V,20,E),1),1,if(V,<,ref(mov(V,10,E),1),1,0)) 59 MACD w/SAR if(macd(),>,mov(macd(),9,E),{macd is above trigger}if(sar(.02,.2), <,C,{buy long}+2,{stop shorts}+1),{macd < trigger}if(sar(.02,.2),>, C,{sell short}-2, {stop longs}-1)) 60 Oscillating OBV mov(obv(),20,E)-obv() 61 Overreaction Index if(ref(std(C,3),-3),>,4,+1,0)+if(C,<,(sar(.015,.15)),-1,+1) 62 Modified MACD tsf(C,12)-tsf(C,26) 63 RVI w/simple moving average (TASC) 100*mov(if(C,>,ref(C,1),std(C,10),0),14,S)/(mov(if(C,>,ref(C,-1), std(C,10),0),14,S)+mov(if(C,<,ref(C,-1),std(C,10),0),14,S)) 64 Upper Bollinger Band mov(C,20,S)+(2*(std(C,20))) 65 Lower Bollinger Band mov(C,20,S)-(2*(std(C,20))) 66 Middle Band mov(C,20,S) 67 %B (TASC) (C-(mov(C,20,S)-(2*(std(C,20)))))/(mov(C,20,S)+(2*(std(C,20)))mov(C,20,S)-(2*(std(C,20)))) 68 Band Width (TASC) (mov(C,20,S)+(2*(std(C,20))))-(mov(C,20,S)(2*(std(C,20))))/mov(C,20,S) 69 Volume % above/below 10 day MA (V-mov(V,10,S))/mov(V,10,S) 70 # of STD's of volume (V-mov(V,20,S))/std(V,20) 71 Morris' RSI w/volume (TASC) 100(100/(1+(mov(if(roc(C,1,$),>,0,roc(C,1,$)*V,0),14,S)/ mov(if(roc(C,1,$), <,0,-roc(C,1,$)*V,0),14,S)))) 72 Custom A/D Oscillator cum(if(C,>,ref(C,-2),1,if(C,<,ref(C,-2),-1,0))) 73 Empty Candlestick if(C,>,o{then empty},+1,0) 74 Filled Candlestick if(C,<,o{then filled},+1,0) 75 Doji if(C,=,o{then doji},+1,0) 76 Bearish engulfing lines if(fml(#28),=,+1,if(ref(fml(#27),-1),=,+1,if(C,<=,ref(O,1),if(O,>=, ref(C,-1),-1,0),0),0),0) 77 Bullish engulfing lines if(fml(#27),=,+1,if(ref(fml(#28),-1),=,+1,if(C,>=,ref(O,1),if(O,<=, ref(C,-1),+1,0),0),0),0) 78 Engulfing Line Binary wave fml(#30)+fml(#31) 79 Largest negative change in close llv(roc(C,1,$),40) 80 Choppiness Index (TASC) ((log(sum(atr(1),14)/(hhv(if(H,>=,ref(C,-1),H,ref(C,1)),14)-llv(if(L,<=, ref(C,-1),L,ref(C,-1)),14)))/log(10))/(log(14)/log(10)))*100 Better Bollinger Bands

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In the Oct issue of "Futures" there is an article written by >Dennis McNicholl called "Better Bollinger Bands". In his >article he describes how in a trending market the center >band of the B.B. will shift away from the "mean" value of >the price, and that the two outer bands will shift outward >to such an extent that the envelope loses its utility as a >volatility gauge (these are his words... not mine). > As usual "Futures" only posted the TradeStation code, >so this is my conversion from it. He called the Indicator >"Denvelope", and it runs the bands much closer..... >similar to "Standard Error Bands". > > {Denvelope} > {Better Bollinger Bands} >Lb:=Input("Look-Back Period ?",3,100,20); >De:=Input("Band Deviation ?",.5,3,2); >Alp:=2/(Lb+1); >Mt:=Alp*CLOSE+(1-Alp)*PREV; >Ut:=Alp*Mt+(1-Alp)*PREV; >Dt:=((2-Alp)*Mt-Ut)/(1-Alp); >mt2:=Alp*Abs(C-Dt)+(1-Alp)*PREV; >ut2:=Alp*mt2+(1-alp)*PREV; >dt2:=((2-Alp)*mt2-ut2)/(1-Alp); >But:=Dt+de*dt2; >Blt:=Dt-de*dt2; >But; >Dt; >Blt; > Best wishes, > Adam Hefner. > e-mail: VonHef@itlnet.net

Adaptive Moving Average by Perry Kauffman This is a Metastock for Windows version 6.5 formula. Periods := Input("Time Periods",1,1000, 10); Direction := CLOSE - Ref(Close,-periods); Volatility := Sum(Abs(ROC(CLOSE,1,$)),periods); ER := Abs(Direction/Volatility); FastSC := 2/(2 + 1); SlowSC := 2/(30 + 1); SSC := ER * (FastSC - SlowSC) + SlowSC; Constant := Pwr(SSC,2); AMA := If(Cum(1) = periods +1, ref(Close,-1) + constant * (CLOSE - ref(Close,1)),Prev + constant * (CLOSE - PREV)); AMA "Average-Modified Method" From The New Commodity Trading Systems and Methods, by Perry J. Kaufman

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Chapter 4 - Moving Averages, pg. 60. This formula is for version 6.5 of MetaStock for Windows 95 & NT only and cannot be written in previous version. This is a modified simple moving average. The formula will prompt you for input for the number of time periods to use in the moving average. Day:=Cum(1)+1; Z:=Input("Periods",2,1000,5); MV:=(1/Z); If(Day<(Z+2),C,If(day=(Z+2),Mov(C,LastValue(Z),S),PREV+(MV*(C-PREV)))) The Investor Preference Index This indicator was discussed in the December 1997 Technical Analysis of Stocks & Commodities magazine, page 19. The article was written by Cyril V. Smith Jr. "This indicator, a long - term stock market investment tool, compares the performance of the S&P 500 to the New York Stock Exchange index to measure sentiment. The theory is that investors have a preference for certain types of investments, blue chips versus mid-cap, during phases of a bull market." To plot this in MetaStock for Windows, follow these instructions. When complete, if you save this as a chart, you will simply need to load the chart and it will recalculate using the newest data. Open a chart of the S&P 500. Open a chart of the New York Stock Exchange index. Drag the S&P 500 price plot into the NYSE chart. Drop the indicator listed below on the plot of the S&P 500. The plot will turn a different color when you are pointing at it. The resultant plot is the Investor Preference Index. Formula: Investor Preference Index: (Sum(Mov(ROC(Log(C),24,%)-ROC(Log(P),24,%),15,S)-Mov(ROC(Log(C),24,%)ROC(Log(P),24,%),38,S),54)+1)*100 System test: Enter Long C=HHV(C,26) Close Long Fml("Investor Preference Index")<97.6 AND ROC(Fml("Investor Preference Index"),2,$)<=(-.04) Slope of a Linear Regression Line rev. 01/06/97 The following custom formula will return the slope of a Linear Regression Line. tp:=Input("Time Periods",1,200,21); ((tp*(Sum(Cum(1)*C,tp)))(Sum(Cum(1),tp)*(Sum(C,tp))))/((tp*Sum(Pwr(Cum(1),2),tp))Pwr(Sum(Cum(1),tp),2)) WillSpread by Larry Williams The Larry Wiliams' indicator named WillSpread is quite easy to plot in MetaStock for Windows version 6.5. Using version 6.5 of MetaStock for Windows, please follow these steps.

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Plot the underlying commodity. Drag the Spread Indicator from the indicator quick list to this commodity chart. Select either Tbonds or Tbills as the security to use to spread. I recommend you plot this in a new inner window. Drag the Price Oscillator from the indicator quick list and drop it on the SPREAD plot, not the price plot. The parameters Mr. Williams' uses are 7 and 11 time period exponential moving averages. You also want to use "points" as the method. This plot is the WillSpread indicator. At this point, you may change the Spread Indicator plot's color to match the background of the chart, or perhaps move the WillSpread indicator to a separate inner window. If you save this first effort as a template, perhaps named WillSpread, you are able to apply this template to any commodity you wish and the indicator will be automatically calculated against that commodity. You may also use the "Next Security" function within MetaStock for Windows to view each of your commodities by setting the options for next security to "Keep line studies". If you apply this template to the first commodity in your futures folder, you may then use the right arrow to move down the folder contents. Each new commodity will have the WillSpread calculated as it is loaded.

1996 August TASC Trader's Tips - Connors and Raschke's Historical Volatility System Here is the Connors and Raschke's historical volatility system exploration in August 1996 TASC Trader's Tips translated for MetaStock. COLUMN FORMULAS --------------Column A : Vol ratio std(log(C/ref(C,-1)),5)/std(log(C/ref(C,-1)),99) Column B : NR4 day if(HIGH-LOW,<,ref(llv(H-L,3),-1),1,0) Column C : Inside if(HIGH,<,ref(HIGH,-1),if(LOW,>,ref(LOW,-1),1,0),0) Column D : High HIGH Column E : Low LOW FILTER FORMULA -------------Formula: when(colA,<,0.5) AND (when(colB,=,1) OR when(colC,=,1)) 1997 October TASC Traders Tip - Volatility Bands As A Long Term Strategy This article "Volatility Bands As A Long Term Strategy", by Ahmet Tezel, Ph.D., and Suzan Koknar-Tezel, M.S., which appears in this issue introduces two different volatility band trading systems. One system uses bands based on moving averages and the other is based on bands which use regression. To plot the Moving Average Asymmetric Volatility Price Bands in MetaStock for Windows, simply plot Bollinger Bands using 11 periods and 1.7 standard deviations. Then click your right-mouse

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button while the cursor is over the lower band and choose properties. Change the standard deviations to 2. This plot will now appear exactly as the bands discussed in the article. To plot the Regression Asymmetric Volatility Price Bands in Metastock for Windows, simply plot Standard Error Bands using 21 periods, 1 for standard errors, and 1 for the smoothing periods. Then click your right-mouse button while the cursor is over the lower band and choose properties. Change the standard errors to 1.5. To recreate the systems in MetaStock for Windows, choose System Tester from the Tools menu. Next choose New and enter the following trading rules and stop conditions. After entering this information, choose Options and change the trade delay to 1, then change the Trade Price to Open. If you have MetaStock 6.5 enter the first set of formulas. MetaStock 6.5 allows variables which will allow you to change the periods when testing much more easily. Formulas for MetaStock 6.5 MOVAVG ASYMMETRIC VOLATILITY PRICE BANDS SIGNAL FORMULAS --------------Enter Long: Periods := 11; UpperBand := BBandTop(CLOSE,Periods,S,1.7); BuySignal1 := Sum(CLOSE > UpperBand,3) = 3; BuySignal2 := CLOSE > UpperBand AND Ref(LOW,-1) > Ref(upperband,-1); BuySignal3 := LOW > UpperBand AND Ref(CLOSE,-1) > Ref(upperband,-1); BuySignal4 := CLOSE > UpperBand AND CLOSE > 1.4 * LLV(LOW,Periods + 1) AND Mov(VOLUME,3,S) > 2000 {assuming volume in 100's otherwise use 200000} AND Mov(HIGH,3,S) > UpperBand AND Mov(HIGH - LOW,3,S) > Mov(HIGH LOW,Periods,S); BuySignal1 OR BuySignal2 OR BuySignal3 OR BuySignal4 Close Long: Periods := 11; LowerBand := BBandBot(CLOSE,Periods,S,2); SellSignal1 := Sum(CLOSE < LowerBand,3) = 3; SellSignal2 := CLOSE < (1-.18) * HHV(HIGH,Periods + 1) AND Sum(CLOSE < LowerBand,2) = 2; SellSignal3 := CLOSE < (1-.18) * HHV(HIGH,Periods + 1) AND HIGH < LowerBand; SellSignal1 OR SellSignal2 OR SellSignal3 STOPS ----Maximum Loss: LONG ONLY 10.00 Percent REGRESSION ASYMMETRIC VOLATILE PRICE BAND SIGNAL FORMULAS ---------------

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Enter Long: Periods := 21; UpperBand := STEBandTop(CLOSE,Periods,1) ; Sum(CLOSE > UpperBand,3) = 3 AND LinRegSlope(CLOSE,21) > 0 AND ROC(Correl(CLOSE,Cum(1) ,21,0),2,$) >= .2 Close Long: Periods := 21; LowerBand := STEBandBot(CLOSE,Periods,1.5) ; SellSignal1 := Sum(CLOSE < LowerBand,3) = 3; SellSignal2 := CLOSE < (1-.18) * HHV(HIGH,Periods + 1) AND HIGH < LowerBand; SellSignal1 OR SellSignal2 STOPS ----Maximum Loss: LONG ONLY 10.00 Percent 1997 November TASC Traders Tip - Using Fibonacci Ratios and Momentum In MetaStock for Windows, you can establish Fibonacci Retracement levels as outlined in the November 1997 TASC article "Using Fibonacci Ratios and Momentum" by Thom Hartle by first creating an Expert in the Expert Advisor. To do this, choose Expert Advisor from the Tools menu and then choose New. Enter the following Expert Highlights and Expert Symbols into your Expert. Fibonacci Ratios and Momentum Highlights Name: RSI > 50 Condition: RSI(14) > 50 Color: Dk Green Name: RSI < 50 Condition: RSI(14) < 50 Color: Red Symbols Name: Isolated Low Condition: LOW < Ref(LOW,-1) AND LOW < Ref(LOW,1) Graphic: Buy Arrow Color: Black Label: Isolated Low Name: Isolated High Condition: HIGH > Ref(HIGH,-1) AND HIGH > Ref(HIGH,1) Graphic: Sell Arrow Color: Black Label: Isolated High Note: If the Symbol labels make the chart too busy you may want to shorten the label (e.g. change Isolated High to IH). Next, close the Expert Advisor, open any chart, and then click the right-mouse button on the charts heading. Choose Expert Advisor and then Attach from the Chart Shortcut Menu. You can now choose Fibonacci Retracement from the Insert menu, and then drag from one isolated extreme to another. In MetaStock 6.5 you should

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right-click on the Fibonacci Retracement lines and choose properties. Check the Snap to Price checkbox so the Retracement lines will automatically snap to the high and low prices. 1997 December TASC Trader's Tip - Volatility % Indicator You can easily create the Volatility% Indicator from William Browers article in MetaStock for Windows. First choose Indicator Builder from the Tools menu in MetaStock. Next choose New and enter one of the following formulas: Formula for MetaStock 6.5 Volatility% Lookback := Input("Time Periods",1,1000,50); HighVolatility := Input("High Volatility %",.01,100,3); 100 * Sum(100 * ATR(1)/CLOSE > HighVolatility, Lookback)/Lookback Formula for earlier versions of MetaStock for Windows Volatility% 100 * Sum(100 * ATR(1)/CLOSE > 3, 50)/50 Now drag the Volatility% from the Indicator QuickList and drop it on the desired chart. 1998 February TASC - Double Tops and Double Bottoms In the February 1998 issue of Technical Analysis of Stocks & Commodities magazine, Thomas Bulkowski discusses the use of Double Bottoms as a means of finding profitable trades. In MetaStock for Windows, you can find both Double Tops and Double Bottoms with these formulas. There is a caveat however. In the article, Mr. Bulkowski utilizes the High-Low range in finding Double Bottoms. These formulas use only the close value, so a few of the lower priced issues will not produce signals in MetaStock. Overall, however, these formulas produce most of the major signals he discusses. Double Tops PK:=Zig(C,10,%)<Ref(Zig(C,10,%),-1) AND Ref(Zig(C,10,%),1)>Ref(Zig(C,10,%),-2); TR:=Zig(C,10,%)>Ref(Zig(C,10,%),-1) AND Ref(Zig(C,10,%),1)<Ref(Zig(C,10,%),-2); PK1:=PeakBars(1,C,10); PK2:=PeakBars(2,C,10); (ValueWhen(1,PK,Ref(C,-1))/ValueWhen(2,PK,Ref(C,-1))>.96 AND ValueWhen(1,PK,Ref(C,-1)) / ValueWhen(2,PK,Ref(C,-1))<1.04) AND PK2PK1>=10 AND Cross(ValueWhen(1,TR,Ref(C,-1)),C) Double Bottoms PK:=Zig(C,10,%)<Ref(Zig(C,10,%),-1) AND Ref(Zig(C,10,%),1)>Ref(Zig(C,10,%),-2); TR:=Zig(C,10,%)>Ref(Zig(C,10,%),-1) AND Ref(Zig(C,10,%),1)<Ref(Zig(C,10,%),-2); TR1:=TroughBars(1,C,10); TR2:=TroughBars(2,C,10); (ValueWhen(1,TR,Ref(C,-1))/ValueWhen(2,TR,Ref(C,-1))>.96 AND ValueWhen(1,TR,Ref(C,-1)) / ValueWhen(2,TR,Ref(C,-1))<1.04) AND TR2TR1>=10 AND Cross(C,ValueWhen(1,PK,Ref(C,-1))) 1998 May TASC Trader's Tip - Automatic Support and Resistance

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Copied from Technical Analysis of Stocks and Commodities Magazine. This is in regards to an article on page 51 of the May 1998 issue. In my article "Automatic support and resistance" in this issue, I present a computerized approach to finding support and resistance levels on a chart. To recreate the indicators and system described in my article using MetaStock for Windows, enter the following formulas: Indicators: S1: IF(Ref(LOW,-4)=LLV(LOW,9),Ref(LOW,-4),PREVIOUS) S2: IF(Fml("S1")=Ref(Fml("S1"),-1),PREVIOUS,Ref(Fml("S1"),-1)) S3: IF(Fml("S1")=Ref(Fml("S1"),-1),PREVIOUS,Ref(Fml("S2"),-1)) S4: IF(Fml("S1")=Ref(Fml("S1"),-1),PREVIOUS,Ref(Fml("S3"),-1)) S5: IF(Fml("S1")=Ref(Fml("S1"),-1),PREVIOUS,Ref(Fml("S4"),-1)) S6: IF(Fml("S1")=Ref(Fml("S1"),-1),PREVIOUS,Ref(Fml("S5"),-1)) WSO: 100*(1-(Int(Fml("S1")/CLOSE)+Int(Fml("S2")/CLOSE)+Int(Fml("S3")/CLOSE)+Int (Fml("S4")/CLOSE) +Int(Fml("S5")/CLOSE)+Int(Fml("S6")/CLOSE))/6) R1: IF(Ref(HIGH,-4)=HHV(HIGH,9),Ref(HIGH,-4),PREVIOUS) R2: IF(Fml("R1")=Ref(Fml("R1"),-1),PREVIOUS,Ref(Fml("R1"),-1)) R3: IF(Fml("R1")=Ref(Fml("R1"),-1),PREVIOUS,Ref(Fml("R2"),-1)) R4: IF(Fml("R1")=Ref(Fml("R1"),-1),PREVIOUS,Ref(Fml("R3"),-1)) R5: IF(Fml("R1")=Ref(Fml("R1"),-1),PREVIOUS,Ref(Fml("R4"),-1)) R6: IF(Fml("R1")=Ref(Fml("R1"),-1),PREVIOUS,Ref(Fml("R5"),-1)) WRO: 100*(1-(Int(Fml("R1")/CLOSE)+Int(Fml("R2")/CLOSE) +Int(Fml("R3")/CLOSE)+Int(Fml("R4")/CLOSE) +Int(Fml("R5")/CLOSE)+Int(Fml("R6")/CLOSE))/6) The indicators S1 through S6 and R1 through R6 should be plotted as points and not as a continuous line. Trading System Formulas and Parameters: Enter long positions on either building support or sustained uptrend and exit position using stops. No short positions. Enter Long: Fml("WSO") > Mov( Fml("WSO") , 4 , S ) OR Mov( Fml("WRO") , 30 , S ) > 95 Stop Out: Breakeven stop: Floor level at 2% Trailing stop: Profit risk of 10 Percent, ignoring 10 periods Maximum loss stop: Maximum loss of 7% Other Conditions: Initial equity = 1000, Long positions only, Trade price = close, Trade delay = 0, Entry commission = 0%, Exit commission = 0%, , Interest rate = 5%, Margin req. 100% -- Mel Widner, Ph.D., 703 791-5910 E-mail techstrategies@msn.com. 1998 June TASC Traders' Tip - Mutated Variables, Volatility and a New Market Paradigm Mutated Variables, Volatility and a New Market Paradigm by Walter T. Downs, Ph.D. In MetaStock for Windows 6.0 or higher, use the Expert Advisor to create highlights, which will show when contraction and expansion phases are present. First, choose Expert Advisor from the tools menu in MetaStock. Create a new Expert with the following highlights: Expert name: New Market Paradigm HIGHLIGHTS

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Name: Contraction Condition: BBandTop(CLOSE,28,SIMPLE,2)< Ref(BBandTop(CLOSE,28,SIMPLE,2),-1) AND BBandBot(CLOSE,28,SIMPLE,2)>Ref(BBandBot(CLOSE,28,SIMPLE,2),-1) Color: Blue Name: Expansion Condition: BBandTop(CLOSE,28,SIMPLE,2)> Ref(BBandTop(CLOSE,28,SIMPLE,2),-1) AND BBandBot(CLOSE,28,SIMPLE,2)<Ref(BBandBot(CLOSE,28,SIMPLE,2),-1) Color: Red Click OK to save the changes to the Expert. Open a chart and then click your rightmouse button while pointing at the chart heading. Choose Expert Advisor and then choose Attach from the chart shortcut menu. Choose the New Market Paradigm Expert and then click the OK button. The price bars in the chart will be highlighted blue during a contraction phase and red in an expansion phase. 1998 July Trader's Tip - Channel Analysis Channel Analysis, beginning on page 18 of the July 1998 Technical Analysis of Stocks & Commodities Magazine It's quite easy to create the Trend Channels discussed in Thom Hartle's Channel Analysis article in MetaStock for Windows. After opening a chart, you may want to zoom in a little to make it easier to draw the Trend Channels more precisely. You can do this by clicking on the "+" button located on the Chart Toolbar at the bottom of the chart. Next you may want to identify the bars for the support or resistant points by drawing circles on the bars as Mr. Hartle did in the article, or you can use symbols from the symbol pallete. Both can be chosen from the Drawing Toolbar which is on left side of the chart. After identifying the points to draw the trendline, click on the Trendline button, also located on the Drawing Toolbar, and draw the trendline between the closing prices of the two bars. If you are using MetaStock 6.5, you may want to right-click on the trendline, choose properties, and then check the Snap to Price checkbox. This will make the trendline line up exactly with the closing prices. To create the second trendline of the Trend Channel, right-click on the first trendline and choose Create Parallel Line. Drag this parallel line so it aligns with the highest high between the two support points or the lowest low between two resistance points. If desired, you can go to the properties of each of these trendlines and choose to extend the lines to the right. Top LONE RANGER This is the calculation: There are 2 calculations needed for this. For the first, just take the highest value of the close in the past 3 days (including today's close) and take this away from the lowest value of the cose in the past 3 days. Call the result of this a. Then divide a by volume. Subtract the result of this by the value of a divided by volume 5 days ago. Finally, multiply this number by -1.

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Simple Interpretation: This is a short term indicator which will show short term divergences against the market instrument. You can also use it to compare its rate of change against that of the market. Extreme lows or highs in the indicator may be a signal of similar instances in the market, however you would want to define a time period to make use of this function. Metastock code for Lone Ranger: (( Fml( "Z Range" ) / V) Ref((Fml( "Z Range" ) / V),-5)) * -1 Where Fml( "Z Range" ) = (HHV(c,3) - LLV(c,3)) FORECAST OSCILLATOR Many moons ago, I posted a little linear regression system that featured the Forecast Oscillator. The response was surprising (lots of it) and today, I still communicate with many of the original respondents. I've continued to use the same "framework" for my testing. In an earlier post today (a private email that made it to the list...I'm a little dingy tonight...had to get up a 5 am to trade cocoa), I alluded to using the CMO. I've used many indicators in these tests (i.e., Forecast Oscillator, a modified Time Series Forecast, MACD Histogram, Bollinger Band Histogram, CMO, & others). Before I explain the method to my madness, please read the following sentences carefully. Backtesting systems is very dangerous. The act of backtesting is not the dangerous part...believing that the results can be duplicated in the future is very dangerous. Let's face it, we are "best fitting" circumstances to static prices etched in stone. So please, I'd prefer not to hear the lectures about the folly I pursue. I've been system testing since 1975 and I've made a bazillion mistakes (and a little chump change) over the years. I'm still looking for the holy grail. So, here's the outline: 1. The basic formula: Enter Long: Cross(opt1,ForecastOsc(CLOSE,opt3)) Close Long: Cross(ForecastOsc(CLOSE,opt3),opt2) Enter Short: Cross(ForecastOsc(CLOSE,opt3),opt2) Close Short: Cross(opt1,ForecastOsc(CLOSE,opt3))

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You can substitute any standard formula for the ForecastOsc or you can put in a custom formula (just remember that custom formulae need to look like: fml("Karnack's SuperSecret") It's in your manual. 2. opt3: In this search "opt3" represents the number of days inserted into the forecast oscillator. I usually use three (3) to ten (10) for the forecast oscillator, but if I'm using a custom formula, sometimes I don't even need opt3, because I using a fixed set of parameters within the custom formula. 3. opt1: Opt1 is the numeric value below a zero basis line that will trigger a long position and close out the short. Yes Virginia, in my secular little world, I prefer stop and reverse trading. The parameters for this option depends on the commodity (and yes, it does work on stocks) you're trading. One must eyeball the forecast oscillator to see how far it swings above and below zero. For the forecast oscillator, I usually use 0 to -3. 4. opt2: Opt2 is the numeric value above a zero basis line that will trigger a short sale. Zero to 3 seems to work for this formula. 5. Steps: I step opt3 using whole numbers to represent days. With Opt1 and Opt2, I use: .1 steps. 6. Other indicators: When substituting the CMO (or any indicator) for the Forecast Oscillator, one must be aware of the terrain the indicator travels over. It would be ridiculous to us zero to 3 (as the optimizing numbers) if the mid point is 50 and the indicator traverses between +10 (on the downside) and +90 (on the upside). The overall theory behind this test is that many indicator oscillate from positive to negative and back again (duh). The trick is not to trigger action when the indicator turns in a new direction (if you're interested, I've been down that road and I'm still wearing a neck brace from the whiplash). The theory is that once an indicator extends to a certain level, the market is either overbought or oversold. In downtrending markets (can you spell deflation?), the short sale trigger (opt2) is going to be closer to the zero basis line than opt1. Please see the attachment. What will happen when the grains, cocoa, crude, and damn

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near everything else starts to go up? Good question Steve! The system will not perform as well if you continue to use the same parameters. In a perfectly sideways market, one would assume that the trigger points would be equal distance from zero. As in many markets, this system works better when things trend indefinitely. I hope this post will help others who have inquired about the linear regression system. Attached is the original system, using the Forecast Oscillator, for March Crude Oil. In this example, opt3 is set to 8 (number of days in the forecast oscillator); opt2 is .1 (sell signal); opt1 is -2.3 (buy signal). To quote R.N. Elliot: "Even though we many not understand the cause underlying a particular phenomenon, we can, by observation, predict the phenomenon's recurrence." To qoute Karnack (my alter ego): "I got knocked down seven times and got up eight". Finally, from a trader on the realtraders forum: "Futures trading involves financial risk, lots of it". Sweet dreams, Steve Karnish CCT Alligator Indicators Following are the Bill William's Alligator indicators I put together. Please read his book "Trading Chaos" and pick up a demo of his "Investor's Dream" software from his web site to see how they are used. Hope you find them useful. originally from Gary Randall -- Brunswick, Maine, U.S.A. ---------------------------------------------Chaos Blue BL {Alligator Blue Balance Line - Jaw } {13 bar smoothed average offset 8 bars } Ref(Wilders(MP(),13),-8); ---------------------------------------------Chaos Red BL {Alligator Red Balance Line - Teeth } {8 bar smoothed average offset 5 bars } Ref(Wilders(MP(),8),-5);

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---------------------------------------------Chaos Green BL {Alligator Green Balance Line - Lip } {5 bar smoothed average offset 3 bars } Ref(Wilders(MP(),5),-3); ---------------------------------------------Chaos Gator { Chaos Alligator } { Plot as histogram } green := Fml("Chaos Green"); red := Fml("Chaos Red"); blue := Fml("Chaos Blue"); If(green > red AND red > blue, green - blue, If(blue > red AND red > green, green - blue, 0));

---------------------------------------------Chaos AO { Chaos Awsome Oscillator - measures momentum } ( A very close approximation of MFI } { Plot as histogram } Mov(MP(),5,S) - Mov(MP(),34,S); ---------------------------------------------Chaos AO Signal Line { Chaos Awsome Oscillator Signal Line } { Plot as line over AO histogram } Mov(Mov(MP(),5,S) - Mov(MP(),34,S),5,S) ---------------------------------------------Chaos AC { Chaos Accelerator/Decelerator Oscillator } { Measures acceleration } { Plot as histogram } Fml("Chaos AO") - Mov(Fml("Chaos AO"),5,S);

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High1 := Ref(HIGH,-2); High2 := Ref(HIGH,-1); High3 := Ref(HIGH,0); High4 := Ref(HIGH,1); High5 := Ref(HIGH,2); Low1 := Ref(LOW,-2); Low2 := Ref(LOW,-1); Low3 := Ref(LOW,0); Low4 := Ref(LOW,1); Low5 := Ref(LOW,2); Fractal := If((High3 > High1) AND (High3 > High2) AND (High3 > High4) AND (High3 > High5), +1,0); Fractal := If((Low3 < Low1) AND (Low3 < Low2) AND (Low3 < Low4) AND (Low3 < Low5), If(Fractal > 0, 0, -1), Fractal); Fractal; Final Plot {from Richard Estes} Fml ( "Final Plot" ) = If (BarsSince ( Fml ( "Downtrend" )) < BarsSince ( Fml ( "Uptrend" )), { then } Ref ( HHV (H,4), -1 ), { else } Ref (LLV (L,4) ,-1 )) where........ Fml ( "Downtrend" ) = Peak(1, If (L<Ref(LLV(L,4),-1) , Ref(HHV(H,4),-1), 0), 1) <> Ref(Peak(1, If (L<Ref(LLV(L,4),-1) , Ref(HHV(H,4), -1), 0), 1) and...... Fml ( "Uptrend" ) = Peak(1, If (H>Ref(HHV(H,4),-1), Ref(LLV(L,4), -1), 0), 1) <> Ref(Peak(1, If (H>Ref(HHV(H,4),-1), Ref(LLV(L,4), -1), 0), 1) Binary Wave System Test for MetaStock

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{created by Jim Greening} The basic idea behind a MetaStock binary wave is to use "if" statements on several MetaStock indicators and have them return plus one for a bullish indication, minus one for a bearish indication, and zero for a neutral condition. Then you add them all up for your binary wave indicator. I decided to format all my indicators so they could be plotted as a histogram. For these indicators plotting as histograms, positive is bullish and negative is bearish. To cut down on whipsaws, I decided that over +5 would be bullish, under -13 would be bearish and anything in between would be neutral. Therefore my binary wave formulas are: BW2 Demand Index If(Tema(DI(),21) > 5,+1,If(Tema(DI(),21) < -13,-1,0)) BW3 Linear Regression Slope If(Tema(10000*LinRegSlope(C,34)/C,34) > 5,+1, If(Tema(10000*LinRegSlope(C,34)/C,34) < -13,-1,0)) BW4 CCI If(Tema(CCI(21),21) > 5,+1, If(Tema(CCI(21),21) < -13,1,0)) BW5 ROC If(Tema(ROC(C,21,%),21) > 2,+1,If(Tema(ROC(C,21,%),21) < -2,-1,0)) BW6 Money Flow If(Tema(MFI(21),21)-50 > 5,+1,If(Tema(MFI(21),21)-50 < -5,-1,0)) BW7 CMO If(Tema(CMO(C,21),21) > 5,+1,If(Tema(CMO(C,21),21) < -5,-1,0)) BW8 VAR ma If(Mov(C,21,VAR) > Mov(C,55,VAR) AND HHV(Mov(C,233,VAR),5) = HHV(Mov(C,233,VAR),13),+1,If(Mov(C,21,VAR) < Mov(C,55,VAR) AND LLV(Mov(C,233,VAR),5) = LLV(Mov(C,233,VAR),13),-1,0)) The next formula just adds up the binary wave. BW Add Fml("BW2") + Fml("BW3") + Fml("BW4") + Fml("BW5") + Fml("BW6") + Fml("BW7") + Fml("BW8") Next, I decided to do something a little different. Since the whole purpose of this test is to catch a trending stock, I decided to add an amplifier that would get larger as the trend got stronger. Since I like Fibonacci numbers, I decided to use Rsquared as a measure of trend strength and base my amplifier on Fibonacci numbers. The formula I finally came up with after a lot of tinkering follows. BW Amplifier If(RSquared(C,21) > 0.8,5,If(RSquared(C,21) > 0.6,3,If(RSquared(C,21) > 0.4,2, If(RSquared(C,21)>0.2,1,0.5)))) The last step in constructing the binary wave was to decide on the smoothing and put it all together. Of course, I used tema smoothing.

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Tema Binary Wave Composite Periods := Input("Enter Tema Smoothing Periods",8,233,21); Tema(Fml("BW Add")*Fml("BW Amplifier"),Periods) The final step is to come up with a system test for the Tema Binary Wave Composite. Remember, the binary wave is just made up of a bunch of technical indicators that I give a +1 value when bullish, 0 when neutral, and -1 when bearish. Then they are summed and smoothed. So in general a positive value is bullish and a negative value is bearish. Also a rising number is bullish and a falling number is bearish. Therefore you could use a zero crossover to the upside as a buy signal and a crossover to the downside as a sell signal. If you had a good algorithm, you could also use a rise from a negative peak (or trough) as a buy signal and a fall from a positive peak as a sell signal. I decided to use a 8 day moving average of the BW with a crossover of the BW for my algorithm in an attempt to get an early signal on a rise from a negative peak. It does have the disadvantage of finding way too many peaks so I only use it as an Alert. For confirmation I use the QStick function and a variable moving average function. QStick was developed by Chande as a way to quantify candlesticks. Since the difference between the open and close prices lies at the heart of candlestick charting, QStick is simply a moving average of that difference. Negative values of QStick correlate to black candlesticks, positive values to white candlesticks. Since in general black candles are bearish and white candles are bullish, this indicator can also be plotted as a histogram and interpreted the same was as the Binary Wave. The formula is: Periods := Input("Enter Periods",1,233,34); Tema(Qstick(Periods),Periods) Now to get my open long signal I use the ALERT signal with an 8 day vma BW crossover of the BW. Then to actually get the signal, I have to have both the QStick rising and the 21 day vma greater then the 55 day vma. Therefore my buy signal became: Enter Long Alert(Cross(Fml("Tema Binary Wave Comp"), Mov(Fml("Tema Binary Wave Comp"),8,S)),21) AND HHV(Tema(Qstick(34),34),5) = HHV(Tema(Qstick(34),34),13) AND Mov(H,21,VAR) > Mov(H,55,VAR) Since the market has an upward bias, I wanted my sell signal to be more restrictive. Therefore instead of trying to catch a fall from a positive peak as my sell alert, I wanted a crossover of an optimized negative number. I still used QStick and vma to confirm and also added that the close should be lower than yesterdays low. Therefore, my sell signal became: Enter Short Alert(Cross(-opt2,Fml("Tema Binary Wave Comp")),8) AND Tema(Qstick(34),34) < -0.1 AND C < Ref(L,-1) AND Mov(L,21,VAR) < Mov(L,55,VAR)

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Then I wanted exit conditions that were less then full signal reversals. I decided that the BW being less than a negative number would be my primary close long signal, but I also wanted confirmation from other indicators. After a lot of trial and error I used the following: Close Long Fml("Tema Binary Wave Comp") < -opt1 AND Tema(Qstick(34),34) < 0 AND LLV(Mov(L,21,VAR),5) = LLV(Mov(L,21,VAR),13) Close Short Fml("Tema Binary Wave Comp") > 0 AND Tema(Qstick(34),34) > 0.08 Finally I also used Fibonacci numbers for my optimization: Opt 1: Min 3, Max 13, Step 5 Opt 2: Min 3, Max 13, Step 5 SIGNAL FORMULAS MetaStock for Windows System Tester 01_R2/Regress Slope/MFI/TSF - (Vol Rqd) --------------Enter Long: Alert(RSquared(C,21) < 0.15,21) AND LinRegSlope(C,34) > opt1 AND HHV(LinRegSlope(C,34),5) = HHV(LinRegSlope(C,34),13) AND HHV(MFI(55),5) = HHV(MFI(55),13) AND HHV(TSF(C,55),5) = HHV(TSF(C,55),13) Close Long: LLV(TSF(C,55),5) = LLV(TSF(C,55),13) AND LinRegSlope(C,34) < opt1 Enter Short: Alert(RSquared(C,21) < 0.15,13) AND LinRegSlope(C,34) < opt2 AND LLV(LinRegSlope(C,34),5) = LLV(LinRegSlope(C,34),13) AND LLV(MFI(55),5) = LLV(MFI(55),13) AND LLV(TSF(C,144),5) = LLV(TSF(C,144),13) Close Short: HHV(TSF(C,144),5) = HHV(TSF(C,144),13) OPTIMIZATION VARIABLES ---------------------OPT1: Min = -0.10 Max = 0.00 Step = 0.10 OPT2: Min = -0.20 Max = 0.00 Step = 0.10 STOPS ALL OFF -----------------------------------------------------------02_R2/Regress Slope/CMO - All SIGNAL FORMULAS

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--------------Enter Long: Alert(RSquared(C,21) < 0.15,21) AND LinRegSlope(C,34) > opt1 AND HHV(LinRegSlope(C,34),5) = HHV(LinRegSlope(C,34),13) AND CMO(C,55) > 0 AND C = HHV(C,5) Close Long: LinRegSlope(C,34) < opt1 AND CMO(C,55) < 0 AND C = LLV(C,5) Enter Short: Alert(RSquared(C,21) < 0.15,13) AND LinRegSlope(C,34) < opt2 AND LLV(LinRegSlope(C,34),5) = LLV(LinRegSlope(C,34),13) AND CMO(C,55) < 0 AND C = LLV(C,5) Close Short: LinRegSlope(C,34) > opt2 AND CMO(C,55) > 0 AND C = HHV(C,5) OPTIMIZATION VARIABLES ---------------------OPT1: Min = -0.10 Max = 0.00 Step = 0.10 OPT2: Min = -0.20 Max = 0.00 Step = 0.10 STOPS ALL OFF -----------------------------------------------------------03_R2/Regress Slope/Qstick - (OHLC Rqd) SIGNAL FORMULAS --------------Enter Long: Alert(RSquared(C,21) < 0.15,21) AND LinRegSlope(C,34) > opt1 AND HHV(LinRegSlope(C,34),5) = HHV(LinRegSlope(C,34),13) AND Qstick(55) > opt1 AND HHV(Qstick(55),5) = HHV(Qstick(55),13) AND C=HHV(C,5) Close Long: LinRegSlope(C,34) < opt1 AND Qstick(55) < opt1 AND C = LLV(C,5) Enter Short: Alert(RSquared(C,21) < 0.15,13) AND LinRegSlope(C,34) < opt2 AND LLV(LinRegSlope(C,34),5) =

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LLV(LinRegSlope(C,34),13) AND Qstick(55) < opt2 AND LLV(Qstick(55),5) = LLV(Qstick(55),13) AND C = LLV(C,5) Close Short: LinRegSlope(C,34) > opt2 AND Qstick(55) > opt2 AND C = HHV(C,5) OPTIMIZATION VARIABLES ---------------------OPT1: Min = -0.10 Max = 0.00 Step = 0.10 OPT2: Min = -0.10 Max = 0.00 Step = 0.10 STOPS ALL OFF -----------------------------------------------------------04_R2/Regress Slope/CCI/TSF - All SIGNAL FORMULAS --------------Enter Long: Alert(RSquared(C,21) < 0.15,21) AND LinRegSlope(C,34) > opt1 AND HHV(LinRegSlope(C,34),5) = HHV(LinRegSlope(C,34),13) AND HHV(CCI(55),5) = HHV(CCI(55),13) AND CCI(55) > 0 AND HHV(TSF(C,55),5) = HHV(TSF(C,55),13) AND C = HHV(C,5) Close Long: LLV(TSF(C,55),5) = LLV(TSF(C,55),13) AND LinRegSlope(C,34) < opt1 AND CCI(55) < 0 AND C = LLV(C,5) Enter Short: Alert(RSquared(C,21) < 0.15,13) AND LinRegSlope(C,34) < opt2 AND LLV(LinRegSlope(C,34),5) = LLV(LinRegSlope(C,34),13) AND LLV(CCI(55),5) = LLV(CCI(55),13) AND LLV(TSF(C,144),5) = LLV(TSF(C,144),13) AND C = LLV(C,5) Close Short: HHV(TSF(C,144),5) = HHV(TSF(C,144),13) AND C = HHV(C,5) OPTIMIZATION VARIABLES ---------------------OPT1: Min = -0.10 Max = 0.00 Step = 0.10 OPT2: Min = -0.20 Max = 0.00 Step = 0.10

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{from "Jim Greening" <JimGinVA@msn.com>} Shark Pattern Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2)), If(apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0);

{simply place the above in the filter section} Short term horizontal trading ranges exploration by Jim Greening HHV(C,21) < 1.1*Mov(C,21,S) AND LLV(C,21) > 0.9*Mov(C,21,S) {place the formulas above in the filter section; nothing else is required} PRING's DAILY KST BUY Notes: KST BUY SIGNAL FROM BELOW ZERO ColA: Name: Close CLOSE ColB: Name: KST (Mov(ROC(C,10,%),10,S)*1)+(Mov(ROC(C,15,%),10,S)*2)+ (Mov(ROC(C,20,%),10,S)*3)+(Mov(ROC(C,30,%),15,S)*4) ColC: Name: KST MA Mov((Mov(ROC(C,10,%),10,S)*1)+(Mov(ROC(C,15,%),10,S)*2)+ (Mov(ROC(C,20,%),10,S)*3)+(Mov(ROC(C,30,%),15,S)*4),10,S) ColD: Name: KST-1 Ref( (Mov(ROC(C,10,%),10,S)*1)+(Mov(ROC(C,15,%),10,S)*2)+ (Mov(ROC(C,20,%),10,S)*3)+(Mov(ROC(C,30,%),15,S)*4),-1) ColE: Name: MA KST-1 Ref(Mov((Mov(ROC(C,10,%),10,S)*1)+(Mov(ROC(C,15,%),10,S)*2)+ (Mov(ROC(C,20,%),10,S)*3)+(Mov(ROC(C,30,%),15,S)*4),10,S),-1) Filter: When(colB,>,colC)AND When(colB,<,0)AND When( colD,<,colE)

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John Hunt's Exploration for MetaStock Place in FILTER section of Exploration. No other information need be entered in the Exploration columns.} When(C-Mov(C,25,S),>,0) AND When(Ref(C-Mov(C,25,S),-1),<=,0) AND When(HHV(Mov(Ref(C-Mov(C,25,S),-1),3,S),19),<=,0) AND When(C,<,0.8*HHV(C,260))

{This means: when today's (close - moving average) > 0, when yesterday's (close moving average) <= 0, when highest value of 3 day moving average of yesterday's (close - moving average) over past 19 days <= 0, and finally, when today's close < 80% of highest value of all closes for past year. (The third test is to eliminate past false breakouts.)}

Dunn-Type1 {Market swing is defined as: Up = higher highs and higher lows, Down = lower highs and lower lows.} TD1:=If(BarsSince(H>Ref(H,-1) AND L>Ref(L,-1)) < BarsSince(L<Ref(L,-1) AND H<Ref(H,-1)), {then}1, {else}-1); TD1

Dunn-Type2 {Market swing is defined as: Up = 2 higher highs and 2 higher lows, Down = 2 lower highs and 2 lower lows.} TD1:=If(BarsSince((H>Ref(H,-1) AND L>Ref(L,-1)) AND (Ref(H,-1)>Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))) < BarsSince((L<Ref(L,-1) AND H<Ref(H,-1)) AND (Ref(L,-1)<Ref(L,-2) AND Ref(H,-1)<Ref(H,-2))), {then}1, {else}-1); TD1

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Dunnigan Trend {Ask to use 1 day or 2 day Swing type} St:=Input("Short Term Swing Type, 1 or 2 ?", 1,2,2); {Call Swing Type Formula} Sd:=If(Round(St)=1, {then} FmlVar("Dunn-Type1","TD1"), {else} FmlVar("Dunn-Type2","TD1")); {Number Of Periods Since Swing Started Up} Hc:=BarsSince(SD=-1); {Number Of Periods Since Swing Started Down} Lc:=BarsSince(SD=1); {Find Highest Value Of Up Swing} Hv:=If(Hc>Lc AND H>Ref(H,-1), {then}HighestSince(1,Hc=1,H), {else}0); {Find Lowest Value Of Down Swing} Lv:=If(Hc<Lc AND L<Ref(L,-1), {then}LowestSince(1,Lc=1,L), {else}0); {Find The Low Of The Highest High} Hlv:=ValueWhen(1,H=Hv,L); {Find The High Of The Lowest Low} Lhv:=ValueWhen(1,L=Lv,H); {Calculate And Plot Trend Direction, Note: 1= Uptrend, -1= Downtrend} TD2:=If(Sd=1 AND H>Lhv, {then}1, {else}If(Sd=-1 AND L<Hlv, {then}-1, {else}0)); TD3:=ValueWhen(1,TD2<>0,TD2); TD3 {These formulas simply plot a 1 if market is up or -1 if down. I really didn't code this to be used as an indicator, but to be used as a subroutine, or possibly in an "Expert Adviser". Best wishes, Adam Hefner.} Dynamic Multiple Time Frame Indicator Explanation of the Dynamic Multiple Time Frame Indicator by the author, Adam Hefner: "The Fixed Balance Point is calculated every Friday by taking the weekly (high+low+close)/3. It really doesn't need to be plotted, but is mostly used to base the other

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indicators from. The Fixed Balance Point Step, is a 5 week average of the Fixed Balance Point. The Dynamic Balance Point is the daily update of the Fixed Balance Point. The Dynamic Balance Point Step is the daily update of the Fixed Balance Point Step. Robert Krausz teaches that by watching the balance point calculations of the longer (weekly) time, you have the market direction (trend) for the shorter (daily) time. He also revealed that the when the Dynamic Balance Point is above the Dynamic Balance Point Step, then the trend is up, and opposite is true for down trend. I have found that these act in much the same way as a 5/25 moving average cross-over system. I like the Fibonacci Support & Resistance best of all, seems (IMHO) that these support/resistance areas are very easy to visualize using this formula." Krausz's Gann Swing HiLow Activator I was only able to implement Krausz's Gann Swing HiLow Activator in Metastock, because it's simply the average of the last three bars High (stop for short position or long entry) or Low (stop for long position or short entry) plotted one period forward: Ref(Mov(L,3,S),-1) or Ref(Mov(H,3,S),-1) (from Thorsten Buhmann in Germany) Use of Tema PV Binary Wave and Tema QStick Formulas in MetaStock, from "JimG" There are really two different ways to use these formulas. Since the Binary Wave is a smoothed addition of several technical indicators that each give +1 when bullish, 0 when neutral and -1 when negative, it makes sense that a positive number is bullish and rising numbers are bullish. Similarly negative numbers and falling numbers are bearish. The QStick is really a candlestick type indicator, but can be read as bullish or bearish in same way as the Binary Wave. The two traditional ways to play them are to buy on a rise from a negative peak and sell on a fall from a positive peak, or to buy on a zero cross over to the upside and sell on a zero crossover to the downside. Of course you can optimize and find various buy

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and sell levels as long as you understand what is bearish and what is bullish. My own MetaStock system tests alerts on the BW crossing a moving average of itself and buys or sells on a confirmation of Qstick turning positive or negative respectively. Having said that, I don't make my buy an sell decisions from the indicators or the system test. I do use the system test as an initial screen and use a buy signal as a flag to move the stock to my watch list. I make all buying and selling decisions based on the trend channels. Over the years, I've found that works best for me. The HIGHER CLOSES MetaStock exploration should be entered as follows: colA CLOSE colB ref(C,-1) colC ref(C,-2) filter colA > colB AND colB > colC {General Purpose Intermediate Term MACD Indicator} ( Mov( C,13,E ) - Mov( C,34,E ) ) - Mov( ( Mov( C,13,E ) - Mov( C,34,E ) ),89,E ) {General Purpose Short Term MACD Indicator} ( Mov( C,8,E ) - Mov( C,17,E ) ) - Mov( ( Mov( C,8,E ) - Mov( C,17,E ) ),9,E )

Dave's New System DNS is a binary consisting of 8 indicators.} If(SAR(.02,.2)<C,1,0) + If((Mov(C,5,E)>Mov(C,13,E)),1,0) + If((Mov(C,13,E)>Mov(C,40,E)),1,0) + If((Mov(C,8,E)-Mov(C,17,E))> (Mov(Mov(C,8,E)-Mov(C,17,E),9,E)),1,0)+ If(Mov(C,50,SIMPLE) - Ref(Mov(C,50,SIMPLE),-15) > 0,1,0)+ If((Mov(ROC(C,12,%),3,E)>=-6 OR ROC(C,12,%)>0),1,0)+ If(OBV()>Mov(OBV(),40,S),1,0)+ If(V>Mov(V,120,S),1,0) {created by David R. Evans} Fibonacci Trader - Fixed Balance Point - REVISED {NOTE: under Color/Style options, change plot to last "style" option} {revised 1 Jan 99} Mc1:=BarsSince(DayOfWeek()=1); Fc1:=BarsSince(DayOfWeek()=5); Fc2:=Ref(BarsSince(DayOfWeek()=5),-1)-1; {Fixed Balance Point Calculation}

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FBC:=If(Mc1=0 AND Fc1>2, {then}(Ref(HHV(H,LastValue(mc1)),-1)+ Ref(LLV(L,LastValue(Mc1)),-1)+ Ref(C,-1))/3, {else}If(Fc1=0 AND Mc1>5, {then}(HHV(H,LastValue(Fc2))+ LLV(L,LastValue(Fc2))+C)/3, {else}If(Fc1=0, {then}(HHV(H,LastValue(Mc1))+ LLV(L,LastValue(Mc1))+C)/3, {else}0))); {Fixed Balance Point Plot} FBP:=ValueWhen(1,FBC>0,FBC); FBP; Fibonacci Trader- Support & Resistance {NOTE: under Color/Style options, change plot to last "style" option} {Weekly Price Range Calculation} Mc1:=BarsSince(DayOfWeek()=1); Fc1:=BarsSince(DayOfWeek()=5); Fc2:=Ref(BarsSince(DayOfWeek()=5),-1)-1; WRC:=If(Mc1=0 AND Fc1>2, {then}Ref(HHV(H,LastValue(mc1)),-1)Ref(LLV(L,LastValue(Mc1)),-1), {else}If(Fc1=0 AND Mc1>5, {then}HHV(H,LastValue(Fc2))LLV(L,LastValue(Fc2)), {else}If(Fc1=0, {then}HHV(H,LastValue(Mc1))LLV(L,LastValue(Mc1)), {else}0))); WRP:=ValueWhen(1,WRC>0,WRC); {Resistance Range} RR1:= FmlVar("FT-FBP","FBP")+(WRP*.5); RR2:= FmlVar("FT-FBP","FBP")+(WRP*.618); {Support Range} SR1:= FmlVar("FT-FBP","FBP")-(WRP*.5); SR2:= FmlVar("FT-FBP","FBP")-(WRP*.618); {Plot Ranges} RR1; RR2; SR1; SR2; Fibonacci Trader-Fixed Balance Point Step

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FPS:=(ValueWhen(1,FmlVar("FT-FBP","FBC")>0, FmlVar("FT-FBP","FBC")) + ValueWhen(2,FmlVar("FT-FBP","FBC")>0, FmlVar("FT-FBP","FBC")) + ValueWhen(3,FmlVar("FT-FBP","FBC")>0, FmlVar("FT-FBP","FBC")) + ValueWhen(4,FmlVar("FT-FBP","FBC")>0, FmlVar("FT-FBP","FBC")) + ValueWhen(5,FmlVar("FT-FBP","FBC")>0, FmlVar("FT-FBP","FBC")))/5; FPS Fibonacci Trader - Dynamic Balance Point {Dynamic Balance Point Calculation} dt:=DayOfWeek(); DBC:=(HighestSince(5,DayOfWeek()=dt,H)+ LowestSince(5,DayOfWeek()=dt,L)+CLOSE)/3; DBC MetaStock Custom Indicator moving averages periods1:=Input("Periods of ROC",2,50,12); periods2:=Input("Smoothing Period",1,50,1); Input("horizontal line 1",-50,50,5); Input("horizontal line 2",-50,50,-5); Mov(ROC(C,periods1,%),periods2,S); {from Eric Kendall} {MetaStock SAR Exploration} {cola:BUY: this means: label column A as "BUY" and then enter the following formula:} Cross(L,(SAR(.02,.2))) {colb:SELL: this means: label colum B as "SELL" and then enter the following formula:} Cross(SAR(.02,.2),H) {enter the following in the filter section:} cola=1 or colb=1 {where the AF=0.02 which you can change. try doing a sys test by replacing the numbers with opt1 & opt2} {from Mike Anoldi} MOVING AVERAGE CHANNEL "The MetaStock moving average function has an option for displacing the mov both vertically and horizontally. most of the time, I prefer to use a mov channel in place of Bollinger Bands." from L. and G. Issen. "I use moving average, instead of Bollinger Bands, creating three indicators in the following way, and saving them in a template: Mov(C, 28,S) displaced +10% Mov(C, 28,S) displaced - 10% Mov(C, 28,S)

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28 days is the basic span of time. Like the 10% +/-, this should be adjusted for each security and for the particular condition you are waiting for (buy/sell). When I see a buying opportunity ahead, I just draw another trio of faster MAs (keeping the slow on the chart) and use them, with other indicators/oscillators, to time the entry. Same process to exit the market." from G.G. STOCHASTIC MOMENTUM INDICATOR {Appeared in the January 1993 issue of Stocks & Commodities magazine} 100 * ( Mov( Mov(C - (.5 * ( HHV(H,13) + LLV(L,13))),25,E),2,E) / (.5*Mov( Mov( HHV(H,13) - LLV(L,13),25,E),2,E)))

TRUE STRENGTH INDEX {Appeared in the January 1993 issue of Stocks & Commodities magazine} 100 * ( Mov( Mov( ROC(C,1,$),25,E),13,E) / Mov( Mov( Abs( ROC(C,1,$)),25,E),13,E))

LINEAR REGRESSION SLOPE {The basic "programming" in MetaStock of the LRS-ROC indicator is like this: NIO is the _basic_ number of points taken to calculate the ROCs. The four ROCs _per day_ used for interpolation are:} rll:=ROC(O,nio-1,%)/(nio-1); rl:=ROC(O,nio,%)/nio; rh:=ROC(O,nio+1,%)/(nio+1); rhh:=ROC(O,nio+2,%)/(nio+2); {Now, interpolation is done at a point XIO (0<=xio<=1), i.e., between the points NIO and NIO+1, using a simple interpolation formula weighting with the _distances_ of the four ROCs from the interpolation point XIO:} rit:=(rll/(1+xio)+rl/(xio+.0001)+rh/(1-xio)+rhh/(2-xio))/(1/(1+xio)+1/(xio+. 0001)+1/(1-xio)+1/(2-xio)); {Then the LinearRegressionSlope is taken _twice_ (for numerical reasons) from the interpolated ROC, using the basic number of points; i.e., NIO. That is where we get our LRS-ROC indicator, named RO here:} ro:=LinRegSlope(LinRegSlope(rit,nio),nio); {NIO+XIO together represent the _real_ (not integer!) number of points or days, the LRS-ROC indicator is calculated for, e.g. 4.57 days. Unfortunately, MetaStock is not able to use _one_ real number (e.g., 4.57) as input to be splitted into NIO and XIO and to be used in the formulas above. So NIO and XIO have to be provided separately, because of the

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restrictions in MetaStock, and both are subjected to some "optimization" in accordance to the historical prices. To be clear: This LRS-ROC indicator triggers _only the timing_ for entering/closing a position, using an appropriate criterion. Additional (also ROC-based) criterions are used to stay out/in during extreme bearish/bullish situations. Additionally: This "TA" is only one basic element of my option trading system, primarily to catch some "special reality effects" that cannot be modeled by example-based know-how recycling from historical data. But probably this TA system may also be used as a "stand-alone" system. rudolf stricker}

ANOTHER LRS-ROC INDICATOR Lb:=Input("Look-Back Periods?",3,100,13); ROC( LinRegSlope(C,Lb),Lb,$) {by Adam Hefner} DIVERGENCE BETWEEN CLOSE AND INDICATOR Divergence between the Close and an Indicator (Rev. 03/18/97 from Equis Support) The following formula will calculate the correlation of the Close and the MACD. It is written using a "long form" MACD so that the time periods used by the MACD may be changed. This indicator shows "divergence" between the close and the indicator: In the Windows versions of MetaStock the formula is: Correl(((Sum(Cum(1)*(Mov(C,12,E)-Mov(C,26,E)),100))-(Sum(Cum(1),100)* Sum((Mov(C,12,E)-Mov(C,26,E)),100)/100))/((Sum(Power(Cum(1),2),100))(Power(Sum(Cum(1),100),2)/100)),((Sum(Cum(1)*C,100))-(Sum(Cum(1),100)* Sum(C,100)/100))/((Sum(Power(Cum(1),2),100))(Power(Sum(Cum(1),100),2)/100)),12,0) The interpretation of the indicator output is as follows: - .08 (80%) and lower is divergence between the Close and the MACD. - 1 is very strong divergence. + 1 is very strong correlation. The formula was constructed this way so that most other indicators may be used in place of the MACD. For example, here is the same indicator using the RSI(14): Correl(((Sum(Cum(1)*(RSI(14)),100))-(Sum(Cum(1),100)* Sum((RSI(14)),100)/100))/((Sum(Power(Cum(1),2),100))(Power(Sum(Cum(1),100),2)/100)), ((Sum(Cum(1)*C,100))(Sum(Cum(1),100)*Sum(C,100)/100))/((Sum(Power(Cum(1),2),100))(Power(Sum(Cum(1),100),2)/100)),12,0) MACD TOPS AND BOTTOMS QUESTION: As you know, MACD is always bottoming or topping before crossing its trigger line. However, the MACD signal comes always a bit late compared to price movement. Is there any way to calculate the MACD first derivative function to

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identify MACD tops/bottoms, that could be use by the Explorer or the System Tester? -- Augustin Bataille, Belgium ANSWER: One way to do what you want would be using the 'Rate of Change' function. For example: RocPeriods:=1; ROC(MACD(),RocPeriods,$) or for the MACD histogram you would have RocPeriods:=1; ROC(MACD() - Mov(MACD(),9,E),RocPeriods,$) If that is to noisy, you could smooth it a bit with: RocPeriods := 1; MovAvePeriod :=1; ; Mov(3 * ROC(MACD(),RocPeriods,$) , MovAvePeriod,E) {the 3 just 'magnifies' the line on the plot but doesn't affect the calculation} or for the MACD histogram: RocPeriods := 1; MovAvePeriod :=1; ; Mov(3 * ROC(MACD() - Mov(MACD(),9,E),RocPeriods,$) , MovAvePeriod,E) Another way to do what you want would be to look for peaks and troughs using the 'Peak' and 'Trough' functions. I'm working on code to identify divergences using this method. -- Dr. Robert Jackson robert.jackson@utoronto.ca QUESTION: As you know, MACD is always bottoming or topping before crossing its trigger line. However, the MACD signal comes always a bit late compared to price movement. Is there any way to calculate the MACD first derivative function to identify MACD tops/bottoms, that could be use by the Explorer or the System Tester? -- Augustin Bataille, Belgium ANSWER: One way to do what you want would be using the 'Rate of Change' function. For example: RocPeriods:=1; ROC(MACD(),RocPeriods,$) or for the MACD histogram you would have RocPeriods:=1; ROC(MACD() - Mov(MACD(),9,E),RocPeriods,$) If that is to noisy, you could smooth it a bit with: RocPeriods := 1; MovAvePeriod :=1; ; Mov(3 * ROC(MACD(),RocPeriods,$) , MovAvePeriod,E) {the 3 just 'magnifies' the line on the plot but doesn't affect the calculation} or for the MACD histogram: RocPeriods := 1; MovAvePeriod :=1; ; Mov(3 * ROC(MACD() - Mov(MACD(),9,E),RocPeriods,$) , MovAvePeriod,E) Another way to do what you want would be to look for peaks and troughs using the 'Peak' and 'Trough' functions. I'm working on code to identify divergences using this method. -- Dr. Robert Jackson robert.jackson@utoronto.ca Countback line for Metastock. (Note. This is very good, but the limitation is the lookback period. The calculation point for the CBL line might be 5, 10, 15, 30 days away from todays date.Also watch for the way 'gap' days are treated. Daryl Guppy) Copied from StockCentral - Thanks Ken D Well .... last weekend I replied to a post requesting a MetaStock solution for calculating the Countback Line discussed in Daryl Guppy's book "Share Trading: An Approach to Buying and Selling". Subequently, about 30 requests for the formulas I use were received. Not unexpectedly, a few defects were found with the original offerings. This helped forge a somewhat more robust solution, which is here given to the wider audience of this Forum, so that further improvements may be forthcoming. Alternatives of presentation style are many, according to taste, but we are here requesting improvements in substance, identification of possible flaws, or have real simplification benefits - please provide solutions where possible. ACKNOWLEDGEMENTS .... With thanks to the several people who have commented, all constructively it is pleasing to say, particular credit is warranted by the significant contributions from Bryan Stanton and Siobhan Channon. LIMITATIONS .... With MetaStock, there seems to be a need for two different formulas to handle the issue: - one for the CBL from a LOW (CBLlo), - the other for

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the CBL from a HIGH (CBLhi). The formulas given below were generated using v.6.52. Because of the use of PREV they won't work in some earlier MetaStock versions it seems, though a bit of thought should overcome this limitation - anyone able to comment? As written they are based upon relative prices over a DEFAULT cover of 13 days (but adjustable from 3 to 55 days) - this is one of the potential weaknesses which commands individual interpretation for a particular equity or contract, which may cycle more or less frequently and require different timeframes. Other indicators and assessments are, of course, needed to gauge the probability of a CBL-indicated counter-trend holding. Also, for particularly choppy or indecisive circumstances there may be a need to extend the Ref(H or L, -5) to a greater number of comparison days by appropriate copying and adjustments to the basically simple pattern in these formulas - but if it came to this perhaps the trade should be left alone anyway! Owing to price vagaries it is not unusual for a CBLhi to be less than a CBLlo calculation, or the converse, especially with low-gradient trends or sideways price movements. NOTE: With each formula below, copy exactly from "HighDays" or "LowDays" down to "PREV )))))" into the Indicator Builder. CBLhi: HighDays := Input("Enter # days to cover last HIGH for CBL calc'n:", 3, 55, 13); If(HIGH < HHV(HIGH, HighDays), {then ...} PREV, {previous CBLhi, else...} If(Ref(L,-2) < Ref(L,-1) AND Ref(L,-2) < L AND Ref(L,-1) < L, {then ...} Ref(L,-2), {2nd day back low, else...} If((Ref(L,-3)< Ref(L,-2) AND Ref(L,-3) < Ref(L,-1) AND Ref(L,-3) < L) AND (Ref(L,-2)< L OR Ref(L,-1) < L), {then ... } Ref(L,-3), {3rd day back low, else...} If((Ref(L,-4)< Ref(L,-3) AND Ref(L,-4) < Ref(L,-2) AND Ref(L,4) < Ref(L,-1) AND Ref(L,-4) < L) AND (Ref(L,-3)< L OR Ref(L,-2) < L OR Ref(L,-1) < L), {then... } Ref(L,-4), {4th day back low, else...} If((Ref(L,-5)< Ref(L,4) AND Ref(L,-5) < Ref(L,-3) AND Ref(L,-5) < Ref(L,-2) AND Ref(L,-5) < Ref(L,1) AND Ref(L,-5) < L) AND (Ref(L,-4)< L OR Ref(L,-3) < L OR Ref(L,-2) < L OR Ref(L,-1) < L), {then ...} Ref(L,-5), {5th day back low, else...} PREV ))))) and for the CBL from a LOW CBLlo: LowDays := Input("Enter # days to cover last LOW for CBL calc'n:", 3, 55, 13); If(LOW > LLV(LOW, LowDays), {then ...} PREV, {previous CBLlo, else...} If(Ref(H,-2) > Ref(H,-1) AND Ref(H,-2) > H AND Ref(H,-1) > H, {then ...} Ref(H,2), {2nd day back high,else...} If((Ref(H,-3)> Ref(H,-2) AND Ref(H,-3) > Ref(H,-1) AND Ref(H,-3) > H) AND (Ref(H,-2)> H OR Ref(H,-1) > H), {then ... } Ref(H,-3), {3rd day back high,else...} If((Ref(H,-4)> Ref(H,-3) AND Ref(H,-4) > Ref(H,-2) AND Ref(H,-4) > Ref(H,-1) AND Ref(H,-4) > H) AND (Ref(H,-3)> H OR Ref(H,-2) > H OR Ref(H,-1) > H), {then... } Ref(H,-4), {4th day back high,else...} If((Ref(H,5)> Ref(H,-4) AND Ref(H,-5) > Ref(H,-3) AND Ref(H,-5) > Ref(H,-2) AND Ref(H,5) > Ref(H,-1) AND Ref(H,-5) > H) AND (Ref(H,-4)> H OR Ref(H,-3) > H OR Ref(H,-2) > H OR Ref(H,-1) > H), {then ...} Ref(H,-5), {5th day back high,else...}

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PREV ))))) Please advise of any problems or suggested improvements in calculating the CBL. It is again emphasized that this is by no means proposed as the best solution, but as ONE solution which seems to work. Regards.

MetaStock Expert Commentary by Michael Arnoldi Review of : <symbol> as of <date> TODAY'S CLOSE WriteVal(CLOSE,2.3) TOMORROW's PROJECTED HIGH WriteIf(C<O, "WRITEVAL(-L+ (H+2*L+C)/2,25.2)") WriteIf(C>O, "WRITEVAL(-L+ (2*H+L+C)/2,25.2)") WriteIf(C=O, "WRITEVAL(-L+ (H+L+2*C)/2,25.2)") PROJECTED LOW WriteIf(C<O, "WRITEVAL(-H+ (H+2*L+C)/2,25.2)") WriteIf(C>O, "WRITEVAL(-H+ (2*H+L+C)/2,25.2)") WriteIf(C=O, "WRITEVAL(-H+ (H+L+2*C)/2,25.2)") BOLLINGER BANDS CLOSING PRICE:WRITEVAL(C,2.3) BOLLINGERBAND TOP: WRITEVAL( BBandTop(C,21,E,2),13.3) 21 DAY MOVING AVERAGE: WRITEVAL(MOV(C,21,E),13.3) BOLLINGERBAND BOTTOM: WRITEVAL( BBandBOT(C,21,E,2),13.3)

PLOTTING FORWARD DAYS >I want an indicator that will project an exponential moving average into >the next period (i.e., draw tomorrow's line). It would be really spiffy if I >could pl ug in tomorrow estimated/projected close and be able to adjust >the indicator based on various projected closes. --Steve Karnish

The formula below may be close to what you want, but it will not plot on the forward day. It will just plot the point where tomorrow's EMA would be. The equation is based on the MetaStock manual, page 459, concerning exponential moving averages. -- Chuck Wemlinger TC:=Input("Tomorrow's close",0.001,1000,1); MAP:=Input("Moving Average Period",2,144,55); MA1:=Mov(C,MAP,E);

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MACD ADDITIONS {These MetaStock MACD indicator formulas allow user input for parameters when run} mp1:=Input("Short MA",1,377,13); mp2:=Input("Long MA",1,377,34); Mov(C ,mp1 ,E )- Mov(C ,mp2 ,E ) MACD signal line mp1:=Input("Short MA",1,377,13); mp2:=Input("Long MA",1,377,34); mp3:=Input("Signal MA",1,377,89); Mov( (Mov(C ,mp1 ,E )- Mov(C ,mp2 ,E )),mp3,E) MACD - Signal Line mp1:=Input("Short MA",1,377,13); mp2:=Input("Long MA",1,377,34); mp3:=Input("Signal MA",1,377,89); (Mov(C,mp1,E)-Mov(C,mp2,E))-(Mov((Mov(C,mp1,E)-Mov(C,mp2,E)),mp3,E)) {Thanks to Keith Massey}

GANN HIGH LOW {name: GANN-HiLo} HLd:=If(CLOSE>Ref(Mov(H,3,S),-1), {then}1, {else}If(CLOSE<Ref(Mov(L,3,S),-1), {then}-1, {else}0)); HLv:=ValueWhen(1,HLd<>0,HLd); HiLo:=If(HLv=-1, {then}Mov(H,3,S), {else}Mov(L,3,S)); HiLo; --------------------------------------------------GANN-Swing {Market swing is defined as: Up = 2 higher highs, Down = 2 lower highs.}

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Us:=BarsSince((H > Ref(H,-1)) AND (Ref(H,-1) > Ref(H,-2))); Ds:=BarsSince((L < Ref(L,-1)) AND (Ref(L,-1) < Ref(L,-2))); Sd1:=If(Us=0, {then}If(Ref(L,-1)<>LowestSince(1,Ds=0,L), {then}1, {else}0), {else}If(Ds=0, {then}If(Ref(H,-1)<> HighestSince(1,Us=0,H), {then}-1, {else}0), {else}0)); Sd2:=If(Sd1=1, {then} If(Ref(BarsSince(Sd1=1),-1) > Ref(BarsSince(Sd1=-1),-1), {then}1, {else}0), {else} If(Sd1=-1, {then}If(Ref(BarsSince(Sd1=1),-1) < Ref(BarsSince(Sd1=-1),-1), {then}-1, {else}0), {else}0)); TD1:=ValueWhen(1,Sd2<>0,Sd2); Td1; ------------------------------------------------------------GANN-Trend {Swing Direction} Sd:= FmlVar("GANN-Swing","TD1") ; {Swing Change High} Sch:=If(Sd=1 AND Ref(sd,-1)=-1, {then}1, {else}0); {Swing Change Low} Scl:=If(Sd=-1 AND Ref(Sd,-1)=1, {then}1, {else}0); {Peak Value} Pv:=If(Scl=1, {then}HighestSince(1,Sch=1,H), {else}0); {Trough Value} Tv:=If(Sch=1, {then}LowestSince(1,Scl=1,L), {else}0); {Trend Direction}

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Td:=If(H>ValueWhen(1,Pv>0,Pv), {then}1, {else}If(L<ValueWhen(1,Tv>0,Tv), {then}-1, {else}0)); {UpTrend=1 DownTrend =-1} Tdv:=ValueWhen(1,Td<>0,Td); Tdv; contributed by Adam Hefner

CREATE A GANN SWING EXPERT Instructions 1. First create a new expert and name it whatever you want. 2a. under "trends" tab put this code for bullish: ut:=FmlVar("GANN-Trend","TDV"); uplot:=If(BarsSince(Ut=1)< BarsSince(Ut=-1),1,0); uplot=1; 2b. and this for bearish: dt:=FmlVar("GANN-Trend","TDV"); dplot:=If(BarsSince(dt=1)> BarsSince(dt=-1),1,0); dplot=1; Then click on the "ribbon" option and turn off "Display Vertical Lines", I also turn off the corner option. 3a. Under highlights tab create a new and call it "HiLo Change", choose color, and enter this code: HLd:=If(CLOSE>Ref(Mov(H,3,S),-1), {then}1, {else}If(CLOSE<Ref(Mov(L,3,S), -1), {then}-1, {else}0)); HLv:=ValueWhen(1,HLd<>0,HLd); HLv<>Ref(HLv,-1); 3b. Create new and call it "Up-Trend", choose color, and enter this code:

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ut:=FmlVar("GANN-Trend","TDV"); uplot:=If(BarsSince(Ut=1)< BarsSince(Ut=-1),1,0); uplot=1; 3c. Create new and call it "Down-Trend", choose color, and enter this code: dt:=FmlVar("GANN-Trend","TDV"); dplot:=If(BarsSince(dt=1)> BarsSince(dt=-1),1,0); dplot=1; 4a. Under "Symbols" tab create new and call it " UpSwing", enter this code: FmlVar("GANN-Swing","SD2")=1; then under graphic choose "Buy Arrow", choose color (Dark Green), and small size, then pick "Above Price Plot". 4b. Create new and call it "DownSwing", enter this code: FmlVar("GANN-Swing","SD2")=-1; then under graphic choose "sell arrow", choose color (Dark Red), and small size, then pick "Below Price Plot". As for the HiLo ....just plot it as a regular indicator and choose the last "style" option under "color/style" tab. from Adam Hefner

RSI AND MOVING AVERAGES {place in filter section} C>MOV(C,5,E) AND C>MOV(C,200,E) AND CROSS(RSI(14),30)

{from Michael Arnoldi} Alligator System modifications from Murray Richards . . . Drag this to the chart and change it to a histogram and plot green AO oscillator Green If( Mov(( H+L)/2, 5, S)- Mov(( H+L)/2, 34, S), >,Ref(Mov( ( H+L)/2, 5, S)- Mov(( H+L)/2, 34, S),-1),( Mov(( H+L)/2, 5, S)Mov(( H+L)/2, 34, S )),0)

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Put in the same window and plot it red as a histogram A Oscillator red If( Mov( ( H+L)/2, 5, S)- Mov( ( H+L)/2, 34, S), <,Ref(Mov( ( H+L)/2, 5, S)- Mov( ( H+L)/2, 34, S),-1), Mov( ( H+L)/2, 5, S)- Mov( ( H+L)/2, 34, S),0) Acc Mov(( H+L)/2, 5, S)- Mov(( H+L)/2, 34, S)Mov(Mov(( H+L)/2, 5, S)- Mov(( H+L)/2, 34, S) , 5, S) Put in its on window as a histogram and plot red AC Red If( Fml( "Acc" )<Ref( Fml( "Acc" ),-1) ,Fml( "Acc" ),0 ) Put in the same window and plot green AC green If( Fml( "Acc" )<Ref( Fml( "Acc" ),-1) ,Fml( "Acc" ),0 )

Start a new expert and chose highlights color red Fml( "AC RED" )AND Fml( "A Oscillator red" )

Color green Fml( "AC Green" ) AND Fml( "A Oscillator Green " ) Save as a template WORKING WITH DMI

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Shark-32 system - Walter Downs The Shark exit signals don't appear to be all that good. In some cases, the sell signals provide good opportunities for short-selling, but the signals appear to be too few and far between to rely on them for sell signals for long trades. The Shark pattern occurs too infrequently, and there's no guarantee it'll occur when the trend reverses. With long trades, you'd have to look to other indicators, such as CCI, as you say, or maybe Parabolic SAR. You could use price breaking below certain moving averages, too -- or moving- average crossovers. Seems like entry but no exits in Shark. maybe standard CCI(13) with 200 and -150 triggers. The shark pattern signals, in the third window in the chart I sent, were really just alerts showing that the shark pattern had occurred on those days. The shark system is based on the close rising above levels set when the shark pattern occurs. The levels are set by the high and low in the shark pattern, and the close must break through them within 25 days of the signal. The shark pattern, in other words, isn't a buy or sell signal. The buy signals were shown in the second window of the chart I sent. The window is labeled "Shark buy signal." Also, the signals are marked by green arrows over the price plot in the first window of the chart. I didn't include sell signals in the chart I sent earlier today. In the case of MU, the sell signals weren't very good, to be honest. ========================== The Shark system is really based on two separate events: the occurrence of the pattern and then the signal. The pattern isn't the signal. The system gives a signal if and when the stock breaks above the high point in the pattern over the next 25 days. The high on the first day of the pattern sets that high point. It's like a resistance level, set by the highest point in the shark fin. Sometimes the stock doesn't break above it, so there's no signal. The Shark pattern shows consolidation, which may indicate an expansion in price to come. But the breakout doesn't always occur. If the stock breaks below the low point in the pattern, there's a sell signal.

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========================== The idea behind the system is: Look for a three-bar shark pattern, based on progressively smaller ranges. It looks like a shark fin. Once that pattern appears, a level is set by the highest point in the fin, which is the high(-2). In the scan, I call that level "Sharkhigh." To get a buy signal, the price has to close above that level within 25 days. If you want to plot "sharkhigh" over a chart with the price, you can do it with the "BuyOK" part of the Metastock formula by plotting this in the Expert Adviser: Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); Shark:=If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))=1, { try Ref(L,-1)>Ref(L,-2)), without the "=1"} If(apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0); Buyok:=Cross(C,ValueWhen(1,Shark=1,Ref(H,-2))); {try Buyok:=ValueWhen(1,Shark=1,Ref(H,-2));} Chk:=Cum(Buyok)-ValueWhen(1,Shark=1,Cum(Buyok)); ValidChk:=Alert(Shark=1,25); Buy:= Buyok=1 AND Ref(Chk,-1)=0 AND ValidChk=1; Buy OR Ref(Buy,-1) OR Ref(Buy,-2) OR Ref(Buy,-3) OR Ref(Buy,-4) OR Ref(Buy,-5); From: Brooke ================================= For the pattern in the Indicator Builder: Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2)), If(apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0); That's like a resistance level that the price has to break through. It lasts for 25 days or until a new Shark signal appears.

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Combining Statistical and Pattern Analysis, Shark 32 - Walter T. Down, TASC 10/1998 Equis First, choose Expert Adviser from the Tools menu in MetaStock 6.5. Next, choose New and enter the following formulas: Name: Click the Name tab and enter "Shark 32" in the Name field. Trends: Click the Trends tab and enter the following formulas in the Bullish and Bearish fields. Bullish: Mov(C,5,S)>Mov(C,20,S); Bearish: Mov(C,5,S)<Mov(C,20,S); Highlights: Click the Highlights tab, choose New, and enter "3rd Bar" in the Name field. Now change the color in the Color field to Blue. Finally, enter the following formula in the Condition field, and then choose OK. Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); Shark:=If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))=1,If(Apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0); Shark; Using the same method as above, enter the following 2 highlight formulas. Name: 2nd Bar Color: Blue Condition: Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); Shark:=If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))=1,If(Apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0);

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Ref(Shark,+1)=1; Name: 1st Bar Color: Blue Condition: Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); Shark:=If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))=1,If(Apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0); Ref(Shark,+2)=1; Symbols: Click the Symbols tab, choose New and enter "Shark Buy" in the Name field. Now enter the following formula in the Condition field. Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2); Shark:=If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))=1,If(apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0); Buyok:=Cross(C,ValueWhen(1,Shark=1,Ref(H,-2))); Chk:=Cum(Buyok)-ValueWhen(1,Shark=1,Cum(Buyok)); ValidChk:=Alert(Shark=1,25); {Note* The above ValidChk variable makes the Shark signal valid for 25 periods. If the price does not cross above the High value of the base within 25 periods, you will not receive a signal. You can change the number of periods by changing 25 to the number of periods you desire. *} Buy:= Buyok=1 AND Ref(Chk,-1)=0 AND ValidChk=1; Buy; Click the Graphic tab. Change the symbol in the Graphic field to Buy Arrow. Now change the color in the Color field to Green. Finally, type "Buy" in the Label field, and then choose OK. Using the Same method as above, enter the following Symbol formula. Name: Shark Sell Condition: Symmetry:=.28; Apex:=(H+L)/2; WB:=Ref(H,-2)-Ref(L,-2);

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Shark:=If((H<Ref(H,-1) AND L>Ref(L,-1) AND Ref(H,-1)<Ref(H,-2) AND Ref(L,-1)>Ref(L,-2))=1,If(apex <= (Ref(H,-2)-(WB*Symmetry)) AND Apex >= (Ref(L,-2)+(WB*Symmetry)) ,1,0),0); Sellok:=Cross(ValueWhen(1,Shark=1,Ref(L,-2)),C); Chk:=Cum(Sellok)-ValueWhen(1,Shark=1,Cum(Sellok)); ValidChk:=Alert(Shark=1,25); {Note* The above ValidChk variable makes the Shark signal valid for 25 periods. If the price does not cross below the Low value of the base within 25 periods, you will not receive a signal. You can change the number of periods by changing 25 to the number of periods you desire.*} Sell:= Sellok=1 AND Ref(Chk,-1)=0 AND ValidChk=1; Sell; Symbol: Sell Arrow Color: Red Label: Sell ========================================================= BUILDING METASTOCK SYSTEM TESTS Here's an excellent short article from Jim Greening, showing how MetaStock system tests can be built up . . . This week I'm going to discuss my third MetaStock Profit System Test - 03_Tema PDI - MDI, ADX (Vol Required). This test is based on Wilder's directional movement indicators. As the MetaStock manual indicates, Wilder says a buy signal occurs when PDI - MDI moves above zero and a sell signal occurs when PDI-MDI falls below zero. I started with that thought and experimented a little. Wilder used 14 day periods to calculate his PDI and MDI functions. Since I like Fibonacci numbers, I used 13 days instead. Also I like to smooth my indicators so I used Tema smoothing. My custom PDI - MDI formula then became: Tema PDI - MDI Periods := Input("Enter Tema Smoothing Periods",8,55,13); Tema(PDI(13) - MDI(13),Periods) I started with the idea that I would take the PDI-MDI crossover of an optimized number as my basic buy and sell trigger. However, this number did not have to be zero and did not have to be the same for entering long and entering short. After a lot of trial an error I decide -1, -3, or -5 would be my enter long number and -5, -13, or 21 would be my enter short number. This makes sense since the market is biased to the up side, so entering a little under zero would get us in a little earlier. Also down moves tend to be fast an extreme and this would only let us in short for larger, faster down moves which is what I wanted. Finally I wanted some way to reduce the number of false signals and I wanted to do that with directional movement indicators only so this test would be completely uncorrelated with my other tests. For long positions, I notice that most up moves started when adx was low and that adx climbed during the move to a max and then started to fall at the end of the move.

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Therefore, I thought an adx max and min for a buy signal would help reduce false signals. After some experimenting, I set the min at 8 and the max at 21. I also noticed that most good buy points occurred when MDI and ADX were close together so I decided that the difference between the two should be small. After more experimenting, I decided on the following for my open long signal:

Open Long: Alert(Cross(Fml("Tema PDI - MDI"),opt1),13) AND MDI(13) - ADX(13) <= 4 AND MDI(13) - ADX(13) >= -2 AND ADX(13) >= 8 AND ADX(13) <= 21 To close my open long position I wanted the PDI-MDI to be less than opt1. When a stock starts to drop, the MDI starts to rise, so I wanted the MDI to be greater than a certain number to close a position. Finally, since markets are biased upwards, I also wanted the 55 day variable moving average to be dropping before I closed the position. Therefore, the close long became: Close Long: Fml("Tema PDI - MDI") < opt1 AND MDI(13) > 21 AND LLV(Mov(L,55,VAR),5) = LLV(Mov(L,55,VAR),13) To open a short position, I wanted the PDI-MDI to cross below a fairly high negative number. I wanted confirmation in that the adx was still fairly high when that happened. The answer was: Open Short: Alert(Cross(opt2,Fml("Tema PDI - MDI")),8) AND ADX(13) > 34 To close the short position, I only wanted PDI-MDI to be greater than a certain positive number. I don't like a lot of confirmations for closing shorts. With the bias being up, you need to close shorts fast. My close Short and optimization became: Close Short: Fml("Tema PDI - MDI") > 13 Optimization: Opt1: Min = -1 Max = -5 Step = 2 Opt2: Min = -21 Max = -5 Step = 8 That's it. Any comments or questions? JimG Are there weekly patterns in the stock market? Do price pressures build up over the weekend that cause predictable distortions in the stock market on Monday? If the market is up or down a certain number of days in a row, what are the chances it will follow the trend the next day? Is the trend on

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Monday reversed on Tuesday? To find out, we loaded our S&P 500 data back to 1980, and ran a test. The results were this - the trend on Monday (either up or down) was reversed 55% of the time, a fairly significant result. This might tell us that the weekend causes an emotional buildup that moves the market an excessive amount on Monday, which is then corrected by Tuesday. Larger stocks, as represented by the Dow Jones Industrial Average, reversed slightly less - 54% of the time. Small stocks, as represented by the Russell 2000 (data back to 1990) showed the opposite pattern, going with the trend 60% of the time. In the futures markets, the US dollar (data back to 1990) reversed 54% of the time, and the 30 year treasury bond (data back to 1987) reversed 53% of the time. In recent years, the pattern has been less pronounced. In fact, if you study just the last two years, you get reversals of 53% in the Dow, 52% in the S&P 100, a continuation in the trend 50.5% of the time in the S&P 500 and a continuation 54% of the time in the Russell 2000 . The US dollar has reversed 58% of the time in the last two years, the CRB index 54% of the time, while other futures have shown continuation trends 55% for gold, 54% for treasury bonds, and 55% for crude oil. Next, we studied every possible price trend for the five day period. A nice Thursday trend emerged - if Monday and Tuesday went one direction, and then Wednesday reversed this trend, there was a 62% chance that Thursday would continue this reversal (well represent this as XXOO, where X just means one direction, not necessarily up or down, and O means the other direction). If the first four days of the week all moved in the same direction (XXXX), Friday had a 61% chance of doing the same (XXXXX). And if Tuesday reversed Monday, but was then reversed by Wednesday, and the trend continued Thursday, there was a 63% chance that Friday would continue the trend set Wednesday (XOXXX). The MetaStock formulas for the Tuesday calculation are included below. Formulas for the remaining days of the week build on these formulas, and are too extensive to include here (you need 2 formulas for Tuesday, 4 for Wednesday, 8 for Thursday, and 16 for Friday). To build an exploration that looks for stocks with a high incidence of Tuesday reversal, simply put the formula "Tuesday % occurrence. of XX vs. XO" in a column in the Explorer, run an exploration on all of your securities, then sort by the aforementioned formula. ====================== Formula "Tuesday XX Pattern" { Looks for XX pattern, returns +1 if it finds it } If(Ref(DayOfWeek(),-2) = 5 {2 days ago was Fri} AND Ref(DayOfWeek(),-1) = 1 {Yesterday was Mon} AND DayOfWeek() = 2 {Today is Tuesday} AND { Either both days were up or down } ((Ref(CLOSE,-2) > Ref(CLOSE,-1) AND Ref(CLOSE,-1) > CLOSE ) OR

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(Ref(CLOSE,-2) < Ref(CLOSE,-1) AND Ref(CLOSE,-1) < CLOSE )) , +1, { +1 if XX pattern } 0) { Otherwise 0 } ====================== Formula "Tuesday XO Pattern" { Looks for XO pattern, returns +1 if it finds it } If(Ref(DayOfWeek(),-2) = 5 {2 days ago was Fri} AND Ref(DayOfWeek(),-1) = 1 {Yesterday was Mon} AND DayOfWeek() = 2 {Today is Tuesday} AND { Tuesday is opposite direction of Monday } ((Ref(CLOSE,-2) > Ref(CLOSE,-1) AND Ref(CLOSE,-1) < CLOSE ) OR (Ref(CLOSE,-2) < Ref(CLOSE,-1) AND Ref(CLOSE,-1) > CLOSE )) , +1, { +1 if XO pattern } 0) { Otherwise 0 } ====================== Formula "Tuesday % occurrence. of XX vs. XO" { Gives the % occurrence of XX (that Tuesday goes the same direction as Monday) } Cum(Fml("Tuesday XX pattern"))/ (Cum(Fml("Tuesday XX pattern")) + Cum(Fml("Tuesday XO pattern")) ) * 100 ====================== Note that unchanged days, either Monday or Tuesday, are ignored in the calculations. by John DeBry Kaufman's Adaptive RSI MetaStock formula derived from calculations in Trading Systems and Methods, Third Edition, by Perry J. Kaufman. This formula adapts the standard RSI to a smoothing constant.

Period := Input("Period",1,10000,20); sc := Abs(RSI(Period)/100 - .5)*2; If(Cum(1) <= Period, CLOSE, PREV + sc*(CLOSE - PREV)) Market Pressure - Ultimate:

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This is the basic calculation: If today's close is greater than yesterdays close and today's volume is greater than yesterdays volume, write down today's volume * close, otherwise, If today's close is less than yesterdays close and today's volume is less than yesterdays volume, write down today's volume as a negative number * close, otherwise write down 0. Then add up the past 7 days and * 4, add this to the past 14 days total and * 2, add this to the past 28 days total. Plot this grand total in your chart for each new trading day. Simple Interpretation: Market Pressure - Ultimate can show divergences with the instrument it is plotted against. It may show signs of support and resistance when the indicator hits areas of support/resistance on its own graph. Comparing rates of change/moving averages of the indicator against that of the instrument may reveal accumulation/distribution pressures. Metastock code for Market Pressure - Ultimate: Sum(If(C > Ref(C,-1) AND V > Ref(V,-1), V * C, If(C < Ref(C,-1) AND V < Ref(V,-1), Neg(V) * C,0)),7) * 4 + Sum(If(C > Ref(C,-1) AND V > Ref(V,-1), V * C, If(C < Ref(C,-1) AND V < Ref(V,-1), Neg(V) * C,0)),14) * 2 + Sum(If(C > Ref(C,-1) AND V > Ref(V,-1), V * C, If(C < Ref(C,-1) AND V < Ref(V,-1), Neg(V) * C,0)),28)

Changing Ways Accumulation/Distribution: This is the calculation for the first formula (Today's Change): Today's close - yesterdays close

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This is the main formula, incorporating the first calculation: If today's change (1st formula) is greater than a 7 day exponential moving average of today's change and today's close is greater than yesterdays close, write down today's close + today's volume, otherwise, If today's change is less than a 7 day exponential moving average of today's change and today's close is less than yesterdays close, write down the negative value of today's close + today's volume, otherwise write down 0. Then add up all the days values and keep a cumulative running total for each new trading day. Simple Interpretation: Changing Ways Accumulation/Distribution can show divergences against the instrument. When compared against volume activity, it can show what impact a day of high turnover had on the share price for the coming periods. This is to say that if a day had high volume and there was little movement in the indicator alongside this, then you can suggest that all the volume for that day was absorbed into the price and there is less likelihood of buying/selling pressure in that day taking hold in the market in future trading days. Metastock code for Changing Ways Accumulation/Distribution: Cum(If(Fml( "Today's Change" ) > Mov(Fml( "Today's Change" ),7,E) AND C > Ref(C,-1), C + V, If(Fml( "Today's Change" ) < Mov(Fml( "Today's Change" ),7,E) AND C < Ref(C,1), Neg(C + V) ,0))) Where Fml( "Today's Change" ) = c - ref(c,-1)

Front Weighted 36 Day Moving Average: This indicator requires 3 sub calculations and then the totalling of all 3 to get the final indicator: This is the basic calculation: Take the closing prices of your instrument 34 days ago - 26 days ago (inclusive), multiply each daily value by 0.01 and write each value down. Then take the closing prices of your instrument 25 days ago - 18 days ago (inclusive), multiply each daily value by 0.02 and write each value down. Then take the closing prices of your instrument 25 days ago - 18 days ago (inclusive), multiply each daily value by 0.02 and write each value down. Then take the closing price of your instrument 17 days ago and multiply by 0.03 ad write the value down. Then take the closing price of your instrument 16 days ago - 8 days ago (inclusive),

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multiply by 0.031 and write each value down. Then take the closing price of your instrument 7 days ago - 6 days ago (inclusive), multiply by 0.006 and write each value down. Then take the closing price of your instrument 5 days ago - 1 day ago (inclusive), multiply by 0.07 and write each value down. Then take the closing price of your instrument today, multiply by 0.079 and write this value down. Finally, add up all the values that you wrote down and plot the value on the chart, repeat this for every new trading day. Simple Interpretation: Front Weighted 36 Day Moving Average is similar to all other moving averages. The interpretation is just as with all others, the trend is up when prices are above the moving average and the trend is down when prices are below the moving averages. This particular variation attempts to weight the data at the front more than that at the back, with a sliding scale for each trading days value. Front Weighted 36 Day Moving Average: Fml( "1FrontWeighted36BarMA1" ) + Fml( "2FrontWeighted36BarMA2" ) + Fml( "3FrontWeighted36BarMA3" ) Where Fml( "1FrontWeighted36BarMA1" ) = 0.01 * Ref(P,-34) + 0.01 * Ref(P,-33) + 0.01 * Ref(P,-32) + 0.01 * Ref(P,-31) + 0.01 * Ref(P,-30) + 0.01 * Ref(P,-29) + 0.01 * Ref(P,-28) + 0.01 * Ref(P,-27) + 0.01 * Ref(P,-26) + 0.02 * Ref(P,-25) + 0.02 * Ref(P,-24) + 0.02 * Ref(P,-23) + 0.02 * Ref(P,-22) + 0.02 * Ref(P,-21) + 0.02 * Ref(P,-20) + 0.02 * Ref(P,-19) + 0.02 * Ref(P,-18) Where Fml( "2FrontWeighted36BarMA2" ) = 0.03 * Ref(P,-17) + 0.031 * Ref(P,-16) + 0.031 * Ref(P,-15) + 0.031 * Ref(P,-14) + 0.031 * Ref(P,-13) + 0.031 * Ref(P,-12) +

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0.031 * Ref(P,-11) + 0.031 * Ref(P,-10) + 0.031 * Ref(P,-9) + 0.031 * Ref(P,-8) + 0.006 * Ref(P,-7) + 0.006 * Ref(P,-6) + 0.07 * Ref(P,-5) + 0.07 * Ref(P,-4) + 0.07 * Ref(P,-3) + 0.07 * Ref(P,-2) Where Fml( "3FrontWeighted36BarMA3" ) = 0.07 * Ref(P,-1) + 0.079 * P Excel Confidence %: This is the calculation: Take toadies volume * 50 and find the square root of that number. Then divide 2.5 by your result. Then take the result of dividing by 2.5 and * today's close. Write this figure down. Then plot a 10 day moving average of this figure. This is the fundamental calculation which we shall call a. Take the value for a and take it away from the lowest value of itself over the past 5 days. Add up these results for the past 3 days. This number is called b. Now take the highest value for a over the past 5 days and subtract the lowest value for a, also over the past 5 days. Call this number c. Finally, divide b by c and multiply the answer by 100. (phew!) Simple Interpretation: Excel Confidence % should oscillate between 0 and 100, usually at the extreme ends of the scale. A value of 0 indicates no confidence in the market going up, whilst 100 indicates perfect confidence in the market going up. Although this obviously isn't the holy grail of indicators, it does offer some insight into what the market is thinking and how one can measure investor sentiment. You might like to add a slower version of this (just increase the 3 day and 5 day calculations to something you believe to be appropriate - try 7 & 15) and trade the crossovers, as with stochastics. You can also just trade the values ie 90 or higher, buy, 10 or lower, sell. Metastock code for Excel Confidence %: (Sum( Mov(C * (2.5/ Sqrt(50 * V)),10,S)LLV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5), 3 ) / Sum(

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BULLISH ENGULFING PATTERN ColA: CLOSE Filter BarsSince(EngulfingBear())<=5 AND BarsSince(ROC(C,60,%)>15)<=5 AND BarsSince(Stoch(9,1)>90)<=5 Filter enabled Yes Periodicity Daily Records required 1300

BEARISH ENGULFING PATTERN Col A: CLOSE Filter BarsSince(EngulfingBull())<=5 AND BarsSince(ROC(C,60,%)<-15)<=5 ANDBarsSince(Stoch(9,1)<10)<=5 Filter enabled Yes Periodicity Daily Records required 1300

UP 20% ON DOUBLE AVERAGE VOLUME Col A: CLOSE Col B:ROC(C,5,%) Filter ROC(C,5,%)>=20 AND Mov(V,5,S)>=(2*Ref(Mov(V,60,S),-5)) Filter enabled Yes Periodicity Daily Records required 1300

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Col A: CLOSE Col B: ROC(C,5,%) Filter ROC(C,5,%)<=-20 AND Mov(V,5,S)>=(2*Ref(Mov(V,60,S),-5)) Filter enabled Yes Periodicity Daily Records required 1300 CROSS ABOVE 200 MA ON TWICE AVERAGE VOLUME

Filter (C>Mov(C,200,S) AND Ref(C,-5)<Ref(Mov(C,200,S),-5)) AND C>5 AND V>Mov(V,200,S)*2 CROSSING BELOW 200 DAY MA ON DOUBLE AVERAGE VOLUME Filter (C<Mov(C,200,S) AND Ref(C,-5)>Ref(Mov(C,200,S),-5)) AND C>5 AND V>Mov(V,200,S)*2

CONSOLIDATION OVER 16 WEEKS Col A: CLOSE Filter Fml("congestion index") <= 10 AND BarsSince(Fml("congestion index")>10) > 0 Filter enabled Yes

CONSOLIDATION BREAKOUT, UPSIDE Col A: CLOSE Filter: Fml("Consolidation breakout (upside)") = 1 Filter enabled: Yes

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If(Ref(Fml("congestion index"),-5),<,10, {and} If(Fml("congestion index"),>=,10, {and} If(CLOSE,>,Ref(HHV(C,80),-5), {and} If(Mov(V,5,S),>=,1.5*(Ref(Mov(V,60,S),-5)), +1,0),0),0),0)

Stocks breaking out of consolidation (downside) Col A: CLOSE Filter: Fml("Consolidation breakout (downside)") = 1 Filter enabled: Yes Here is the "consolidation breakout(downside)" formula: If(Ref(Fml("congestion index"),-5),<,10{%}, {and} If(Fml("congestion index"),>=,10{%}, {and} If(CLOSE,<,Ref(LLV(C,80),-5), {and} If(Mov(V,5,S),>=,1.5*(Ref(Mov(V,60,S),-5)), +1,0),0),0),0)

VOLATILITY OVER 16 WEEKS Col A: CLOSE Col B: Vol(10,80) Filter: Vol(10,80)>200 Filter enabled: Yes

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BIGGEST LOSERS Col A: CLOSE Col B: ROC(C,5,%) Filter: (ROC(C,5,%)>10 OR ROC(C,5,%)<-10) AND C>5 Filter enabled: Yes

OVERBROUGHT / OVER SOLD Col A: CLOSE Col B: Fml("ob/os summation") Filter: Fml("ob/os summation") > 450 OR Fml("ob/os summation") < -50 Filter enabled: Yes Here is the "ob/os summation" formula: RSI(25)+Stoch(25,3)+Mo(25)+CCI(25)

ELLIOTT WAVE IDFENTIFICATION As far as using MetaStock for identifying waves, use a 5/34 histogram for finding wave 4, the end of wave 3 and for help with identifying wave 1/2, which apparently Advanced Get uses extensively. You can write MetaStock explorations/templates/experts, etc., with this indicator; e.g., explorations to find the peaks and troughs of the 5/34 histogram. The version of the indicator I use in MetaStock v6.52 is: Mov(OscP(5,34,E,$),5,S) -150 days minimum of data. The peaks of the histogram help identify waves 1, 3 and 5 and troughs for waves 2 and 4. Use MetaStock line studies (both trendlines, channels and fib retracements) for additional wave identification/analysis. Of course,

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you can label the waves with the text box. from Kevin Campbell

WILDERS ATR FROM EQUIS {The actual ATR does not use a simple moving average. Welles Wilder uses his own smoothing (a modified exponential average) which is the function named "Wilders" in MetaStock. Try your formula this way:} periods:=Input("ATR Periods?",1,100,10); TH:=If(Ref(C,-1) > H,Ref(C,-1),H); TL:=If(Ref(C,-1) < L,Ref(C,-1),L); TR:=TH-TL; Wilders(TR,periods)

periods:=Input("ATR Periods?",1,100,10); TH:=If(Ref(C,-1) > H,Ref(C,-1),H); TL:=If(Ref(C,-1) < L,Ref(C,-1),L); TR:=TH-TL; Mov(TR,periods,S) {from Yngvi Hardarson}

{Multiple Time Frame - Tendency 5/23/99} {This will plot 1 for Bullish -1 for Bearish} dw:=DayOfWeek(); Fw:=If(dw<Ref(dw,-1),1,0); Mt:=If(Fw=1 AND Ref(dw,-1)<>5, {then}Ref(C,-1)- FmlVar("MTF-Fixed Balance Point","DWP"), {else}If(dw=5, {then}C-((HighestSince(1,Fw=1,H)+ LowestSince(1,Fw=1,L)+C)/3), {else}0)); If(Mt>0,1,If(Mt<0,-1,0)); {from Adam Hefner}

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GUPPY MMA EXPLORATION FROM TRADING TACTICS, part 2 NOTE This EXPLORATION uses the results of several INDICATOR FORMULAS. You must create the INDICATORS first before running the exploration. Also, depending on your system you may have some problems importing this into early versions of Metastock 7. Ref(C,-1) Ref(C,-2) Fml("mma 3/30") +Fml("mma 5/35") +Fml("mma 8/40") + Fml("mma 10/45")+Fml("mma 12/50")+Fml("mma 15/60") Ref(Fml("mma 3/30") +Fml("mma 5/35") +Fml("mma 8/40") + Fml("mma 10/45")+Fml("mma 12/50")+Fml("mma 15/60"),-1) Ref(Fml("mma 3/30") +Fml("mma 5/35") +Fml("mma 8/40") + Fml("mma 10/45")+Fml("mma 12/50")+Fml("mma 15/60"),-2) When(colD,>,0) AND When(colE,<=,0) PERFORMANCE INTRA DAY AND DAILY ColA:C {label CLOSE} ColB:O {label OPEN} ColC:Sub(C,O) / O {label Intr.dy%} ColD:Sub(C,Ref(C,-1)) / Ref(C,-1) {label 1 dy %} ColE:Sub(C,Ref(C,-2)) / Ref(C,-2) {label 2 dy %} ColF:Sub(C,Ref(C,-3)) / Ref(C,-3) {label 3 dy %} Filter: O>.2 AND C<.3 AND C>.2 Filter: enabled Periodicity: Daily Records required: 5 ---------------------------Patrick McDonald GAP UP SYSTEM WITH DELAYED EXIT Enter long GapUp() Close long Ref(GapUp(),-5) Initial equity 10000

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Positions Long and short Trade price Open Trade delay 1 Entry commission 0% Exit commission 0% Interest rate 0% Margin req. 100% ELLIOTT OSCILLATOR Mov(C,5,S)-Mov(C,35,S) {from Jan Robert Wolansky} {TIMESERIES TRIX - by Joe Luisi} {published in S&C - TASC article "Playing Trix" by Joe Luisi (June 1997) and to be used on weekly data} CLA:=TRIX(3); CLB:=Ref(TRIX(3),-1); CLC:=Mov(TRIX(3),8,TIMESERIES); CLD:=Ref(Mov(TRIX(3),8,TIMESERIES),-1); SHORT:=When(CLA,>,CLC) AND When(CLB,<,CLD) AND When(CLA,<,0)AND When(CLA,>,-2); LONG:=When(CLA,<,CLC) AND When(CLB,>,CLD) AND When(CLA,>,0)AND When(CLA,<,+2); If(LONG>0,+1, If(SHORT>0,-1,PREVIOUS))

WEEKLY TRIX MOVING AVERAGE TEST COLA: TRIX(3) COLB: REF(TRIX(3),-1) COLC: MOV(TRIX(3),8,TIMESERIES) COLD: REF(MOV(TRIX(3),8,TIMESERIES),-1) COLE: C Filter enabled:yes when(cola,>,colc)and when(colb,<,cold)and when(cola,<,0)and when(cola,>,-2) from A. J. Maas ROC MOVING AVERAGE SYSTEM TEST ENTER LONG:

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EXIT LONG: (ROC(Mov(C,12,E),1,%)<0 AND ROC(Mov(C,60,E),1,%)>0) OR (ROC(Mov(C,12,E),1,%)>0 AND ROC(Mov(C,60,E),1,%)<0) SHORT: ROC(Mov(C,12,E),1,%)<0 AND ROC(Mov(C,60,E),1,%)<0 EXIT SHORT: (ROC(Mov(C,12,E),1,%)<0 AND ROC(Mov(C,60,E),1,%)>0) OR (ROC(Mov(C,12,E),1,%)>0 AND ROC(Mov(C,60,E),1,%)<0) {Ref(c,-1) gives yesterday's close today. So all values are shifted to the right!} {from Onno Goedknegt} DAYS SINCE CROSSOVER {place formula in filter section of explorer, making sure that formulas within quotes are valid indicators} BarsSince(Cross(45, Fml( "Stochrsi (14)" )))> BarsSince(Cross(Fml( "Stochrsi (7,3)" ),72)) AND Ref(BarsSince(Cross(45,Fml( "StochRSI (14)" ))) < BarsSince(Fml( "staters (7,3)")>72), -1) {from Stefan Schittko} ANTI TRIGGER - L.B. Raschke (For MetaStock v6.5) ---------------------------------------------------------------------------------Original formula based on L.B. Raschke's "Street Smarts" book's Quick Indicator Articles. Re-written by Ton Maas. ============================================== {FUNCTIONS-IND-REFERENCE-INDEX: FF=FASTLINE,SS=SLOWLINE,SETBARS=3DAYMOVAVE, ENTRYADD=+1,EXITADD=+1} {FUNCTIONS-VAR-REFERENCE-INDEX: BBUY=(VAR),SSELL(VAR),CBUY(VAR),CSELL(VAR),FF(VAR),SS(VAR), LXSTOP(VAR),SXSTOP(99999),MP(VAR)} {FUNCTIONS-MISC-REFERENCE-INDEX: AT0BBUY =BULLLONG AT0SSELL =BEARSHORT AT0CSELL =CLOSEBEARSHORT AT0CBUY =CLOSEBULLLONG AT0MP =MARKETPOSITION (-1=LONG,+1 SHORT) AT0LXSTOP=CLOSELONGEXITLEVEL(STOPLOSS) AT0SXSTOP=CLOSESHORTEXITLEVEL(STOPLOSS)}

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{INDICATOR NAME : ANTI TRIGGER} {THE FORMULA (+REQUIRED FUNCTIONS) FOR THE ANTI TRIGGER INDICATOR} AT0SETBARS:=3; AT0FF:=Stoch(7,AT0SETBARS); AT0SS:=Mov(Stoch(7,AT0SETBARS),10,E); AT0ENTRYADD:=+1; AT0EXITADD:=+1; AT0CSELL:={use in expadv or systest}{for RT del the REF-function} If(AT0FF>Ref(AT0FF,-1) AND AT0SS<Ref(AT0SS,-1),C+1,0); AT0CBUY:={use in expadv or systest}{for RT del the REF-function} If(AT0FF<Ref(AT0FF,-1) AND AT0SS>Ref(AT0SS,-1),C+1,0); AT0BBUY:={use in expadv or systest}{for RT del the REF-function} If(AT0CBUY>AT0SETBARS,H+AT0ENTRYADD,99999); AT0SSELL:={use in expadv or systest}{for RT del the REF-function} If(AT0CSELL>AT0SETBARS,L-AT0ENTRYADD,0); AT0MP:={use in expadv or systest}If(AT0BBUY<99999, -1,If(AT0SSELL>0,1,0)); {AT0LXSTOP:=}{use in expadv or systest}{for RT del the REF-function} {IF(REF(AT0MP,-1)<1 OR (REF(AT0BBUY,-1)<99999 AND H>REF(AT0BBUY,-1)), L-AT0EXITADD,0);} {AT0SXSTOP:=}{use in expadv or systest}{for RT del the REF-function} {IF(REF(AT0MP,-1)>-1 OR (REF(AT0SSELL,-1)>0 AND L<REF(AT0SSELL,-1)), H+AT0EXITADD,0);} AT0MP ============================================================ RECURSIVE MOVING TREND AVERAGE

Lb:=Input("Look-Back Period?",3,100,21); Ty:=Input("1=C 2=H 3=L 4= Median Price",1,4,1); Tv:=If(Ty=1,C,If(Ty=2,H,If(Ty=3,L,MP()))); Alpha:=2/(LB+1); Bot:=(1-Alpha)*(If(Cum(1)<Lb,Tv,PREV))+Tv; RMTA:=(1-Alpha)*(If(Cum(1)<Lb,Tv,PREV))+ (Alpha*(Tv+Bot-Ref(Bot,-1))); RMTA {from Adam Hefner} TSF OPTIMISED TRADING SYSTEM FOR METASTOCK Enter long: Cross(opt1,((CLOSE-Ref(TSF(C,opt3),-1))/CLOSE*100)) Close long: Cross(((CLOSE-Ref(TSF(C,opt3),-1))/CLOSE*100),opt2)

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Enter short: Cross(((CLOSE-Ref(TSF(C,opt3),-1))/CLOSE*100),opt2) Close short: Cross(opt1,((CLOSE-Ref(TSF(C,opt3),-1))/CLOSE*100)) opt 1: zero to -2 (with .1 step) opt 2: zero to +2 (with .1 step) opt 3: 2 to 8 (with 1 step) {I use this for futures and the above parameters (optimized settings) keep it in the ballpark. If you are applying it to equities (or commodities), it always makes sense to look at the indicator and understand the outside parameters for each of its "steps". It makes no sense to limit your outside limits to -2 and +2 if the TSF oscillates between -8 and +8. So do a little homework on the "outside" limits of the indicator and then optimize accordingly. from Steve Karnish.}

THE END POINT MOVING AVERAGE {The End Point Moving Average was introduced in the October 95 issue of Technical Analysis of Stocks & Commodities in the article "The End Point Moving Average", by Patrick E. Lafferty. The exact formula for the End Point Moving average is as follows:} ( 14 * Sum( Cum( 1 ) * C,14 ) - Sum( Cum( 1 ),14) * Sum( C,14) ) / (14 * Sum( Pwr( Cum( 1 ),2),14 ) - Pwr( Sum( Cum( 1 ),14 ),2 ) ) * Cum( 1 ) + (Mov(C,14,S) - Mov( Cum( 1 ),14,S) * (14 * Sum( Cum( 1 ) * C,14) Sum( Cum( 1 ),14 ) * Sum( C,14) ) / (14 * Sum( Pwr( Cum( 1 ),2 ),14) Pwr( Sum( Cum( 1 ),14 ),2 ) ) ) {The above formula plots the last value of a linear regression line of the previous 14 periods. The Time Series Forecast (TSF) takes this value and the slope of the regression line to forecast the next day and then plots this forecasted price as today's value. from Equis.}

METASTOCK ADJUSTABLE TRADING BANDS Using the default values used in the formulas, I have found that these upper and lower bands provide effective risk control while trading. The upper band can be used as the extreme point to get rid of shorts and vice versa. In fact, prices tend to remain above both the bands while the market is in a strong uptrend, and prices remain below the bands in a downtrend. During short-term range-bound markets, they tend move between the bands. I have found this idea in Tushar Chande's "New Technical Trader". Since you have

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studied ATR so thoroughly, it would be be very nice if you could comment on them. Can be made into a template for easier usage. from Rajat K Bose

Upper Band Prd1:=Input("ATR Period",5,20,5); Prd2:=Input("Period for Highest High Value",5,20,10); (HHV(LLV(L,Prd1)+ATR(Prd1),Prd2))

Lower Band Prd1:=Input("ATR Period",5,20,5); Prd2:=Input("Period for Lowest Low Value",5,20,10); (LLV(HHV(H,Prd1)-ATR(Prd1),Prd2)) Customisable StochRSI from Nicholas Kormanik

The formula I've adopted was put on the Silicon Investor web site thread by 'bdog'. Basically, I just leave the Slowing Periods (mp3) to 1, so it really plays no part in things. However, if somebody presents a good argument for using other than 1 ... hey, I'm amenable. Chande, the original inventor, didn't use a moving average on the whole thing. Chande's result was therefore sort of choppy. I guess along the way people decided to add the EMA Periods to smooth things out. Here's the MSWin formula:

mp1:=Input("RSI Periods",1,377,13); mp2:=Input("Stoch Periods",1,377,13); mp3:=Input("Slowing Periods",1,377,1); mp4:=Input("EMA Periods",1,377,5); Mov(Sum((RSI(mp1)LLV(RSI(mp1),mp2)),mp3)/Sum((.0000001+(HHV(RSI(mp1),mp2)-( LLV(RSI(mp1),mp2)))),mp3),mp4,E)*100

Now, from various posts, etc., the following parameters (mp1, mp2 and mp4)

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*seem* to be the one's recommended. I'm trying to further find consensus among users of StochRSI on what really appears to work for them.

StochRSI Set -------------------5 -- 5 -- 3 8 -- 8 -- 5 13 -- 13 -- 13 21 -- 15 -- 13 21 -- 21 -- 13 34 -- 34 -- 13 55 -- 55 -- 21 89 -- 13 -- 34 89 -- 89 -- 21 233 -- 233 -- 34 52 Week Hi-Lo Exploration ColA: {Close}C; ColB: {52-week High} HighestSince(1, (DayOfMonth()=08 AND Month()=05 AND Year()=1998), H); ColC: {52-week Low} LowestSince(1, (DayOfMonth()=08 AND Month()=05 AND Year()=1998), L); {Choose one of these filters} {Filter 1:} ColA >= (0.9*(ColB)) {Filter 2:} ColB >= 2*ColC {If you want both the conditions to be satisfied in the same query, just join the two filters by the AND operator:} Filter: (ColA >= (0.9*(ColB)) AND ColB >= ColC) {One problem with the 52-wk High and 52-wk Low formula--every day you've got to change the values for dayofmonth(), Month() and Year() functions. The formula given above assumes that you would be running the query on May 07, 1998. Change the values of the above functions accordingly.} {from Rajat Bose}

TRAILING STOP LOSS INDICATOR If(cum(1)=1, {then} Close, {else} If((C*1.1) <= PREV, {then}(C*1.1), {else} PREV));

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{Regarding the Recursive Moving Trendline System, I ended up making an oscillator out of it (subtracting the ema from the rta). If you wish to try "tuning" it in MetaStock, you could try different entry levels from the oscillator. For example, go long when TOSC crosses from below -2, or go short when TOSC crosses from above +2. } {TOSC} Lb:=Input("Look-Back Period?",3,100,21); Ty:=Input("1=C 2=H 3=L 4= Median Price",1,4,1); Tv:=If(Ty=1,C,If(Ty=2,H,If(Ty=3,L,MP()))); Alpha:=2/(LB+1); Bot:=(1-Alpha)*(If(Cum(1)<Lb,Tv,PREV))+Tv; RMTA:=(1-Alpha)*(If(Cum(1)<Lb,Tv,PREV))+ (Alpha*(Tv+Bot-Ref(Bot,-1))); TOSC:=RMTA-Mov(Tv,lb,E); TOSC; {NOTE: this code will work slowly because of all of the "PREV" functions. from Adam Hefner.} {Single 60 Day Period BreakOut Signal Indicator} ACol:= C; BCol:= Ref(HHV(H,59), -1); CCol:= HHV(H,60); SSDPBOS:= (ACol>BCol) AND (Ref(C,-1)<BCol) AND (H=CCol); SSDPBOS {from Ton Maas}

METASTOCK -- STOCKS CLOSING ABOVE 60 DAY HIGH To find the securities that have closed above their high today (the last trading day in the database) for the first time, I have written this MetaStock Explorer. ColA: {Close) C ColB: {Previous 60-day High} Ref(HHV(H,60), -1) ColC: {Current 60-day High} HHV(H,60) ColD: {Volume} V Filter: (colA>colB) AND (Ref(C,-1)<Ref(HHV(H,60), -1)) AND (H=HHV(H,60))

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1) It lists only those securities which have met the required conditions only on the last trading day. 2) The new 60-day high must have taken place only on the last trading day. from Rajat Bose {Stocks Closing Above 60 Day Highs}

if you want those that are {closing above the 60-day intraday high} close>ref(hhv(high,60),-1)

PI:=3.1415926; SD:=180/6; S1:=Sin(1*180/6)*C; S2:=Sin(2*180/6)*Ref(C,-1); S3:=Sin(3*180/6)*Ref(C,-2); S4:=Sin(4*180/6)*Ref(C,-3); S5:=Sin(5*180/6)*Ref(C,-4); Num:=S1+S2+S3+S4+S5; Den:=Sin(SD)+Sin(2*SD)+Sin(3*SD)+Sin(4*SD)+Sin(5*SD); Num/Den I use the peak and trough function in MetaStock to show support and resistance levels. It could also be used as a trailing stoploss method. from Anil Chugani

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{then}1, {else}If(CLOSE<Ref(Trough(1,L,1),-1), {then}-1, {else}0)); ANv:=ValueWhen(1,AVd<>0,AVd); SuRe:=If(ANv=-1, {then}Peak(1,H,1), {else}Trough(1,L,1)); SuRe; {StochCMO} mp1:=Input("RSI Periods",1,377,13); mp2:=Input("Stoch Periods",1,377,13); mp3:=Input("Slowing Periods",1,377,1); mp4:=Input("EMA Periods",1,377,5); Mov(Sum((CMO(c,mp1)LLV(CMO(c,mp1),mp2)),mp3)/Sum((.0000001+(HHV(CMO(c,mp1), mp2)-(LLV(CMO(c,mp1),mp2)))),mp3),mp4,E)*100

This system is provided free to people who join the System Traders Club. It is a profitable Bond Trading System that we supply in order to demonstrate the quality of our work, and as an example of the documentation that comes with each of our systems. Gary Randal mailto:Randall_Gary@tmac.com has ported this system into MetaStock format. His comments and code for MetaStock follow our normal system Documentation. A Rrade by Trade Report concludes the document

"25 x 25" BOND TRADING SYSTEM by Charles LeBeau and Terence Tan Introduction In this report we will present several useful concepts for trading the Bond futures markets, and illustrate these concepts with a Bond trading system that we have called the "25 x 25". The "25 x 25" system is a long-only trend-following system designed for the Bond market which has made hypothetical profits of $53,000 over the last 10 years of historical data, with an accuracy rate of 76%.

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Before we present the details of the system, we will review some of the goals we hope to achieve for the System Traders Club. First, we do not hope to reveal any "holy grails" to trading. Many of the systems that you will see in the System Club reports include indicators that you may already be familiar with, or that can be easily programmed into the computer. In addition, you will find that many of these systems are not perfect: they will all have drawdowns, and none of them are 100% accurate over the long run. However, we think they deserve serious consideration for actual real-time trading applications. We realize that in the business of trading the futures markets there is no single method that makes money automatically. We believe that a combination of logical system concepts and reasonable entry and exit strategies greatly increases the probability of success in trading. We hope to be able to communicate to you, through these reports, many of the concepts that we have learned over the years. Second, we hope that these reports will serve both an informative as well as a practical purpose. We will share with you lessons that we have accumulated over the years regarding trading strategies and techniques that have worked in various markets, and the logic behind them. You may also want to view the systems presented as illustrations of general principles and concepts in systematic trading of the futures markets. We hope that you may also apply these concepts to your own favorite markets and time-frames. We would welcome any feedback you may have on possible improvements and different applications of these systems. Third, we intend to provide many different systems and market combinations in our reports. Multiple systems can be combined together in a portfolio to generate more frequent trades and higher returns than any single system. We believe in diversification; but we also realize that diversification is a function of personality and preference. For this reason, we will be offering many different types of systems, from which you will be able to select systems that suit your personality and preference and combine them into your own diversified trading portfolio.

"25 x 25" System Rules We will concisely present the system rules first, and then elaborate and explain the concept and logic behind some of the more important trading techniques represented in the system: To go long in the Bond market, three conditions must be met. 1. The 14-day +DI must be above the 14-day -DI. 2. The 14-day ADX must be above 20. 3. The 4-day RSI must be below 50. If these three conditions are met then buy tomorrow only if and when prices rise 18 ticks (18/32) above today's close. Enter on a buy stop order.

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After a trade has been entered, place a sell stop at whichever of the positions below are closest to the market price. 1. A stop order at $2,500 below the entry price. 2. Or a stop order at the lowest low of the last 25 days. 3. After 25 days (count entry day as day 1), change stop #2 from the lowest low of 25 days to the lowest low of 2 days. 4. Regardless of the number of days in the trade, after any close where the open profit is greater than 5 Average True Ranges the exit stop should be at the lowest low of 2 days. (Important: use 45 days to calculate the ATR) Historical Results Table 1 shows the historical results of trading 1 contract on the system tested over 10 years of data. For the testing purposes, we used continuous back-adjusted daily data. We ignored all night sessions, and all calculations were based on day-session prices and ranges only. $100 was deducted from every trade to simulate the effects of commissions and slippage. The test period was from 1/1/88 to 1/16/98 with MaxBarsBack set to 50 to enable adequate smoothing on the ADX calculations. (MaxBarsBack refers to the number of bars of data necessary to calculate the rules in a system. System rules only begin after the MaxBarsBack period. The test period includes the MaxBarsBack period, so that no trades are taken for the first 50 trading days.)

Table 1. 25 x 25 System v.2.0 Hypothetical Results (TradeStation format) This system was created originally for Tradestation and then interpreted into MetaStock Format by one of our members. We do not have MetaStock reports. Total net profit $ 55,112.50 Open position P/L $ 1,875.00 Gross profit $ 64,887.50 Gross loss $-9,775.00 Total # of trades 32 Percent profitable 72% Number winning trades 23 Number losing trades 9 Largest winning trade $ 5,181.25 Largest losing trade $ -2,600.00 Average winning trade $ 2,821.20 Average losing trade $ -1,086.11 Ratio avg win/avg loss 2.60 Avg trade(win & loss) $ 1,722.27 Max consec. winners 5 Max consec. losers 2 Avg # bars in winners 26 Avg # bars in losers 12 Max intraday drawdown $ -3,381.25 Profit factor 6.64 Max # contracts held 1 Account size required $ 3,381.25 Return on account 1,630%

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The hypothetical performance data above was generated using Omega TradeStation, with $100 deducted per trade for commissions and slippage. In our opinion, the "account size required" and "return on account" calculations may not accurately reflect the actual account size required to trade this system nor the return to be expected.

PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS. HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN.

System Concept The concept behind the system is simple. We designed 25 x 25 to be a trend following system that will enter an uptrend during a dip in prices. To do this we will implement three entry strategies. First, there is a trend indicator to identify a strongly uptrending market. Second, there is a shorter term retracement indicator that will identify a small dip in the uptrend which will set up the trade. Third, we have a precise short-term entry signal which will enter the trade when the uptrend resumes.

Trend Indication For the trend indicator, we employ one of our favorite trend indicators, the Directional Movement Indicator. Specifically we will use the relationship between the +DI (Plus Directional Indicator), -DI (Minus Directional Indicator), and the ADX (Average Directional Movement Index). These indicators were described by Welles Wilder in his book, New Concepts In Technical Trading Systems, and are pre-programmed into most of the modern computerized charting software. The default value chosen by Mr Wilder was 14-days for all the indicators, and this is the value we have chosen for the system. For our trend indication, we will require that the 14-day +DI must be above the 14day -DI, and that the value of the ADX must be above 20. The relationship of the +DI to the -DI is a useful way of determining the direction of the intermediate trend; however this definition of trend is inadequate without the inclusion of the ADX which actually measures the strength of the trend. Trend indicators traditionally only indicate

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whether the trend is up or down, which is not an accurate representation of how the market behaves. As you are aware, markets spend most of their time neither in an uptrend or downtrend, but in a sideways market. By demanding that the ADX be above 20, we effectively filter out these sideways markets, and enable our system to enter during periods of relatively strong uptrends. It is important to understand that the ADX does not indicate the direction of the trend, merely its strength, which is why we need to combine the strong ADX reading with the DI relationship. As a general concept it is a good idea to always trade markets according to the direction of the intermediate trend. For instance, with our trend indicator installed, the 25 x 25 system made $53,000 over 10 years with an accuracy of 76%, and had an average trade of $1,829. This indicator included a requirement for the ADX to be above 20. To assess the impact of an uptrend in trading the Bond market from the long side, we eliminated the ADX requirement and reversed the rules of the system so that it only took trades when the +DI was below -DI, indicating a downtrend. The results are illuminating: trading the Bond market with all the same entry signals but during a downtrend as defined as -DI being above +DI produced losses of $781 over 10 years of trading, with a dismal accuracy of 29%, an average trade of -$6, and a drawdown of $25,000! You clearly do not want to be buying the Bond market using this technique in an intermediate downtrend. We have mentioned the value of the ADX value in assessing the strength of the uptrend. To see the impact of the ADX value, we re-tested the system to see how it would perform if the ADX were below 20 while maintaining the requirement for the +DI to be above the -DI. When the ADX is below 20 in a prevailing uptrend (as defined by the +DI and -DI relationship), the system only made $8,900, was only 47% accurate, and had an average trade of only $595 and a drawdown of $6,500, a significant deterioration of results. We conclude that an uptrend indication on a trend indicator such as the DI only gives average results; however, combining the trend indicator with an ADX value is significantly superior because the ADX level serves to filter out periods of sideways markets.

Retracement Indicator The second indicator we have adopted is the 4-day RSI (Welles Wilder's Relative Strength Index) which we use to identify a short-term dip in the market prices during the prevailing uptrending Bond market. We use the RSI because of its popularity and inclusion in most charting applications. Mr Wilder described a longer-term RSI, and our choice of a 4-day RSI reflects our design intention of identifying short-term retracements that would set up high probability trades. The RSI oscillates between a minimum and maximum value of 0 and 100. When the RSI declines to below 50 (the midpoint), we have defined a short-term decline in the market. Does the short-term decline, as measured by the 4-day RSI falling below 50 actually make that much difference to trading this market? To study the difference, we ran another test on the system with the exact same rules, but eliminating the 4-day RSI rule. The tests over 10 years of data showed a profit of $22,400 over 51 trades, with

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an accuracy of 51%, an average trade of $440, and a drawdown of $9,200. The results are striking: by eliminating the retracement indicator and entering the markets at any point during an uptrend, the system makes less than half of the profits made when entering on a short-term decline. The average trade declined to less than 25% of the average trade when entering during a retracement! ($440 as compared with $1,800). We concluded therefore that in an uptrending Bond market, waiting for a short-term decline or dip in prices to set up a long trade is preferable to entering the trend on strength.

Entry Trigger With the +DI, -DI and ADX rules in place, and a short-term market decline measured by the RSI, we have identified a market situation that is highly bullish. What we require next is a very short term indicator that will get us into the market. In our opinion, this particular indicator is the least important. It only serves to time our entry a bit more precisely. In fact, our tests show that you could ignore this entry trigger, and just enter the trade on the opening of the next trading day after the ADX and RSI setups are present, to get a profit of $49,600 over 10 years and 57% accuracy with an average trade of $974, a drawdown of $6,000, and a profit factor of 2.63! Entering on the open would have traded 51 times over the last 10 years, significantly more than the 29 trades with our 18-tick entry rule. But entering on the opening after a decline has its difficulties, especially if the market continues to decline. On a psychological level, many traders (including us) are more comfortable knowing that the market is moving up in the direction of the trade before entering the position. Hence the logic of our entry trigger: to wait till the market proves itself by rallying 18 ticks from the previous day's close before we enter the trade. This is a significant rally, but forcing the prices to rally significantly before entering enables the system to produce a much higher percentage (76% over 10 years) of winning trades. There is no particular magic about the 18-tick number. In fact to test the robustness of this entry parameter, we ran a series of tests using the same entry rules, and varying the entry trigger from 2-ticks to 36-ticks above the closing price. The results are presented in Table 2 below. The most significant fact of the optimization is that all the tests are profitable, which is a good indicator of a parameter robustness. Significantly also, all tests have large average trades exceeding $1,000 per trade, and all tests show profit factors better than 2.50, and no drawdown on any test is greater than $6,000. It probably does not matter how many ticks above the close you decide to take for the entry point. As mentioned previously, even blindly entering on the opening is profitable over the historical data. Also, we could trade more frequently if we acted on smaller moves above the previous close, but we would expect to have a lower percentage of winners. For instance, we could have chosen a smaller move of 8 ticks above the close to get a profit of $52,500 on more trades (40 trades), but with a lower accuracy rate (68%) and a slightly higher drawdown ($5,600). Since all tests are profitable, if a trader wishes to deviate from the published system, we will leave it up to the individual trader to decide which profile of trades bests suits him.

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Ticks Net Profit Avg Trde PFact MaxDD #Trds %Prft 2.00 54712.50 1189.40 2.93 -5168.75 46 61 4.00 54087.50 1175.82 2.95 -4825.00 46 59 6.00 48475.00 1101.70 2.66 -5606.25 44 61 8.00 52562.50 1314.06 3.39 -5668.75 40 68 10.00 48575.00 1278.29 3.39 -5731.25 38 68 12.00 49300.00 1332.43 3.72 -5793.75 37 70 14.00 51375.00 1467.86 4.69 -3881.25 35 71 16.00 48837.50 1575.40 5.40 -4256.25 31 71 18.00 53068.75 1829.96 7.17 -3381.25 29 76 20.00 46100.00 1589.66 5.01 -4037.50 29 72 22.00 46700.00 2030.43 7.64 -4100.00 23 78 24.00 46362.50 2107.39 8.66 -4131.25 22 82 26.00 39306.25 1871.73 6.11 -4193.75 21 76 28.00 30787.50 1620.39 4.71 -4256.25 19 68 30.00 15343.75 1022.92 2.52 -4318.75 15 60 32.00 17637.50 1356.73 3.05 -4381.25 13 62 34.00 16400.00 1490.91 3.02 -4443.75 11 64 36.00 12281.25 1228.13 2.50 -4506.25 10 60

Testing the Entry Technique Often, when we want to study the effectiveness of an entry technique by itself, we do optimization tests on the entry technique and exit simply at a close X days in the future. This often gives a good indication of the profit potential of any entry technique. The percentage of winning trades is a good indication of the efficiency of the entry technique. Table 3 below presents the results of the entry technique described above, and exiting at the Xth close after the entry. These tests do not include any money management stops or any other risk-management strategies. Notice that all exits were profitable except an exit on the first close, which amounts to exiting on the close of the day of entry. You certainly do not want to be day-trading with this trend-following technique! Notice the high accuracy rates of 85 to 90% when the trade is held 20 days or more. For instance, if you exited each trade on the 22nd close, you would make $54,800 with a 91% accuracy rate and a drawdown of less than $5,500! And this is accomplished without any stop! We can conclude that this entry technique predicts,with almost 85 to 90 percent accuracy, a resumption of the trend that lasts between 20 to 25 days

Table 3. Results of the Entry Technique and Exiting on Xth Close. X NetPrft AvgTrd PFact MaxDD #Trds %Prft

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1.00 -412.50 -5.81 .96 -3900.00 71 45 2.00 2506.25 36.32 1.15 -4243.75 69 51 3.00 3231.25 51.29 1.18 -5493.75 63 52 4.00 9562.50 173.86 1.75 -4781.25 55 64 5.00 14925.00 287.02 2.30 -4043.75 52 63 6.00 21343.75 426.88 3.21 -3518.75 50 66 7.00 24650.00 535.87 3.05 -4056.25 46 65 8.00 31350.00 712.50 3.77 -3650.00 44 73 9.00 22481.25 522.82 2.73 -4212.50 43 60 10.00 21325.00 495.93 2.49 -5337.50 43 58 11.00 21418.75 498.11 2.51 -6431.25 43 63 12.00 27868.75 679.73 3.34 -4687.50 41 66 13.00 24187.50 604.69 2.73 -6081.25 40 63 14.00 19731.25 519.24 2.04 -7181.25 38 58 15.00 20768.75 561.32 2.11 -7393.75 37 70 16.00 25737.50 695.61 2.58 -7050.00 37 68 17.00 37000.00 1057.14 4.49 -5468.75 35 71 18.00 40631.25 1195.04 4.75 -5468.75 34 74 19.00 46162.50 1357.72 6.23 -5468.75 34 79 20.00 52793.75 1599.81 7.52 -5468.75 33 85 21.00 57168.75 1732.39 8.29 -5468.75 33 85 22.00 54862.50 1714.45 7.92 -5468.75 32 91 23.00 56618.75 1826.41 9.00 -5468.75 31 90 24.00 53318.75 1838.58 8.27 -5468.75 29 90 25.00 56168.75 2006.03 7.45 -5468.75 28 86 26.00 54075.00 1931.25 6.01 -5468.75 28 79 27.00 52325.00 1868.75 6.45 -5468.75 28 79 28.00 51043.75 1822.99 6.83 -5468.75 28 75 29.00 47893.75 1773.84 5.92 -5468.75 27 78 30.00 47581.25 1762.27 6.38 -5468.75 27 78 The Exit Techniques For the exits we have included a $2,500 money management stop, which attempts to limit the worst possible loss sustainable on any particular trade. We are always most comfortable trading with stops that will limit the maximum dollar loss on any trade, although we realize that this protection may be limited if the market gaps against the position overnight. We have chosen $2,500 as the dollar-stop in this system. This is a large stop designed to avoid whipsaws, and it has only been hit once in the last 10 years. In spite of the fact that this stop is rarely triggered we believe it is essential and its presence makes us comfortable. We recommend dollar stops on all systems to protect against catastrophic losses. The second exit strategy is a common one: the channel low exit. In this case we have chosen the low of the last 25 market days. Again, the exact number of days is probably unimportant; the concept of trailing a stop at a low point in the market is very popular and has been used successfully by market technicians for a long time. If we merely installed the $2,500 dollar stop and the 25-day channel low exit, the

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system makes $43,000 over 10 years of trading, with 18 trades. The average bars in winners is 67, which is a relatively long period, and the average bars in losers is 14, showing that the trailing exit effectively cuts losses short and lets profits run. The system is 67% accurate, and has a huge average trade of $2,400. The ratio of average win to loss with this exit is 3.78. While this variant of the system is profitable and tradable on its own, it suffers from several disadvantages: Firstly, it holds trades for a very long period. To take a profit on a winning trade, a trader would have to hold through an average of 67 days. This may not be psychologically appealing for many traders. But secondly, and even worse, the exit is inefficient in that it frequently gives up large amounts of open profits, since it always requires the market to reverse to a 25-day low before signalling an exit. We have frequently seen trades give up one-third, or half, or all of their open profits before exiting a trade on a trailing channel stop. In addition to suffering a "roller coaster" sensation while waiting for a profitable trade to retrace to a 25-day low, many winning trades could turn into losses because of the slow exit. This would not make us comfortable in spite of the potential profits. A simple twist to the exit strategy allows us to reduce the number of days in the average holding period, increase total profits, increase the accuracy to 72%, and trade more frequently. The technique is this: we will wait patiently for a trade to develop over a specific number of days, using the conventional dollar and channel stops, and then switch to a tighter channel stop to effect a quick exit. Specifically, we will install the 25-day channel low exit for the first 25 days of a trade (count the day of entry as day 1), and on the 26th day, we will change the exit technique to a much tighter stop at the lowest low of the last 2 days. This dramatic hange will obviously trigger a more sensitive exit but will still allow us to maintain our position in a fast moving market. We must also remember that our goal in trading is most directly related to the size of the profit and not to the average holding period. Holding a trade longer may be best in most cases but not in all. For those cases where we are fortunate enough to have a large profit in less than 25 days we want to raise our stop to protect those profits regardless of how long we have been in the trade. We have defined a large profit as a profit of 5 average true ranges or more. Once our open profit on a closing basis reaches this level we will implement our 2 day low exit regardless of the number of days in the trade. The combination of the $2,500 dollar stop, the 25-day lowest low stop, and the switch in exits after 25 days creates a unique exit strategy which leads us to the name for this system.

Conclusion This report has presented several profitable concepts for trading Bonds, which we believe should be equally applicable in other markets. For example, we have observed that minor variations of this system work well in testing over data in T Notes and Swiss Francs. We have shown the impact of a strong prevailing trend on winning trades and recommend taking long trades only when the trend is clearly and strongly up. In spite of the strong trend we have also shown that it is more advantageous to

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wait for a decline in prices during the uptrend in order to set up a high-probability entry point. Also, we have shown how a simple adaptation of an age-old exit technique can increase profitability and accuracy, while reducing the average holding period per trade. We hope that this system as well as all our systems will be profitable in the future. There are no guarantees. Constructing systems that perform well over past data is relatively easy once you learn a few basic rules. But in addition to showing great hypothetical performance, our goal is to develop systems that will serve our club members as valuable learning tools and hopefully produce reasonably good results over the unseen data in the future. Please give us your comments and suggestions about this system and other systems that you would like to see.

MetaStock Efficiency Issues In order to implement the system several techniques were required that slow performance considerably. Daily commentaries suffer the most. On fast Pentium II processors the delays are bearable, but on a 486 processor it may take 3-5 minutes to update a commentary. System testing with a large data set requires a lot of patience. If charts are limited to a years daily data (250 bars more or less), delays will be minimized. Commentaries need only be enabled on setup and actual trade days. Keep open charts to a minimum.

Overview of MetaStock implementation The 25x25 Bond System enters and exits trades at intraday prices. In order to create a MetaStock 6.50 version it was necessary to develop several indicators to keep track of the intraday entry and exit prices. While this sounds simple enough, MetaStock does not provide global variables or allow circular procedure referencing which would greatly simplify the task. On top of these shortcomings, MetaStock imposes tremendous processing overhead by not allowing variable assignments within structured code. This means that all values that might be needed in a procedure must be calculated ahead of time, whether required or not, and are constantly updated when referencing previous values. The 25x25 system only takes long trades. This MetaStock 6.50 system is designed as a template for more complex systems taking both long and short trades based on intraday prices and complex entry/exit procedures. The main indicator is 25x25 LongEntry which returns the entry price for a trade for each day in the trade. A zero value indicates no position. The exit day is signaled by setting the entry price negative. Thus, the value returned by a single fml(25x25 LongEntry) statement tells you the market position, the entry price, and whether its the last day of a trade or not, and can be used to calculate a trades open profit and days in the trade. This indicator is the heart of the system. It should be carefully studied to understand how it decides when to enter a trade and whether to continue or exit the trade. It stands alone and the other indicators depend on it.

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The second indicator is 25x25 LongExit which returns the exit price when 25x25 LongEntry returns a negative value. It simply recalculates the exit stop value which triggered a 25x25 LongEntry negative value. The result is only used to determine a trades closed profit. These two indicators may seem redundant for the 25x25 System, but the technique allows for more complex systems that may stop and reverse on intraday prices. By building corresponding ShortEntry and ShortExit indicators almost any system can be modeled. A third indicator, 25x25 TP, returns the Trade Position and all other variables needed by the MetaStock Expert. While not efficient, the Expert allows the system to be traded without the need to plot the indicators. Since MetaStocks System Tester does not handle intraday prices, it cant test the 25x25 performance. The 25x25 Equity indicator allows the user to plot an equity curve but, unfortunately, a trade by trade report cannot be generated. This indicator is not required by the system and should only be plotted when testing. The 25x25 Stop indicator is another stand alone indicator not required by the system but which is very helpful in seeing the stop values while in a trade. Unlike the other indicators, which should be plotted in separate windows, the 25x25 Stop can be plotted directly on the daily bar chart. It should be plotted as a dashed line. Note that stop values for days with no trade position are plotted as the days low value just to keep the chart properly scaled. Discrepancies between MetaStock and TradeStation Results MetaStock and TradeStation do not compute several indicators exactly the same. In order to duplicate the TradeStation design as closely as possible, the following MetaStock indicators were modified: Relative Strength Index (RSI(4)) results are rounded to two decimal places with the following code: PREC(RSI(4) + .005, 2) Average True Range(ATR(45)) smoothing is removed with the following code: Mov(ATR(1), 45, S) Even with these modifications not all 25x25 trades are exactly matched. However, they are very close. MetaStocks ten year test equity is $51,556.27 compared to TradeStations $53,068.75.

********************************************************************* ************ {METASTOCK CODE} {Chuck Le Beau's System Trader's Club} { http://traderclub.com }

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{ mailto:chuck@traderclub.com }

25X25 LongEntry {Returns long trade entry price. } {A non-zero number if in a long trade. } {A negative value if the last day of a trade. } {Note: Modifications to MetaStock indicators } {were req'd to simulate TradeStation results } { RSI: rounded to two decimal places } { ATR: Wilder's smoothing removed } {Variables to avoid duplicate function calls } PLLV2 := Ref(LLV(L,2),-1); PLLV25 := Ref(LLV(L,25),-1); { Was yesterday a setup day? } IsSetUp := Cum(1) > 50 AND Ref(PDI(14),-1) > Ref(MDI(14),-1) AND Ref(ADX(14),-1) > 20 AND PREC(Ref(RSI(4),-1)+.005,2) < 50; {Determine initial entry price condition} EntryPriceCond := Ref(C,-1) + 0.5625; {Adjust it to enter on open if open is greater} EntryPriceCond := If(O > EntryPriceCond, O, EntryPriceCond); {Return entry price, zero if no trade. } If(PREV <= 0, {Not in a long trade} If(IsSetUp AND H >= EntryPriceCond, {Trade entered today, was it stopped?} If(L <= PLLV25 OR L <= EntryPriceCond - 2.5, -EntryPriceCond, {Yes} EntryPriceCond {No} ), {Not in trade and not entered today} 0 ), {Have been in trade for over one day. } {Was it stopped today? } {Note: BarsSince() gives days in trade }

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If(L <= PREV - 2.5, - PREV, If(BarsSince(PREV=0) > 24, {More than 24 days in trade} If(L <= PLLV2, -PREV, PREV), {Less than 25 days in trade} If(L <= PLLV25, -PREV, If(Ref(C,-1) - PREV > 5*Ref(Mov(ATR(1),45,S),-1), If(L <= PLLV2, -PREV, PREV), PREV ) ) ) ) ); 25x25 Long Exit {Returns exit price if last day of long trade} EntryPrice := Fml("25x25 LongEntry"); ExitingTrade := EntryPrice < 0; EntryPrice := Abs(EntryPrice); {Variables to avoid duplicate function calls } {Lowest low of previous two days } PLLV2 := Ref(LLV(L,2),-1); {Lowest low of previous 25 days } PLLV25 := Ref(LLV(L,25),-1); TradeDays := If(EntryPrice > 0, BarsSince(Fml("25x25 LongEntry") = 0), 0); { Determine type of stop(s) } Stop1 := ExitingTrade AND TradeDays>24 AND L<=PLLV2; Stop2 := ExitingTrade AND TradeDays>0 AND TradeDays<=24 AND L<=PLLV25; Stop3 := ExitingTrade AND L <= EntryPrice - 2.5; Stop4 := ExitingTrade AND Ref(C,-1) - EntryPrice > 5*Ref(Mov(ATR(1),45,S),-1) AND L <= PLLV2; { Determine prices for activated stops } Stop1Price := If(Stop1, Min(O, PLLV2), 0); Stop2Price := If(Stop2, Min(O, PLLV25), 0);

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Stop3Price := If(Stop3, Min(O, EntryPrice - 2.5), 0); Stop4Price := If(Stop4, Min(O, PLLV2), 0); { Assume best stop price stopped the trade } StopPrice := Max(Stop1Price,Max(Stop2Price, Max(Stop3Price,Stop4Price))); If(ExitingTrade, StopPrice, 0); 25x25 TP { Calculate today's trade position and other } { values used by the expert. } { LE = LongEntryPrice from indicator } { SULE = Tommorow's LongEntry if setup day } { SULS = Tommorow's LongStop if setup day } { TP = TradePosition +1,0 } { TLS = Tomorrow's LongStop if in trade } { PRFT = Trade Profit } { RISK = Tommorow's theoretical capital risk }

LE := Fml("25x25 LongEntry"); TP := If(LE <> 0, +1, 0); PRFT := If(LE = 0, 0, If(LE > 0, C - LE, Fml("25x25 LongExit") + LE)); TradeDays := If(LE <> 0, BarsSince(Fml("25x25 LongEntry") = 0), 0); {Calculate tomorrow's entry prices } SULE := If(TP = 0, If(PDI(14) > MDI(14) AND ADX(14) > 20 AND PREC(RSI(4)+.005,2) < 50, C + .5625, 0), 0); {Calculate initial stop price} SULS := If(SULE <> 0, Max(LLV(L,25), SULE-2.5), 0); {Calculate tomorrow's stops } S1 := If(LE > 0, If(TradeDays >= 24, LLV(L,2),

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LLV(L,25)), 0); S2 := If(LE > 0, LE - 2.5, 0); S3 := If(LE > 0 AND PRFT >= 5*Ref(Mov(ATR(1),45,S),-1), LLV(L,2), 0); {Tomorrow's Long Stop} TLS := Max(S1, Max(S2, S3)); PRFT := PRFT * 1000; RISK := If(LE > 0, (LE-TLS)*1000, If(SULE <> 0, (SULE-SULS)*1000, 0)); TP;

********************************************************************* ******************* The following Trade by Trade Report was produced using the data supplied with this archive which is continuous contract, back-adjusted, day session only, Bond futures data. Bond "25" System UA.LNG-Daily 01/04/88 - 01/16/98 Date Time Type Cnts Price Signal Name Entry P/L Cumulative 06/22/88 Buy 1 64^10 07/13/88 LExit 1 62^22 L25 $ -1725.00 $ -1725.00 09/29/88 Buy 1 64^24 11/04/88 LExit 1 67^10 $ 2462.50 $ 737.50 05/05/89 Buy 1 67^23 06/15/89 LExit 1 73^13 $ 5587.50 $ 6325.00 06/20/89 Buy 1 73^14 08/03/89 LExit 1 77^21 $ 4118.75 $ 10443.75 08/15/89 Buy 1 74^12 08/22/89 LExit 1 73^24 L25 $ -725.00 $ 9718.75 08/23/89 Buy 1 74^08 08/29/89 LExit 1 73^17 L25 $ -818.75 $ 8900.00 10/19/89 Buy 1 76^14 11/27/89 LExit 1 77^01 $ 493.75 $ 9393.75 06/26/90 Buy 1 71^13 07/10/90 LExit 1 70^27 L25 $ -662.50 $ 8731.25 11/09/90 Buy 1 70^14 12/17/90 LExit 1 74^23 $ 4181.25 $ 12912.50

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08/28/91 Buy 1 77^31 10/03/91 LExit 1 80^22 $ 2618.75 $ 15531.25 11/06/91 Buy 1 80^05 12/13/91 LExit 1 82^05 $ 1900.00 $ 17431.25 01/17/92 Buy 1 84^16 01/29/92 LExit 1 83^07 L25 $ -1381.25 $ 16050.00 05/29/92 Buy 1 83^25 07/08/92 LExit 1 86^13 $ 2525.00 $ 18575.00 07/15/92 Buy 1 86^17 08/21/92 LExit 1 89^22 $ 3056.25 $ 21631.25 12/29/92 Buy 1 91^18 02/10/93 LExit 1 93^31 $ 2306.25 $ 23937.50 02/11/93 Buy 1 93^31 03/22/93 LExit 1 97^17 $ 3462.50 $ 27400.00 08/09/93 Buy 1 104^20 09/15/93 LExit 1 108^25 $ 4056.25 $ 31456.25 12/13/94 Buy 1 94^05 01/20/95 LExit 1 94^15 $ 212.50 $ 31668.75 02/10/95 Buy 1 97^04 03/21/95 LExit 1 99^06 $ 1962.50 $ 33631.25 03/24/95 Buy 1 99^02 05/11/95 LExit 1 104^04 $ 4962.50 $ 38593.75 06/13/95 Buy 1 108^18 07/19/95 LExit 1 107^31 $ -693.75 $ 37900.00 09/19/95 Buy 1 110^13 10/27/95 LExit 1 112^05 $ 1650.00 $ 39550.00 10/27/95 Buy 1 112^31 12/07/95 LExit 1 116^16 $ 3431.25 $ 42981.25 08/16/96 Buy 1 108^22 08/26/96 LExit 1 106^06MM $ -2600.00 $ 40381.25 10/11/96 Buy 1 108^17 11/25/96 LExit 1 113^02 $ 4431.25 $ 44812.50 05/08/97 Buy 1 108^21 06/18/97 LExit 1 110^22 $ 1931.25 $ 46743.75 06/27/97 Buy 1 110^28 08/04/97 LExit 1 113^28 $ 2900.00 $ 49643.75 09/26/97 Buy 1 115^14 11/03/97 LExit 1 117^05 $ 1618.75 $ 51262.50 11/06/97 Buy 1 117^15 12/17/97 LExit 1 119^12 $ 1806.25 $ 53068.75 12/31/97 Buy 1 120^05 To view an equity chart based on the above trades go to: http://www.traderclub.com/systems_25.htm PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.

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HYPOTHETICAL OR SIMULATED PERFORMANCE RESULTS HAVE CERTAIN INHERENT LIMITATIONS. UNLIKE AN ACTUAL PERFORMANCE RECORD, SIMULATED RESULTS DO NOT REPRESENT ACTUAL TRADING. ALSO, SINCE THE TRADES HAVE NOT ACTUALLY BEEN EXECUTED, THE RESULTS MAY HAVE UNDER-OR-OVER COMPENSATED FOR THE IMPACT, IF ANY, OF CERTAIN MARKET FACTORS SUCH AS LACK OF LIQUIDITY. SIMULATED TRADING PROGRAMS IN GENERAL ARE ALSO SUBJECT TO THE FACT THAT THEY ARE DESIGNED WITH THE BENEFIT OF HINDSIGHT. NO REPRESENTATION IS BEING MADE THAT ANY ACCOUNT WILL OR IS LIKELY TO ACHIEVE PROFITS OR LOSSES SIMILAR TO THOSE SHOWN. COMMON METASTOCK BAR PATTERNS BAR - 3 Higher Highs H>Ref(H,-1) AND Ref(H,-1)>Ref(H,-2) AND Ref(H,-2)>Ref(H,-3) BAR - 3 Lower Lows & Reversal H L>Ref(L,-1) AND Ref(L,-1)<Ref(L,-2) AND Ref(L,-2)<Ref(L,-3) AND Ref(L,-3)<Ref(L,-4) BAR - 3 Lower Lows L<Ref(L,-1) AND Ref(L,-1)<Ref(L,-2) AND Ref(L,-2)<Ref(L,-3) BAR - 5 Lower Lows L<Ref(L,-1) AND Ref(L,-1)<Ref(L,-2) AND Ref(L,-2)<Ref(L,-3) AND Ref(L,-3)<Ref(L,-4) AND Ref(L,-4)<Ref(L,-5) BAR - Expansion Buy If(C > Ref(HHV(C,42),-1) AND H-L >= Ref(HHV((H-L),9),-1),1,0) BAR - Expansion Sell If(C < Ref(LLV(C,42),-1) AND (H-L) >= Ref(HHV((H-L),9),-1),1,0) BAR - Fractal-down If(LOW < Ref(LOW, -1),1,0) AND If(LOW < Ref(LOW, -2),1,0) AND If(LOW < Ref(LOW,+1),1,0) AND If(LOW < Ref(LOW,+2),1,0) BAR - Fractal-up (If(HIGH > Ref(HIGH, -1),1,0) AND If(HIGH > Ref(HIGH, -2),1,0) AND If(HIGH > Ref(HIGH, +1),1 ,0)AND If(HIGH > Ref(HIGH,+2),1,0)) BAR - Gap Down GapDown() BAR - Gap Up GapUp() BAR - H > Yesterday's H H>Ref(H,-1)

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BAR - Highest Bars Ago HighestBars(CLOSE) BAR - Highest High Value Bars Ago HHVBars(CLOSE,50) BAR - Inside Day + Day 3 Ref(Fml("BAR - Inside Day"),-3) BAR - Inside Day HIGH < Ref(HIGH,-1) AND LOW > Ref(LOW,-1) BAR - Lizard Buy If(O >= L + ((H-L) * .75) AND C >= L + ((H-L) * .75) AND L < Ref(LLV(L,9),-1),1,0) BAR - Lizard Sell If(O <= L + ((H-L) * .25) AND C <= L + ((H-L) * .25) AND H > Ref(HHV(H,9),-1),1,0) BAR - Narrow Range 4 HIGH - LOW < Ref(LLV(H-L,3),-1) BAR - Narrow Range 7 HIGH - LOW < Ref(LLV(H-L,6),-1) BAR - O > Yesterday's C O>Ref(C,-1) BAR - Outside Day & > C Outside() AND C>Ref(C,-1) BAR - Outside Day HIGH > Ref(HIGH,-1) AND LOW < Ref(LOW,-1) BAR - Pivot Buy If(H-L > Ref(HHV((H-L),9),-1) AND ((L <= Mov(C,50,S)) OR Ref(L,-1) <= Ref(Mov(C,50,S),-1)) AND C > Mov(C,50,S),1,0) BAR - Pivot Sell If(H-L > Ref(HHV((H-L),9),-1) AND ((H >= Mov(C,50,S)) OR Ref(H,-1) >= Ref(Mov(C,50,S),-1)) AND C < Mov(C,50,S),1,0) BAR - Reaction Day with Volume ReactionWithVol()

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BAR - Reaction Day Reaction() BAR - Surprise Day Down O<Ref(C,-1) AND C>O AND C<Ref(C,-1) BAR - Surprise Day Up O>Ref(C,-1) AND C<O AND C>Ref(C,-1) BAR - Trough Value - 5 Trough(1,CLOSE,5) BAR - Typical Price Typical() (from Walter Lake} METASTOCK FORMULA FOR THE MIESAL INDICATOR

"It's a short term timing tool. It's not worth using for long term investors. Some have also suggested using periods of 25 or 50 days, though I use only 10 days. Others have suggested it's very useful when used in conjunction with Welles Wilder's RSI." Sum(If(C > Ref(C,-1), +1, If(C < Ref(C,-1), -1, 0)),10) Entry/Exit signal buy: Fml("CCIF-P")>Ref(Fml("CCIF-P"),-1) AND Cross(Fml("CCIF-P"),-100) OR Cross(Fml("CCIF-P"),100) sell: Fml("CCIF-P")<Ref(Fml("CCIF-P"),-1) AND Cross(100,Fml("CCIF-P")) OR Cross(-100,Fml("CCIF-P")) {horizontal lines @ -100 & +100} where: {"CCIF-P" is} (CCI(8)+CCI(13)+CCI(21))/3 {from Mike Arnoldi} UPDATE MIXED BALANCE POINT KRAUSE I have updated some of the code since my last post concerning the TASC articles written by Robert Krausz. The code now plots on the proper days

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(instead of 1 day ahead) and they should also be more efficient to calculate. These are named different so you should delete the old code after you have installed the new. I will also post a follow up with a graphic to show how these plot. Note: the formulas on the Equis web page WILL NOT calculate for missing days (Holidays). from Adam Hefner. VonHef@email.msn.com --------------------------------------MTF - FIXED BALANCE POINT name: MTF-Fixed Balance Point {Multiple Time Frame "Fixed Balance Point" 4/23/99} Dw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); Wt:=If(Dw=1, {then}(Ref(HighestSince(1,Dw=1,H),-1)+ Ref(LowestSince(1,Dw=1,L),-1) + Ref(C,-1))/3, {else}0); DwP:=ValueWhen(1,Wt>0,Wt); Dwp -------------------------------------------MTF-Fixed Balance Point Step {Multiple Time Frame "Fixed Balance Point Step" 4/23/99} Dw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); Wt:=If(Dw=1, {then}(Ref(HighestSince(1,Dw=1,H),-1)+ Ref(LowestSince(1,Dw=1,L),-1) + Ref(C,-1))/3, {else}0); DwPs:=(ValueWhen(1,Wt>0,Wt)+ ValueWhen(2,Wt>0,Wt)+ ValueWhen(3,Wt>0,Wt)+ ValueWhen(4,Wt>0,Wt)+ ValueWhen(5,Wt>0,Wt))/5; Dwps -----------------------------------------------MTF-Dynamic Balance Point {Multiple Time Frame

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Dynamic Balance Point 4/23/99} dt:=DayOfWeek(); dc:=If(Dt=1,BarsSince(Ref(dt,-1)=1)+1, If(Dt=2,BarsSince(Ref(dt,-1)=2)+1, If(Dt=3,BarsSince(Ref(dt,-1)=3)+1, If(Dt=4,BarsSince(Ref(dt,-1)=4)+1, BarsSince(Ref(dt,-1)=5)+1)))); DBC:=If(dc=5, {then}(Ref(HighestSince(5,dt,H),-1)+ Ref(LowestSince(5,dt,L),-1)+ Ref(CLOSE,-1))/3, {else}(Ref(HighestSince(4,dt,H),-1)+ Ref(LowestSince(4,dt,L),-1)+ Ref(CLOSE,-1))/3); DBC -----------------------------------------------MTF-Dynamic Balance Point Step {Multiple Time Frame Dynamic Balance Point Step 4/23/99} Dr:= FmlVar("MTF-Dynamic Balance Point","DBC"); Dsc:=(ValueWhen(1,Dr,Dr)+ ValueWhen(5,Dr,Dr)+ ValueWhen(10,Dr,Dr)+ ValueWhen(15,Dr,Dr)+ ValueWhen(20,Dr,Dr))/5; Dsc -------------------------------------------------Multiple Time Frame Weekly Support & Resistance MTF-S&R {Multiple Time Frame "Weekly Support & Resistance" 4/23/99} Dw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); Wt:=If(Dw=1, {then}(Ref(HighestSince(1,Dw=1,H),-1)+ Ref(LowestSince(1,Dw=1,L),-1) + Ref(C,-1))/3, {else}0); Wh:=If(Dw=1, {then}Ref(HighestSince(1,Dw=1,H),-1), {else}0); Wl:=If(Dw=1, {then}Ref(LowestSince(1,Dw=1,L),-1), {else}0); Wr:=ValueWhen(1,Wh>0,Wh)-ValueWhen(1,Wl>0,Wl); DwP:=ValueWhen(1,Wt>0,Wt);

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MTF-Tendency Mt:=If(DayOfWeek()=1, Ref(C,-1)- FmlVar("MTF-Fixed Balance Point","DWP"), 0); If(Mt>0,1,If(Mt<0,-1,0)) --------------------------------------WEEKLY INDICATORS MetaStock Weekly Indicators I had basically put the weekly indicators on daily charts thing on the back burner for the time being, but someone mentioned the subject in an off list e-mail, and I decided that maybe I should post these two indicators. They look right to me, but double check them. Remember, they plot the previous weeks value beginning the first trading day of the following week, and that value remains constant throughout that week. These are designed for backtesting.....so if you just gotta know on this Friday evening what the weekly value of the indicator is going to be for the following week, simply look a weekly chart. Stochastic: The %K and %K slowing can be coded to accommodate more parameters by using the user Input function, but when you do this the %D always calculates using the default value of the %K slowing, giving erroneous values. So I just left it as is. Youcan plug in your own values...I just used the MetaStock default values as a starting point. I made the %K D as two separate indicators so that you can plot the %D a different color and/or dashed. The Momentum indicator uses the Input function just fine.

{`Wkly Stoch 5 per %K, slowing=3, no %D} {start week} sw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); yestClo:=If(sw>0,Ref(C,-1),0); {lowest low last 5 weeks}

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{5 per %K, slowing=3} y:=(ValueWhen(1,sw>0,(yestClo-LLow))+ ValueWhen(2,sw>0,(yestClo-LLow))+ ValueWhen(3,sw>0,(yestClo-LLow)))/ ((ValueWhen(1,sw>0,HHigh)+ ValueWhen(2,sw>0,HHigh)+ ValueWhen(3,sw>0,HHigh))(ValueWhen(1,sw>0,LLow)+ ValueWhen(2,sw>0,LLow)+ ValueWhen(3,sw>0,LLow)))*100; y;

===================== {`Wkly Stoch 3 per %D of a 5 per %K, slowing=3} {start week} sw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); yestClo:=If(sw>0,Ref(C,-1),0); {lowest low last 5 weeks} LLow:=(ValueWhen(1,sw>0, Ref(LowestSince(5,sw>0=1,L),-1))); {highest high last 5 weeks} HHigh:=(ValueWhen(1,sw>0, Ref(HighestSince(5,sw>0,H),-1)));

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ValueWhen(2,sw>0,LLow)+ ValueWhen(3,sw>0,LLow)))*100; {This plots the 3 period %D (ma) of the above.} z:=(ValueWhen(1,sw>0,y)+ValueWhen(2,sw>0,y)+ ValueWhen(3,sw>0,y))/3; z ======================== {`Wkly Momentum for DAILY Chart } {This plots WEEKLY Momentum on DAILY charts. -Ken 4/16/99} n:=Input("Periods",1,20,10); {start week} sw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); (ValueWhen(1,sw>0,Ref(C,-1))/ ValueWhen(n+1,sw>0, Ref(C,-1)))*100

from Ken MODIFIED WILLIAMS %R METATSOCK INDICATOR by Rajat Bose} Periods := Input("Time Period", 3,50,5); NumDev := Input("No. of Standard Deviations", 1,5,2); (100*(C-BBandBot(C, Periods, S, NumDev))/((( BBandTop(C, Periods, S, NumDev))-(BBandBot(C, Periods, S, NumDev))))) {All I have done here is to substitute High and Low of any bar with that of Bollinger Band Top and Bollinger Band Bottom. I have tested it on various time periods (for Bollinger Bands) using 2 standard deviations. It sometimes gives an early indication of reversals than the Williams %R of the same period. Divergences have also been somewhat better. However, the structure shows that most of its properties are similar to those of the Williams %R or, for that matter, of any other overbought-oversold indicator.} GUPPY MMA INDICATORS (Note this is not the same as the formula given in Trading Tactics. Daryl Guppy)

Try MMA (Multiple Moving Averages). The shorter ones are closer to the action and the longer ones tell you about the trend. I use two indicators like this:

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Name: MMA Long Term -------Mov(C,40,E); Mov(C,45,E); Mov(C,50,E); Mov(C,55,E); Name: MMA Short Term -------Mov(C,5,E); Mov(C,8,E); Mov(C,11,E); Mov(C,14,E);

In the current market I like taking short momentum trades where the MMA Short is bouncing up off a slowly rising MMA Long Term. The exit at the top of the bubble is indicated by MMA Short turning down after a good separation from the underlying MMA Long. from Jeff Lederman. {Suggestion: Create a single TEMPLATE with all the above indicators, giving SHORT and LONG MMAs separate colours; e.g., RED for the SHORTs and BLUE for the LONGs.} GANN SWING UPDATE This is an update to Gann-Swing indicators I had posted several months back. Most of the code has been improved and I have modified the swing definition slightly. Gann Weekly Expert Instructions 1. First create a new expert and name it whatever you want. 2a. under "trends" tab put this code for bullish: ut:=FmlVar("GANN-Trend","TDV"); uplot:=If(BarsSince(Ut=1)< BarsSince(Ut=-1),1,0); uplot=1; 2b. and this for bearish: dt:=FmlVar("GANN-Trend","TDV"); dplot:=If(BarsSince(dt=1)> BarsSince(dt=-1),1,0); dplot=1; Then click on the "ribbon" option and turn off "Display Vertical Lines", I also turn off

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the corner option. 3a. Under highlights tab create a new and call it "HiLo Change", choose color, and enter this code: HLd:=If(CLOSE>Ref(Mov(H,3,S),-1), {then}1, {else}If(CLOSE<Ref(Mov(L,3,S),-1), {then}-1, {else}0)); HLv:=ValueWhen(1,HLd<>0,HLd); HLv<>Ref(HLv,-1); 3b. Create new and call it "Up-Trend", choose color, and enter this code: ut:=FmlVar("GANN-Trend","TD"); uplot:=If(BarsSince(Ut=1)< BarsSince(Ut=-1),1,0); uplot=1; 3c. Create new and call it "Down-Trend", choose color, and enter this code: dt:=FmlVar("GANN-Trend","TD"); dplot:=If(BarsSince(dt=1)> BarsSince(dt=-1),1,0); dplot=1; 4a. Under "Symbols" tab create new and call it " UpSwing", enter this code: FmlVar("GANN-Swing","SD2")=1; then under graphic choose "Buy Arrow", choose color (Dark Green), and small size, then pick "Above Price Plot". 4b. Create new and call it "DownSwing", enter this code: FmlVar("GANN-Swing","SD2")=-1; then under graphic choose "sell arrow", choose color (Dark Red), and small size, then pick "Below Price Plot". As for the HiLo ....just plot it as a regular indicator and choose the last "style" option under "color/style" tab. Note: For daily bar charts ribbon use these formulas: 2a. ut:= FmlVar("GaW-Trend","TDV") ; uplot:=If(BarsSince(Ut=1)< BarsSince(Ut=-1),1,0); uplot=1; 2b. dt:= FmlVar("GaW-Trend","TDV") ; dplot:=If(BarsSince(dt=1)> BarsSince(dt=-1),1,0); dplot=1; from Adam Hefner. -----------------------------------------------------GANN-HiLo {HiLo 4/27/99}

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Lb:=Input("Look-Back Periods?",2,10,3); HLd:=If(CLOSE>Ref(Mov(H,Lb,S),-1), {then}1, {else}If(CLOSE<Ref(Mov(L,Lb,S),-1), {then}-1, {else}0)); HLv:=ValueWhen(1,HLd<>0,HLd); HiLo:=If(HLv=-1, {then}Mov(H,Lb,S), {else}Mov(L,Lb,S)); HiLo; -----------------------------------------GANN-Swing {Gann-Swing 4/27/99} {Market swing is defined as: Up = 2 higher highs, Down = 2 lower lows.} Us:=BarsSince(Sum(H>Ref(H,-1),2)=2); Ds:=BarsSince(Sum(L<Ref(L,-1),2)=2); Hc:=HighestSince(1,Us=0,H); Lc:=LowestSince(1,Ds=0,L); Sd1:=If(Us=0, {then}If((L<>Lc) AND (Ref(L,-1)<>Lc), {then}1, {else}0), {else}If(Ds=0, {then}If((H<>HC) AND (Ref(H,-1)<>Hc), {then}-1, {else}0), {else}0)); Sd2:=If(Sd1=1, {then} If(Ref(BarsSince(Sd1=1),-1) > Ref(BarsSince(Sd1=-1),-1), {then}1, {else}0), {else} If(Sd1=-1, {then}If(Ref(BarsSince(Sd1=1),-1) < Ref(BarsSince(Sd1=-1),-1), {then}-1, {else}0), {else}0)); TD1:=ValueWhen(1,Sd2<>0,Sd2); Td1; -------------------------------------------GANN-Trend {Gann-Trend 4/27/99}

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{Swing Direction} Sd:= FmlVar("GANN-Swing","TD1") ; {Swing Change High} Sch:=If(Sd=1 AND Ref(sd,-1)=-1, {then}1, {else}0); {Swing Change Low} Scl:=If(Sd=-1 AND Ref(Sd,-1)=1, {then}1, {else}0); {Peak Value} Pv:=If(Scl=1, {then}HighestSince(1,Sch=1,H), {else}0); {Trough Value} Tv:=If(Sch=1, {then}LowestSince(1,Scl=1,L), {else}0); {Trend Direction} Td:=If(H>ValueWhen(1,Pv>0,Pv), {then}1, {else}If(L<ValueWhen(1,Tv>0,Tv), {then}-1, {else}0)); {UpTrend=1 DownTrend =-1} Tdv:=ValueWhen(1,Td<>0,Td); Tdv -----------------------------------------GaW-Swing {Weekly Swing 4/27/99} {Market swing is defined as: Up = 2 higher highs, Down = 2 lower highs } {Weekly High/Low} Dw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); Wh:=If(Dw=1, {then}Ref(HighestSince(1,Dw=1,H),-1), {else}0); Wl:=If(Dw=1, {then}Ref(LowestSince(1,Dw=1,L),-1), {else}0); Hv1:=ValueWhen(1,Wh>0,Wh); Hv2:=ValueWhen(2,Wh>0,Wh); Hv3:=ValueWhen(3,Wh>0,Wh); Lv1:=ValueWhen(1,Wl>0,Wl); Lv2:=ValueWhen(2,Wl>0,Wl); Lv3:=ValueWhen(3,Wl>0,Wl); Us:=BarsSince((Hv1 > Hv2) AND (Hv2 > Hv3));

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Ds:=BarsSince((Lv1 < Lv2) AND (Lv2 < Lv3)); Hc:=Ref(HighestSince(1,Us=0 AND Ref(Us,-1)>0,H), -1); Lc:=Ref(LowestSince(1,Ds=0 AND Ref(Ds,-1)>0,L), -1); {Swing direction Calculation} Sd1:=If(Us=0 AND Dw=1, {then}If((Lv1<>Lc) AND (Lv2<>Lc), {then}1, {else}0), {else}If(Ds=0, {then}If((Hv1<>Hc) AND (Hv2<>Hc), {then}-1, {else}0), {else}0)); Sd2:=If(Sd1=1, {then} If(Ref(BarsSince(Sd1=1),-1) > Ref(BarsSince(Sd1=-1),-1), {then}1, {else}0), {else} If(Sd1=-1, {then}If(Ref(BarsSince(Sd1=1),-1) < Ref(BarsSince(Sd1=-1),-1), {then}-1, {else}0), {else}0)); TD1:=ValueWhen(1,Sd2<>0,Sd2); TD1 ------------------------------------------GaW-Trend {Weekly Trend 4/27/99} {Swing Direction} Sd:= FmlVar("GaW-Swing","TD1") ; {Swing Change High} Sch:=If(Sd=1 AND Ref(sd,-1)=-1, {then}1, {else}0); {Swing Change Low} Scl:=If(Sd=-1 AND Ref(Sd,-1)=1, {then}1, {else}0); {Peak Value} Pv:=If(Scl=1, {then}HighestSince(1,Sch=1,H), {else}0); {Trough Value} Tv:=If(Sch=1, {then}LowestSince(1,Scl=1,L),

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{else}0); {Trend Direction} Td:=If(H>ValueWhen(1,Pv>0,Pv), {then}1, {else}If(L<ValueWhen(1,Tv>0,Tv), {then}-1, {else}0)); {UpTrend=1 DownTrend =-1} Tdv:=ValueWhen(1,Td<>0,Td); Tdv

STOP LOSS INDICATOR periodsshort:=Input("periods if short",1,50,10); periodslong:=input("periods if long",1,50,10); HHV(H,periodsshort)-atr(periodsshort);{stop loss level for short positions} LLV(L,periodslong)+ATR(periodslong);{stop loss level for long positions} {by Eric Kendall} METASTOCK GAP UP FORMULAS

The MetaStock formulas to calculate these percentages are shown below. The first input is the minimum gap (e.g., 1%), and the second input is the gap increment (e.g., 1%, which would give you a range of 1-2%). To calculate gaps down, change the percentage to a negative. Formula to determine whether the closing price is equal to or exceeds the opening price on a gap day: MinGap := Input("Minimum gap to consider (%)",-10000,10000,1); GapIncrement := Input("Gap Increment (%)",0,100,1); LookingForGapUp := MinGap >= 0; LookingForGapDown := MinGap < 0; { Gap percentage } Gap := (OPEN - Ref(CLOSE,-1))/Ref(CLOSE,-1)*100; NumGaps := If(LookingForGapUp, Cum(Gap >= MinGap AND Gap < MinGap + GapIncrement), If(LookingForGapDown, Cum(Gap <= MinGap AND Gap > MinGap GapIncrement),0)); If(LookingForGapUp, Cum(If(Gap >= MinGap AND Gap < MinGap + GapIncrement,

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If(CLOSE >= OPEN, +1,0),0)), If(LookingForGapDown, Cum(If(Gap <= MinGap AND Gap > MinGap GapIncrement, If(CLOSE <= OPEN, +1, 0),0)), 0))/NumGaps*100; Formula to determine whether the daily range crosses the previous days close on a gap day: MinGap := Input("Minimum gap to consider (%)",-10000,10000,1); GapIncrement := Input("Gap Increment (%)",0,100,1); LookingForGapUp := MinGap >= 0; LookingForGapDown := MinGap < 0; { Gap percentage } Gap := (OPEN - Ref(CLOSE,-1))/Ref(CLOSE,-1)*100; NumGaps := If(LookingForGapUp, Cum(Gap >= MinGap AND Gap < MinGap + GapIncrement), If(LookingForGapDown, Cum(Gap <= MinGap AND Gap > MinGap GapIncrement),0)); If(LookingForGapUp, Cum(If(Gap >= MinGap AND Gap < MinGap + GapIncrement, If(LOW <= Ref(CLOSE,-1), +1,0),0)), If(LookingForGapDown, Cum(If(Gap <= MinGap AND Gap > MinGap GapIncrement, If(HIGH >= Ref(CLOSE,-1), +1, 0),0)), 0))/NumGaps*100; Formula to determine whether the following days open continues the gap trend: MinGap := Input("Minimum gap to consider (%)",-10000,10000,1); GapIncrement := Input("Gap Increment (%)",0,100,1); LookingForGapUp := MinGap >= 0; LookingForGapDown := MinGap < 0; GapYesterday := (Ref(OPEN,-1) - Ref(CLOSE,-2))/Ref(CLOSE,-2)*100; NumGapsthruYesterday := If(LookingForGapUp, Cum(GapYesterday >= MinGap AND GapYesterday < MinGap + GapIncrement), If(LookingForGapDown, Cum(GapYesterday <= MinGap AND GapYesterday > MinGap - GapIncrement),0)); If(LookingForGapUp, Cum(If(GapYesterday >= MinGap AND GapYesterday < MinGap + GapIncrement, If(OPEN > Ref(CLOSE,-1), +1,0),0)), If(LookingForGapDown, Cum(If(GapYesterday <= MinGap AND GapYesterday >

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Sideways Channels Exploration Periodicity: Daily Formulas ColumnA: Top Mov(Peak(1,H,1),45,S)-Ref(Mov(Peak(1,H,1),45,S),-45) ColumnB: Bottom Mov(Trough(1,L,1),45,S)-Ref(Mov(Trough(1,L,1),45,S),-45) Filter: ColA < 1 AND ColA > -1 AND ColB < 1 AND ColB > -1 Congestion Index ((HHV(C,80)-LLV(C,80))/LLV(C,80))*100 Consolidation breakout (upside) If(Ref(Fml("congestion index"),-5),<,10, {and} If(Fml("congestion index"),>=,10, {and} If(CLOSE,>,Ref(HHV(C,80),-5), {and} If(Mov(V,5,S),>=,1.5*(Ref(Mov(V,60,S),-5)), +1,0),0),0),0) Consolidation breakout (downside) If(Ref(Fml("congestion index"),-5),<,10{%},{and} If(Fml("congestion index"),>=,10{%}, {and} If(CLOSE,<,Ref(LLV(C,80),-5),{and} If(Mov(V,5,S),>=,1.5*(Ref(Mov(V,60,S),-5)),+1,0),0),0),0)

from Richard Estes STOCHASTIC AND RSI SYSTEM Mov((RSI(8)-LLV(RSI(8),8))/(HHV(RSI(8),8)-(LLV(RSI(8),8))),5,w)*100 A formula like this works best with confirming indicators. If the MACD 13-34-89 is above the zero line (purple line in window 2 above), it confirms and uptrend and the indicator is usually more accurate. If the MACD 13-34-89 is below the zero line, then a "short" indication from the StochRSI may give better results.StochRSI 13 also gives excellent indicators- in this index it had 4 out of 5 winning signals in two year period.

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The time between signals is of course longer. Check this method out on your favorite issues. from Andy G. andyg@megsinet.net BPDL TREND FILTER cum ((if ((mov((C-ref(C,-1)),21,s))>0,1,-1) * pwr(((mov((pwr(C-ref(C,1),2)),21,s))+1),.5)) + ((pwr(((pwr(C-ref(C,-1),2))+1),.5))) * if ((C>ref(C,-1)),1,-1)) (fml(" BPDL Trend Filter") - (ref((fml(" BPDL Trend Filter")),-21))) / ((hhv(fml(" BPDL Trend Filter"),21)) - (llv(fml("BPDL Trend Filter"),21))) BUY -1 SELL 1 PFE Indicator: Mov(If(C > Ref(C,-9), Sqr( Pwr( ROC(C,9,$),2) + Pwr(10,2)) / Sum( Sqr( Pwr( ROC(C,1,$),2) +1), 9),-Sqr( Pwr( ROC(C,9,$),2) + Pwr( 10,2)) / Sum(Sqr(Pwr(ROC(C,1,$),2) +1),9)) * 100,5,E) I use a 80, -80 trendline. I have stuck it in different things at different times. Right now I have it crossing -80 with MACD 4, 35,5, crossing, RSI(9) up one day, and selling pressure down one day. from Stephen Zodkov 21 Day trigger Look at these two oscillators in MSWIN, and compare them to Dahl. Put a 21 day EMA on each, think of the 21 day ema as a trigger. See what they tell you -- Dahl is long term, Ian is shortest term. Raschke Oscillator = Mov(Fml( "Raschke 3-10" ),16,E) where "Raschke 3-10" = Mov(C,3,S) - Mov(C,10,S) Ian Oscillator = (Mov(C,4,S)-Mov(C,9,S)) + (Mov(C,9,S)-Mov(C,17,S)) from Alton Stephens FibboGatto FG1: ((c+ref(c,-1)+ref(c,-2)+ref(c,-3)+ref(c,-5)+ref(c,-8)+ref(c,-13)+ref(c,-21)+ref(c,34)+ref(c,-55)+ref(c,-89)+ref(c,-144))/c)*-1 {{{adding closing price only on fib days 1,2,3,5,8,13,21,34,55,89 and 144 and then dividing by today's close}}} FG2:

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mov(((c+ref(c,-1)+ref(c,-2)+ref(c,-3)+ref(c,-5)+ref(c,-8)+ref(c,-13)+ref(c,-21)+ref(c,34)+ref(c,-55)+ref(c,-89)+ref(c,-144))/c)*-1,34,e) {{{ 34 period mov avg of above indicator}}} Look for crosses of the two indicators for positive or negatives. Now, there are many whipsaws. I don't recommend this as a *system* at all, just as an indicator. It really highlights some big moves but measuring it with the system test is useless. You must use this as ONE of the tools -- not THE tool. Regards, Jerry Gatto

Dynamic Zones {Zamansky&Stendahl's Dynamic Zones for MS6.5 (From the TASC July1997 article). First, for the Lookback Periods plot a 9-day RSI along with StDev adjusted rolling 70-day SMAs; e.g., as can be seen in the article's S&P500-example} PR:=Input("Enter Periods for RSI",1,100,9); PB:=Input("Enter Periods for BUY",1,100,70); PS:=Input("Enter Periods for SELL",1,100,70); UpZone:=Mov(RSI(PR),PS,S)+(1.3185 *Stdev(RSI(PR),PS)); LwZone:=Mov(RSI(PR),PB,S)-(1.3185 *Stdev(RSI(PR),PB)); UpZone; LwZone;

Most indicators use a fixed zone for buy and sell signals. Here's a concept based on zones that are responsive to past levels of the indicator.

One approach to active investing employs the use of oscillators to exploit tradable market trends. This investing style follows a very simple form of logic: Enter the market only when an oscillator has moved far above or below traditional trading levels. However, these oscillator-driven systems lack the ability to evolve with the market because they use fixed buy and sell zones. Traders typically use one set of buy and sell zones for a bull market and substantially different zones for a bear market. And therein lies the problem. Once traders begin introducing their market opinions into trading equations, by changing the zones, they negate the system's mechanical nature. The objective is to have a system automatically define its own buy and sell zones and thereby profitably trade in any market -- bull or bear. Dynamic zones offer a solution to the problem of fixed buy and sell zones for any oscillator-driven system.

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The algorithm for the dynamic zones is a series of steps. First, decide the value of the lookback period t. Next, decide the value of the probability Pbuy for buy zone and value of the probability Psell for the sell zone.

The area above and below the dynamic zones constitute the upper and lower 10% boundaries. The zones appear to evolve with the market because they use a rolling 70day period of indicator values in their construction. DAHL VARIATIONS Dahl Volume Trend Mov(C,55,VOL)-Ref(Mov(C,55,VOL),-15) PVT Dahl Trend: Mov((PVT()-Ref( PVT(),-15)),55,E) Smoothed OBV Vol 88: Mov((OBV()-Mov(OBV(),88,VOL)),55,E) OBV Dahl Trend: Mov((OBV()-Ref(OBV(),-15)),55,E) Compare each to ordinary Dahl or some other trend indicator. Remember, I put a 21 EMA trigger on each. from Alton Stephens Dahl oscillator I came up with the following to put Dahl into an oscillator format. It is the STOCHRSI formula, replacing RSI with a 55 day Dahl. Does this reflect your thinking on the indicator? It seems to lead changes in Dahl by a period or two, but doesn't seem as fast as the STOCHRSI indicator. Checking a few stocks in my database, there are very few times that it goes below zero, but it will 'peg out' at 100 for significant periods. Perhaps the 14 day smoothing is too short in relation to the 55 period primary indicator. A longer MA period seems to smooth it out significantly, which would seem to defeat the purpose of using an oscillator. Mov((mov(c,55,simp) - ref(mov(c,55,simp),-15)- LLV(mov(c,55,simp) ref(mov(c,55,simp),-15),14))/(HHV(mov(c,55,simp) - ref(mov(c,55,simp),-15),14)(LLV(mov(c,55,simp) - ref(mov(c,55,simp),-15),14))),14,E)*100 from Jim O'Donnell FULL FORMULA FOR RSI {The following is copied from the Formula Field of my *RSI canonical_12_day_for_P_I indicator. Change m if you choose another # of periods n

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for rsi.}

{I wrote my own "canonical" RSI(12) which coincides with MetaStock's RSI(12) if m=2*n-1 where m is used below in Mov( ,m,E); n - a number of periods in rsi(n). Mind that since I didn't use those particular tricks from the standard rsi(n) to shorten the initial transitional period, this function and standard rsi(n) differ for about month or so from the day 1. It was not that important for me, so I used this shortcut.} 100 - 100/ (1.+ If(Mov(If(P-Ref(P,-1)<0,-(P-Ref(P,-1)),0),23,E)=0,1000000, Mov(If(P-Ref(P,-1)>0, P-Ref(P,-1), 0),23,E) /Mov(If(P-Ref(P,-1)<0,-(P-Ref(P,-1)),0),23,E) )) From: Vitaly Larichev vitaly@superlink.com 2 Day Hammer Exploration Here is an exploration that pattern traders may find useful. It tends to pick up two patterns: a two day hammer, that is if you combined the open for day 1 and close for day 2, the resulting bar would be a hammer, and a pattern similar to a Ross Hook, as I understand a Ross Hook. Ref((C-L)/(H-L),-1)<=.30 AND ((C-L)/(H-L)) >= .70 AND Ref(ATR(1),-1) >ATR(10) AND ATR(1) >= ATR(10) from Styk

ATR TRAILING STOP LOSS For Long: HHV(H - 2.5*ATR(5),10) For Short: LLV(L + 2.5*ATR(5),10) Furthermore, it may be beneficial to dynamically adjust the number of lookback periods in the HHV() or the LLV() function. Yngvi Hardarson Sine-Weighted Moving Average Formula: PI:=3.1415926;

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SD:=180/6; S1:=Sin(1*180/6)*C; S2:=Sin(2*180/6)*Ref(C,-1); S3:=Sin(3*180/6)*Ref(C,-2); S4:=Sin(4*180/6)*Ref(C,-3); S5:=Sin(5*180/6)*Ref(C,-4); Num:=S1+S2+S3+S4+S5; Den:=Sin(SD)+Sin(2*SD)+Sin(3*SD)+Sin(4*SD)+Sin(5*SD); Num/Den %%%%%%%%%%%%% WRO AND WSO INDICATORS MetaStock Formulas -- WRO and WSO Indicators In the May 1998 issue of STOCKS & COMMODITIES, a Traders' Tip provided MetaStock formulas for calculating support and resistance levels and the WRO and WSO support and resistance oscillators. The Traders' Tip was based on my article, "Automated Support And Resistance," also in that issue. Since then, I've received many E-mail messages from STOCKS & COMMODITIES readers about it. While the method was well received, the formulas provided were a bit confusing and could use some clarification. Further, execution was slow and screening of large numbers of stocks was difficult. Since then, I have developed a faster and improved method for computing these indicators. To begin, the support levels S1 through S6 and the resistance levels R1 through R6 are separate indicators (12 in all), and each should be entered using the custom indicator option in the indicator builder.

S1 Indicator: ValueWhen(1, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S2 Indicator: ValueWhen(2, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S3 Indicator: ValueWhen(3, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S4 Indicator: ValueWhen(4, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S5 Indicator: ValueWhen(5, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S6 Indicator:

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ValueWhen(6, Ref(L,-4) = LLV(L,9), Ref(L,-4)) R1 Indicator: ValueWhen(1, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R2 Indicator: ValueWhen(2, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R3 Indicator: ValueWhen(3, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R4 Indicator: ValueWhen(4, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R5 Indicator: ValueWhen(5, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R6 Indicator: ValueWhen(6, Ref(H,-4) = HHV(H,9), Ref(H,-4)) These 12 indicators should be individually plotted with the price data as points, not lines (click on each and change the style to the one on the bottom of the style menu). The color red is recommended for the support levels S1 through S6 and the color blue for the resistance levels R1 through R6. Entering these formulas and changing the style takes a bit of time, but once done, they can be saved as a template and easily applied to another stock. If you are interested only in computing the WRO and WSO indicators, then these formulas can be entered as shown here. It is not necessary to compute S1 through S6 or R1 through R6, since the new formulas are now self-contained. The new WRO and WSO formulas also contain max and min functions to ensure that the change for each level is either zero or 1. This avoids a rare but occasional error when the price change is very large over a short period.

WSO Indicator: L1:=ValueWhen(1,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L2:=ValueWhen(2,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L3:=ValueWhen(3,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L4:=ValueWhen(4,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L5:=ValueWhen(5,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L6:=ValueWhen(6,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L1M:= Max(0,Min(1,Int(L1/C))); L2M:= Max(0,Min(1,Int(L2/C))); L3M:= Max(0,Min(1,Int(L3/C))); L4M:= Max(0,Min(1,Int(L4/C))); L5M:= Max(0,Min(1,Int(L5/C)));

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L6M:= Max(0,Min(1,Int(L6/C))); 100*(1-(L1M+L2M+L3M+L4M+L5M+L6M)/6) WRO Indicator: L1:=ValueWhen(1,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L2:=ValueWhen(2,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L3:=ValueWhen(3,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L4:=ValueWhen(4,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L5:=ValueWhen(5,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L6:=ValueWhen(6,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L1M:= Max(0,Min(1,Int(L1/C))); L2M:= Max(0,Min(1,Int(L2/C))); L3M:= Max(0,Min(1,Int(L3/C))); L4M:= Max(0,Min(1,Int(L4/C))); L5M:= Max(0,Min(1,Int(L5/C))); L6M:= Max(0,Min(1,Int(L6/C))); 100*(1-(L1M+L2M+L3M+L4M+L5M+L6M)/6) The WRO and WSO oscillators are generally plotted together on a separate scale from the price plot. It is helpful to add horizontal lines at zero and 100 on this same scale. Horizontal lines can be added by clicking on the indicator and selecting "horizontal lines" from the Indicator Properties menu. These formulas run much faster (by 40 times) than the earlier formulas, and theyve been tested successfully with both end-of-day data and real-time data using MetaStock Professional Version 6.51. -- Mel Widner, Ph.D., 703 791-5910 %%%%%%%%%%%%% Gap1 System =========== {BUY} L>Ref(H,-1) OR Cum(1)=LastValue(Cum(1)) {SELL} H<Ref(L,-1) OR Cum(1)=LastValue(Cum(1))

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Gap3 System =========== {Enter Long} N1:=5; L>Ref(HHV(H,N1),-1) OR Cum(1)=LastValue(Cum(1)) {Exit Long} N2:=3; C<Ref(LLV(L,N2),-1) OR Cum(1)=LastValue(Cum(1)) {Enter Short} N1:=5; H<Ref(LLV(L,N1),-1) OR Cum(1)=LastValue(Cum(1)) {Exit Short} N2:=3; C>Ref(HHV(H,N2),-1) OR Cum(1)=LastValue(Cum(1)) {from Ton Maas} %%%%%%%% TSI AND TSI MOVING AVERAGE 100*(Mov(Mov(Roc(C,1,$),25,E),13,E)/Mov(Mov(Abs(Roc(c,1,$)),25,E),13,E)) Mov(Fml("TSI"),20,E) %%%%%%%%% RSI DIVERGENCE EXPLORATION {A simple exploration filter formula for finding a bullish divergence between the RSI and the price is shown below. To find a bearish divergence, replace > with <. The differences in the trough function was found through an optimization routine and they may not be the best values for your application.} Ref(RSI(14),-1)>Trough(1,RSI(14),.8) AND Ref(CLOSE,-1)<Trough(1,CLOSE,.2) {from Dan in Pocatello, ID}

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enter long: (Fml("Candle - Hammer")=1) AND (CCI(11)<-50) close long: ((CCI(11)<80) AND (Ref(CCI(11),-1)>80)) OR ((CCI(11)<-80) AND Ref(CCI(11)>-80,-1)) enter short: (Fml("Candle - Hanging Man'")=-1) AND (CCI(11)>50) close short: ((CCI(11)>-80) AND (Ref(CCI(11),-1)<-80)) OR ((CCI(11)<80) AND Ref(CCI(11)>80,-1)) %%%%%%%%%%% STIX INDICATOR Mov((H+L)/2,5,S)-Mov((H+L)/2,35,S) %%%%%%%%%%% rsi dIVERGENCE {RSI(9) DIVERGENCE BUY:} If(RSI(9) >= HHV(RSI(9),19) AND CLOSE <HHV(CLOSE,19), 1,0) OR If(CLOSE <= LLV(CLOSE,19) AND RSI(9) > LLV(RSI(9),19), 1,0) {RSI(9) DIVERGENCE SELL:} If(CLOSE >= HHV(CLOSE,19) AND RSI(9)<HHV(RSI(9),19),1,0) OR If(RSI(9) <= LLV(RSI(9),19) AND CLOSE > LLV(CLOSE,19),1,0) {You can substitute any formula for the "RSI(9)"} {from Mike Arnoldi} %%%%%%%%%%% Denvelope (RSI)} pds:=Input("Periods",2,200,14); sd:=Input("Standard Deviations",.01,10,2); D1:= RSI(pds); alpha:=2/(pds+1); mt:=alpha*D1+(1-alpha)*(If(Cum(1)<pds,D1,PREV));

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ut:=alpha*mt+(1-alpha)*(If(Cum(1)<pds,D1,PREV)); dt:=((2-alpha)*mt-ut)/(1-alpha); mt2:=alpha*Abs(D1-dt)+(1-alpha)*PREV; ut2:=alpha*mt2+(1-alpha)*PREV; dt2:=((2-alpha)*mt2-ut2)/(1-alpha); but:=dt+sd*dt2; blt:=dt-sd*dt2; blt; dt; but; {from Adam Hefner VonHef@email.msn.com } %%%%%%%%%% HIGH LOW Len:=Input("Periods",1,400,89); (Mov((H - L + Abs(H - Ref(C,-1)) + Abs(L - Ref(C,-1)) ),len,E))/2

{ from Bob bjagow@jps.net } %%%%%%%%%%%%% CYLICAL SYSTEM from Ton Maas ms-irb@wxs.nl ============================================================= = "Trading Stocks With A Cyclical System" by Jeffrey Owen Katz (TASC-Feb1999). (Translated for MetaStock 6.5 by Ton Maas -The Netherlands - June1999). ---------------------------------------------------------------------------(The system's original Easy Language formulas+system were derived from theabove mentioned TASC article). My guess is that Equis (Alan McNichol) was not in the possession of them when he wrote the Equis version of the system, back in the Feb99 Trader's Tips section of TASC). Cyclical System - J O Katz Formula: {TASC Feb99} thresh:= {omit whipsaw} 4; k:= {roc comparison period} 3; m:= {cycle period} 63; hld:= {maximum period holding position} 10; Value1:= {volatility} Stdev(Mov(C,m,S)-Mov(C,m+k,S),20); Value2:= {roc, relative comparison ratio} Mov(C,m,S)-Mov(C,m+k,S);

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tv1:= thresh*Value1; EL:={Enter Long} Value2>tv1; CL:={Close Long} Ref(Cross(Value2,tv1),-hld); ES:={Enter Short} Value2<tv1; CS:={Close Short} Ref(Cross(tv1,Value2),-hld); JKcycl:=If((EL>0)=1,+10, If((ES>0)=1,-10,0)); JKcycl

Name: Jeffrey Owen Katz - Cyclical System Notes: {February 1999 - TASC-article (see also TRADERS' TIPS)} Formulas: {copy-repeat all that is printed below when applying for the right rule} thresh:= {omit whipsaw} 4; k:= {roc comparison period} 3; m:= {cycle period} 63; hld:= {maximum period holding position} 10; Value1:= {volatility} Stdev(Mov(C,m,S)-Mov(C,m+k,S),20); Value2:= {roc, relative comparison ratio} Mov(C,m,S)-Mov(C,m+k,S); tv1:= thresh*Value1; Rules: {Enter Long} Value2>tv1 {Close Long} Ref(Cross(Value2,tv1),-hld) {Enter Short} Value2<tv1 {Close Short} Ref(Cross(tv1,Value2),-hld) {After entering the formulas, click OK. Then click Options. On the Testing page, set the Trade Delay to zero, set Positions to "both", and then set any other desired options (apart from Optimizing, which is not advisable; leave the factory default settings). Click OK to save the changes, and then open a chart and run the system.} %%%%%%%%%%%% BODY MOMENTUM

{I was reading in Perry Kaufman's latest book and he described a little oscillator he called "Body Momentum". This simply calculates the momentum of the closes above the opens versus the closes below the opens. The theory is that as prices move up, closing prices will be higher than opening prices

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and vice-versa for down. If this oscillator is above 70 then the whites (Candle-sticks) dominate and below 30 the blacks are dominant.} {I also added a 3 day moving average to the calculation (for smoothing).} {Here is the code:} Lb:=Input("Look-Back Period?",3,60,14); B:=CLOSE - OPEN; Bup:= Sum(B > 0, Lb); Bdn:= Sum(B < 0, Lb); BM:=(Bup/(Bup+Bdn))*100; Mov(Bm,3,S)

ST OSCILLATOR {The StTO is really nothing unique. It is basically a momentum indicator and plots very similar to the "Chande Momentum Oscillator" with the main difference being the "StTO" doesn't seem to swing as far as the CMO. I am not sure how the math is calculated for the CMO, but the (basic) math for the StTO is: (Close- Yesterday's Close) / (H-L)} {Here is the MetaStock code I use:} {name: StTO} {Short-term Trend Oscillator} Lb:=Input("Smoothing Period?",1,60,5); Num:=C-Ref(C,-1); Den:=H-L; Mn:=If(Mov(Num,Lb,S)=0,.01,Mov(Num,Lb,S)); Md:=If(Mov(Den,Lb,S)=0,.01,Mov(Den,Lb,S)); (Mn/Md)*100 {Adam Hefner} %%%%%%%%%%%%% CCI SPIKE TRADING SYSTEM {This system uses the momentum Commodity Channel Index (CCI) indicator to find short-term bottoms in the market. The CCI indicator is extremely

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volatile and is generally difficult to use when trading the S&P 500 Index. We, however, have turned this volatility into a trading advantage by using the spread or gap between the CCI index and its moving average as a reversal signal. Specifically if the gap is larger then a certain percentage and CCI indicator crosses above its moving average we buy the market. The system remains in the market for a short period of time, exiting the trade as the indicators cross to the downside. As designed, this system only trades long the market; it can however be altered to short the market. It is best used in choppy bullish markets similar to the 1995 bull market.} {Trading Tactics: This short-term bullish trading system exploits over extended markets. Futures, options, and mutual fund traders should take full advantage of this high probability trading system, either by taking outright positions or avoiding declining markets. The code for this system can be reversed to trade short positions. This system should be used in place of longer-term momentum systems in strong bullish choppy type markets. This system rarely exits at the market intermediate peak, so other exiting signals may be used in place of our indicator crossover technique.} Enter long: Ref(CCI(13)/(Mov(CCI(13),3,S)),-1)>1.5 AND Cross(CCI(13),(Mov(CCI(13),3,S))) AND Ref(CCI(13),-1)<-25 Exit long: Cross((Mov(CCI(13),3,S)),CCI(13)) AND Ref(CCI(13),-1)>200 {from Craig Monroe} %%%%%%%%%%% LOOKBACK Formula: X := Stdev(C, 30); Y := Ref(X, -1); Z := 1+((X-Y)/X); If(Cum(1)=1, 20, Min(Max(Prev*Z, 20), 60)) BuyBreak Formula: HHV(H, LastValue(Fml("LookBack")+Prev-Prev)) BuyExit Formula: LLV(L, LastValue(Fml("LookBack")/2+Prev-Prev))

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SellBreak Formula: LLV(L, LastValue(Fml("LookBack")+Prev-Prev)) SellExit Formula: HHV(H, LastValue(Fml("LookBack")/2+Prev-Prev)) BreakWhere Formula: TopB := Ref(Fml("BuyBreak"), -1); LowB := Ref(Fml("SellBreak"), -1); ((O+H+L+C)/4 - LowB)*100/(TopB-LowB); DBS-System Enter Long: H > Ref(Fml("BuyBreak"), -1) Close Long: L < Ref(Fml("BuyExit"), -1) Enter Short: L < Ref(Fml("SellBreak"), -1) Close Short: H > Ref(Fml("SellExit"), -1)

This is George Pruitt's ("Futures Truth") basic system. It is also the basic system used as the basis for Thomas Stridsman's year-long series of articles about system development and tweaking. %%%%%%%%%%% STOCHASTIC MOMENTUM SMI-Plex:= StochMomentum(2,1,2)+StochMomentum(3,2,1)+StochMomentum(4,2,3)+StochMo mentum (5,3,5)+StochMomentum(8,21,13)+StochMomentum(13,25,2) SMI13E-Plex:= Mov(StochMomentum(2,1,2)+StochMomentum(3,2,1)+StochMomentum(4,2,3)+Stoc hMome ntum(5,3,5)+StochMomentum(8,21,13)+StochMomentum(13,25,2),13,E) {from Craig DeHaan} %%%%%%%%%%%% BradCCI BradCCI: From Bill S. Plot 1: BradCCI Line 1: (((H+L+C)/3)-Mov(C,28,S))/(.015*Std(C,28)) Plot 2: BradCCI Line 2: Std(((h+l+c)/3),28) To Line 1, you can also add trend lines, if you wish: Plot 1:

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1. BradCCI Line 1: (((H+L+C)/3)-Mov(C,28,S))/(.015*Std(C,28)) 2. trend(100,100) 3. trend(-100,-100) 4. trend(0,0) %%%%%%%%%%%%%% McClellan Oscillator rev. 01/06/97 The McClellan Oscillator, developed by Sherman and Marian McClellan, is a market breadth indicator that is based on the smoothed difference between the number of advancing and declining issues on the New York Stock Exchange. The McClellan Oscillator is one of the most popular breadth indicators. Buy signals are typically generated when the McClellan Oscillator falls into the oversold area of -70 to -100 and turns up. Sell signals are generated when the oscillator rises into the overbought area of +70 to +100 and then turns down. Extensive coverage of the McClellan Oscillator is provided in their book Patterns for Profit . To plot the McClellan Oscillator, create a composite security in The DownLoader of Advancing Issues minus Declining Issues. Open a chart of the composite in MetaStock and plot this custom indicator. Mov(CLOSE,19,EXPONENTIAL) - Mov(CLOSE,39,EXPONENTIAL)

McClellan Summation Index rev. 01/06/97 The McClellan Summation Index is a market breadth indicator developed by Sherman and Marian McClellan. It is a long-term version of the McClellan Oscillator and its interpretation is similar to that of the McClellan Oscillator except that it is more suited to major trend reversals. For more extensive coverage of the index refer to the book Patterns for Profit, by Sherman and Marian McClellan. McClellan suggests the following rules for use with the summation Index: Look for major bottoms when the Summation Index falls below -1300. Look for major tops to occur when a divergence with the market occurs above a Summation Index level of +1600. The beginning of a significant bull market is indicated when the Summation Index crosses above +1900 after moving upward more than 3600 points from its

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The summation index is plotted by adding the Cum function to the McCllellan Oscillator. The formula is Cum(Mov(C,19,E) - Mov(C,39,E)). %%%%%%%%%%%%%%%%%%%

((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16)+(S toch(21,5)*.10))

LANDIS 3 WEEK S M A

mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),15,s)

landis multiple time periods formula #1 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),15,s) formula #2 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),10,s) formula #3 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),5,s) formula #4 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),2,s)

multiple slopes of landis formula #1 slope(mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34, 8)*.16)+(Stoch(21,5)*.10)),15,s),2) formula #2 slope(mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34, 8)*.16)+(Stoch(21,5)*.10)),10,s),2) formula #3 slope(mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,

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8)*.16)+(Stoch(21,5)*.10)),5,s),2) %%%%%%%%%%%%%%% Barnes' Acceleration The Barnes' Acceleration measures rate of price change as opposed to price levels If the Barnes' Acceleration sustains the value of -1 for many days then the security may be ready to show strong trend or it may already be trending. Examine the chart for prolonged values at -1. This may indicate an upcoming stall or turnaround. The number of days needed may be different depending on the type of issue. A utility stock may need to sustain the -1 level for 10 days whereas a highly volatile technology stock may need to sustain the -1 trend for as little as 5 days. From the 1981 Technical Commodity Yearbook, Robert M. Barnes formula 1: if(mov(fml("Barnes' acceleration",2) - ref(fml("Barnes' acceleration",2),-1),20,e)>0.0001,1, if(mov(fml("Barnes' acceleration",2) ref(fml("Barnes' acceleration",2),-1),20,e)<-0.0001,-1,0)) formula 2: mov((c-ref(c,-1))/ref(c,-1),daysm,e)

Barnes' Adaptive Forecast Based on the premise that closing price may be predictable based on previous closes See (1981 Technical Commodity Yearbook Robert M. Barnes Van Nostrand Reinhold 1981) for theory and applications. formula 1: if(fml("Barnes' adaptive forecast",2)>0.05,1,if(fml("Barnes' adaptive forecast",2)<-0.05,-1,0)) formula 2: mov(c,dayf,e) - ref(mov(c,dayf,e),-1)

Barnes' Moving Average See (1981 Technical Commodity Yearbook Robert M. Barnes Van Nostrand Reinhold 1981) for theory and applications. if (c - mov( c, dayf, e) > pf, { Then Action } 1, { Else Action } if ( mov( c, dayf, e) - c > pf, { Then } -1, { Else } 0)) { Notice that comments may be placed within braces } %%%%%%%%%%%%%%%%

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rev. 01/06/97 In their book "The New Technical Trader," Chande & Kroll introduce the r2 indicator. They state that "the primary use of r2 is as a confirming indicator" and that "it is a lagging indicator that shows the strength of the trend." In MetaStock the r2 formula is: Pwr(Corr(Cum( 1 ),C,14,0),2) They also present a smoothed r2 which would be: Mov(Pwr(Corr(Cum( 1 ),C,14,0),2)*100,14,S) For interpretation refer to Chande & Kroll's book, as stated above. %%%%%%%%%%%%%%% PRICE ACTION INDICATOR (PAIN)

If you were only given today's open, high, low and close, how could you make heads or tails of it? The Price Action Indicator (PAIN) can help. The formula returns a single value that weighs intra-day momentum (C-O), Late Selling Pressure (LSP) (C-L), and Late Buying Pressure (LBP) (C-H). The formula is proven by constructing ideal limit-up and limit down scenarios in bond futures. The output is shown to be consistent with the interpretation of Japanese candlestick patterns. See Michael B. Geraty (1997). "Getting Better Directions" Futures Vol. 26: Aug.

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Historical volatility is defined by Sheldon Natenberg, as the standard deviation of the logarithmic price changes measured at regular intervals of time. In Mr. Natenberg's book, "Option Volatility & Pricing," he covers volatility in detail and gives the formula for computing historical volatility. In MetaStock, the equivalent formula would be: Std( Log( C / Ref( C ,-1 ) ) ,10 ) * Sqrt( 365 / 7 ) The above assumes Weekly Data. To utilise this with Daily Data, the MetaStock formula would be: Std( Log( C / Ref( C,-1) ),10 ) * Sqrt( 365 )

For further interpretation refer to the book "Option Volatility & Pricing," by Sheldon Natenberg.

NAT'S VOLT

Std(log(c/ref(c,-1)),10)*sqr(365/7) %%%%%%%%%%%%%%% The Tema StochRSI formula I use is Tema smoothed and I subtract 0.5 so I can plot it as a histogram. It's:} Periods := Input("Enter Tema Smoothing Periods",5,233,13); Tema(((RSI(Periods) - LLV(RSI(Periods),Periods)) / ((0.0001+HHV(RSI(Periods),Periods)) LLV(RSI(Periods),Periods))) -0.5,Periods) {from Jim Greening} %%%%%%%%%%%%%%%%%5 DEVSTOP Here's what I think a DEVSTOP is in MetaStock language, described in Kase's "Trading with the Odds", and better described in Kaufman's "Trading Systems and Methods". It uses a 2-day range, calculates an average range and SD of the range, and then draws 4 lines below the high, at 1 range and 0,1,2, and 3 SD's. "2.2" and "3.6" are corrections for skew of the distribution. AVTR:=Mov(HHV(H,2) - LLV(L,2),20, S); SD:=Stdev(HHV(H,2) - LLV(L,2),20); HHV(H-AVTR-3.6*SD, 20); HHV(H-AVTR-2.2*SD,20);

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{Weekly Pivot Point Projection 8/4/99} Dw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); {Weekly Typical Price} PP1:=If(Dw=1, {then}(Ref(HighestSince(1,Dw=1,H),-1)+ Ref(LowestSince(1,Dw=1,L),-1) + Ref(C,-1))/3, {else}0); {Weekly High} Wh1:=If(Dw=1, {then}Ref(HighestSince(1,Dw=1,H),-1), {else}0); {Weekly Low} Wl1:=If(Dw=1, {then}Ref(LowestSince(1,Dw=1,L),-1), {else}0); Wh:=ValueWhen(1,Wh1>0,Wh1); Wl:=ValueWhen(1,Wl1>0,Wl1); PP:=ValueWhen(1,PP1>0,PP1); {Resistance 1} R1:=(2*PP)-Wl; {Support 1} S1:=(2*PP)-Wh; {Resistance 2} R2:=(PP-S1)+R1; {Support 2} S2:=PP-(R1-S1); R2; R1; S1; S2; %%%%%% ATR MODIFIED {

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prd1:=input("enter ATR period",1,9999,7); prd2:=(prd1*2)-1; {max (absolute) of yesterday's close to today's high or today's low} myatr1:=Max(Abs(Ref(C,-1)-H),Abs(Ref(C,-1)-L)); {max of yesterday's close to today's high or today's low or today's range} myatr2:=Max(myatr1,H-L); { %%%%%%%%%%%%%%%%% HIGHEST HIGH SINCE BUY SIGNAL

> Anyone know how to keep track of, for example, the highest high since a buy signal was triggered? I want to > add this into a system test that I am trying to run.

FORECAST OSCILLATOR SYSTEM ALTERNATIVE Enter long: Cross(ForecastOsc(C,21),Mov(ForecastOsc(C,21),3,E)) AND Cross(ForecastOsc(C,21),0) Exit long: Cross(Mov(ForecastOsc(C,21),3,E),ForecastOsc(C,21)) AND Cross(6,ForecastOsc(C,21)) {You can use alert() function on either if you don't require both conditions to fire on the same day.} %%%%%%%%%%%%%%%%%%%% FORECAST OSCILLATOR SYSTEM Enter long: Cross(ForecastOsc(C,21),Mov(C,3,E)) AND

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Cross(ForecastOsc(C,21),0) Exit long: Cross(Mov(C,3,E),ForecastOsc(C,21)) AND Cross(6,Mov(C,3,E)) %%%%%%%%%%%%%%% EQUIVILANT TO WILDERS TR Wilders(TR,periods) = Mov(TR,2*periods-1,E) %%%%%%%%%%%%%%%%%% TRUE RANGE FORMULA TR = (H - L + Abs(H - Ref(C,-1)) + Abs(L - Ref(C,-1)) )/2 {from Bob Jagow}

CREATING DYMANIC VERTICAL LINES from Ken These are dynamic moving vertical lines. Each new bar causes the line to move orward one bar. How to Create a Vertical Line in MetaStock {Plot in Stoch window} {...you can change the 100 and 0 to 80/20 or ?} n:=Input("Bars Before LastLoadedBar", 0,1000,89); LastLoadedBarNum:=LastValue(Cum(1)); If(Cum(1)=(LastLoadedBarNum-n)+1,100,0) -----------------....or Create a new Expert. Place the following in "Trends"/"Bullish". n:=89; LastLoadedBarNum:=LastValue(Cum(1)); Cum(1)=(LastLoadedBarNum-n)+1 In "Corner", UNcheck "Display symbol in Expert corner". In "Ribbon", check Display Ribbon, Display Vertical Line, and "Ribbon's inner window". Delete or rename the "Neutral" label. Choose Bullish color. Plot Stochastic on chart, attach Expert, then drag Expert to Stochastic inner window

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I wrote this MetaStock Expert for calculating the support 1 & 2 and resistance 1 & 2 as per Futures magazine, October 1999, page 52. ----------------------------- start -------------------------FIRST RESISTANCE: WRITEVAL(-L+(2* (H+L+C)/3),1.2) SECOND RESISTANCE: WRITEVAL(((H+L+C)/3) +((-L+(2* (H+L+C)/3))-(-H+(2* (H+L+C)/3))),1.2) FIRST SUPPORT: WRITEVAL(-H+(2*(H+L+C)/3),1.2) SECOND SUPPORT: WRITEVAL(((H+L+C)/3) -((-L+(2* (H+L+C)/3))-(-H+(2* (H+L+C)/3))),1.2) -------------------------------- end -------------------------from Mike Arnoldi

I contacted David Vomund by e-mail and he was kind enough to mail me the equations required to calculate the VAP. I've programmed them in MetaStock as follows:

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ALLIGATOR INDICATORS

from Gary Randall -- Brunswick, Maine Alligator Indicators - Bill William, "Trading Chaos" ---------------------------------------------Chaos Blue BL {Alligator Blue Balance Line - Jaw} {13 bar smoothed average offset 8 bars} Ref(Wilders(MP(),13),-8); ---------------------------------------------Chaos Red BL {Alligator Red Balance Line - Teeth} {8 bar smoothed average offset 5 bars} Ref(Wilders(MP(),8),-5); ---------------------------------------------Chaos Green BL {Alligator Green Balance Line - Lip} {5 bar smoothed average offset 3 bars} Ref(Wilders(MP(),5),-3); ---------------------------------------------Chaos Gator { Chaos Alligator } { Plot as histogram } green := Fml("Chaos Green"); red := Fml("Chaos Red"); blue := Fml("Chaos Blue");

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If(green > red AND red > blue, green - blue, If(blue > red AND red > green, green - blue, 0)); ----------------------------------------------

CHAOS AO

{ Chaos Awsome Oscillator - measures momentum } ( A very close approximation of MFI } { Plot as histogram } Mov(MP(),5,S) - Mov(MP(),34,S); ---------------------------------------------Chaos AO Signal Line { Chaos Awsome Oscillator Signal Line } { Plot as line over AO histogram } Mov(Mov(MP(),5,S) - Mov(MP(),34,S),5,S) ---------------------------------------------Chaos AC { Chaos Accelerator/Decelerator Oscillator } { Measures acceleration } { Plot as histogram } Fml("Chaos AO") - Mov(Fml("Chaos AO"),5,S); ----------------------------------------------

Chaos Fractal

{ Chaos Fractal (simple version +1=Up, -1=Dn) } High1 := Ref(HIGH,-2); High2 := Ref(HIGH,-1); High3 := Ref(HIGH,0); High4 := Ref(HIGH,1); High5 := Ref(HIGH,2); Low1 := Ref(LOW,-2); Low2 := Ref(LOW,-1); 172

Low3 := Ref(LOW,0); Low4 := Ref(LOW,1); Low5 := Ref(LOW,2); Fractal := If((High3 > High1) AND (High3 > High2) AND (High3 > High4) AND (High3 > High5), +1,0); Fractal := If((Low3 < Low1) AND (Low3 < Low2) AND (Low3 < Low4) AND (Low3 < Low5), If(Fractal > 0, 0, -1), Fractal); Fractal;

Enter Long: Cross(C,Fml("chaos green bl")) AND Fml("chaos green bl") > Fml("chaos blue bl") Close Long: Cross(Fml("chaos green bl"),C) AND Fml("chaos blue bl") > Fml("chaos green bl") I tested this on several different stocks and it shows potential. I really haven't spent too much time on it yet so I'm not yet sure of the significance of the other indicators. The above was just what I could throw together based upon what my eyes on the chart with the indicators showed me. Jeff

You could use the Reference (Ref) function to shift your indicator back in time and you could add or multiply by a constant or variable to give your indicator a vertical shift. I've never used a time series moving average so

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I'm kind of out of my league, but I guess it could look like this: TSMA:= Mov(CLOSE,5,TIMESERIES); ShiftedTSMA:= Ref(TSMA, -1) + 2; ShiftedTSMA from Ken Wallace gcwallace@home.com

I know I'm a little slow, but I've just gotten around to working on the Dynamic Multiple Time Frame indicators given by Robert Krausz in the 1999 Bonus Issue of TASC. The code for the actual indicators can be found at the Equis website (www.equis.com) so I won't post them again here. I've been testing a system based on these indicators on Best Buy (a stock that seems to be quite amenable to system trading) and getting very good results. The system is currently for long trades only; I'll work on shorting later. Here's what I've got so far Enter Long: day:=DayOfWeek(); Fml("dynamic balance")>Fml("dynamik balance point steps") AND Fml("fixed balance point")>Ref(Fml("fixed balance Point"),-5) OR Fml("tendency")>0 AND day=5 Close Long Cross(Fml("dynamik balance point steps"),Fml("dynamic balance")) AND Fml("fixed balance point")<Ref(Fml("fixed balance Point"),-5) The problem is that the close is not defined, meaning that the two events which initiate the close do not have to happen. The DBPS can cross the DB without the 2nd condition occuring. Then, when later, the 2nd condition does occur, sell is not triggered because the cross over has not happened simultaneously with the 2nd condition. Theoretically, if we follow the system strictly, this can lead to a complete loss. I understand that I can set arbitrary stops, but I prefer to let the system do the work. Simply reversing the entry signal and other tries, such as support breakthoughs, drastically reduce the result.

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CODING EXAMPLE If yesterdays high is greater than the high of 2 days ago// and the low 5 days ago is less than or equal to the high 4 days ago// and it is Wednesday Try this: Ref(H,-1)>Ref(H,-2) AND Ref(L,-5)<=Ref(H,-4) AND Dayofweek() = 3 from Paul Beattie

Chaikin's Money Flow is a built-in MetaStock indicator, as follows: cmf(periods) Persistence of Money Flow (PMF%) Pds1:= Input("CMF Periods?",1,100,21); Pds2:= Input("PMF Periods?",10,1000,120); Sum((cmf(Pds1)>0),Pds2)/(Pds2/100) {from HHP} Persistence or (PMF%) is the percentage of days over 6 months that the Chaikin Money Flow Oscillator is above 0. The Chaikin Money Flow Oscillator formula default uses a 21 day money flow sum divided by the 21 day sum of daily volume. HHP sent the correct indicator formula for persistence, tho you can modify it by selecting 1 for "Pds1" if you prefer to create a 120 day cumulative money flow indicator to do what you are suggesting. The cumulative money flow indicator often uses a 90SMA trigger. {from Craig DeHaan}

STOCHPVT INDICATORS

Though not directly related to the volume percent indicator, I have recently been

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using a volume indicator that I wrote myself in MetaStock's formula language. It uses the same idea that Chande used to turn RSI into the StochRSI oscillator and the preprogrammed Price Volume Trend function. Price Volume Trend is similar to On Balance Volume, except that as the volume is accumulated, it is weighted according to the percent price change from the previous close. I use fast and slow "stochastic" lines to judge when either accumulation or distribution is taking place. I used a look back period of 19 days which fits my style. Signals are generated by the fast crossing above or below the slow lines. I have not worked with it enough to say whether or not divergences offer signals too. Formulas for the StochPVT are shown below: {Fast line} Mov((PVT()-LLV(PVT(),19))/ (HHV(PVT(),19)-LLV(PVT(),19)), 5, S) {Slow Line} Mov(Mov((PVT()-LLV(PVT(),19))/ (HHV(PVT(),19)-LLV(PVT(),19)), 5, S),3,S) {from harelsdb@aol.com}

The One Day Money Flow Indicator (some also call this indicator the One Day Accumulation/Distribution Indicator) MetaStock formula is the following: (((Close-Low) - (High-Close)) / (High-Low)) * Volume {from Marcel Knechtle}

The formula from Equis: Insync Index (rev. 01/06/97) The interpretation for the following formulas came from the article "The Insync Index", by Norm North, in Technical Analysis of Stocks & Commodities Jan 1995.

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All of these formulas are necessary for the last one, Insync Index to run properly. They are listed in the order in which they should be copied and pasted into the MetaStock Formula Builder

BOLInSLB Mov( C ,20 ,S ) - 2 * ( Std( C ,20 ) ) BOLInSUB Mov( C ,20 ,S ) + 2 * ( Std( C ,20 ) ) BOLInS2 ( C - Fml( "BOLInSLB" ) ) / ( Fml( "BOLInSUB" ) - Fml( "BOLInSLB" ) ) BOLInSLL If( Fml( "BOLInS2" ) ,< , .05 ,-5 ,If( Fml( "BOLInS2" ) ,> ,.95 ,5 ,0 ) ) CCIInS If( CCI(14 ) ,> ,100 ,5 ,If ( CCI(14 ) ,< ,-100 ,-5 ,0 ) ) EMVInS2 EMV(10 ,S ) - Mov( EMV(10 ,S) ,10 ,S ) EMVInSB If( Fml( "EMVInS2" ) ,< ,0 ,If( Mov( EMV(10 ,S ) ,10 ,S ) ,< ,0 ,-5 ,0 ) ,0 ) EMVInSS If( Fml( "EMVInS2" ) ,> ,0 ,If( Mov( EMV(10 ,S ) ,10 ,S ) ,> ,0 ,5 ,0 ) ,0 ) MACDInS2 MACD( ) - Mov( MACD( ) ,10 ,S ) MACDinSB If( Fml( "MACDInS2" ) ,< ,0 ,If( Mov( MACD( ) ,10 ,S ) ,< ,0 ,-5 ,0 ) ,0 ) MACDInSS If( Fml( "MACDInS2" ) ,> ,0 ,If( Mov( MACD( ) ,10 ,S) ,> ,0 ,5 ,0 ) ,0 ) MFIInS If( MFI( 20 ) ,> ,80 ,5 , If( MFI( 20 ) ,< ,20 ,-5 ,0 ) ) PDOInS2 DPO( 18 ) - Mov( DPO( 18 ) ,10 ,S ) PDOInSB If( Fml( "PDOInS2" ) ,< ,0 ,If( Mov( DPO( 18 ) ,10 , S) ,< ,0 ,-5 ,0 ) ,0 ) PDOInSS If( Fml( "PDOInS2" ) ,> ,0 ,If( Mov( DPO ( 18 ) ,10 ,S) ,> ,0 ,5 ,0 ) ,0 )

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ROCInS2 ROC( C ,10 ,$ ) - Mov( ROC( C ,10 ,$ ) ,10 ,S ) ROCInSB If( Fml( "ROCInS2" ) ,< ,0 ,If( Mov( ROC( C ,10 ,$ ) ,10 ,S ) ,< ,0 ,-5 ,0 ) ,0 ) ROCInSS Index If( Fml( "ROCInS2" ) ,> ,0 ,If( Mov( ROC( C ,10 ,$ ) ,10 ,S ) ,> ,0 ,5 ,0 ) ,0 ) RSIInS If( RSI(14 ) ,> ,70 ,5 ,If( RSI(14 ), < ,30 ,-5 ,0 ) ) STO%dInS If( Stoch(14 ,3 ) ,> ,80 ,5 ,If( Stoch(14 ,3 ) ,< ,20 ,-5 ,0 ) ) STO%kInS If( Stoch(14 ,1) ,> ,80 ,5 ,If( Stoch(14 ,1 ) ,< ,20 ,-5 ,0 ) ) InSync Index 50 + Fml( "CCIInS" ) + Fml( "BOLInSLL" ) + Fml( "RSIInS" ) + Fml( "STO%kInS " ) + Fml( "STO%dInS" ) + Fml( "MFIInS" ) + Fml( "EMVInSB" ) + Fml( "EMVInSS" ) + Fml( "ROCInSS" ) + Fml( "ROCInSB" ) + Ref (Fml( "PDOInSS" ) ,-10 ) + Ref (Fml( "PDOInSB" ) ,-10 ) + Fml( "MACDInS S" ) + Fml( "MACDInSB" ) These formulas were provided by Barry Millman. All questions should be addressed to him at 73374.1364@Compuserve.com. Mr. Millman wrote these formulas using many Custom Formula slots for clarity and ease of understanding. Please note that the final formula `InSync Index' requires all of the previous formulas to be correct.

Multipart formulas QUESTION: I've got a specific question. I use WOW and MetaStock. Suppose I've got some indicator that ranges from 0 to 100 and I have a system that says "buy when the indicator goes above 90 and hold until it goes below 10 and then sell" or something. Notice that if the indicator is between 10 and 90 that you don't know whether that's a hold or a don't hold unless you know whether it last crossed 90 or 10. So far so good. Now suppose I want to combine the signal from this system with another indicator/system so that I can say something like "buy when system #2 says buy only if system #1 is in "hold the stock" mode." This may take the form of another indicator that is "1" when the system is in hold mode and "0" when it is in don't hold mode. This seems like a general problem that must come up often but it is not obvious to me how to code it. I'll bet other people could benefit from the answer as well.

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Bob Anderton

ANSWER: Thanks to all of you for the great help and input to the question of how to deal with combining the indicators in a system when one of them gives a signal by crossing. There were two responses, one can be seen in #3310 from Larry on the Yahoo! MetaStock board (thanks Mike) which is answering a slightly different question. That solution seems like what one would use if one wanted to look for system 2 signalling a buy the same day as system 1 signalling a buy by crossing a value. What I actually wanted to do was have a way of looking for system 2 signalling a buy during anytime that system 1 was saying hold because its last signal had been a buy. This was addressed very nicely by Paul in message #3311. I took his idea to make the following indicator: If(BarsSince(Cross(Fml("Indicator1"),90))<BarsSince(Cross(10,Fml("Indicator1"))),1 ,0) This makes a new indicator that is 1 when the last signal is a buy and 0 when the last signal was a sell. Imagine that this is a really long term indicator. Now you can look for your short term indicator #2 to signal a sell and just AND it with this new indicator being = 1, meaning that the first indicator was in hold mode. This is a big step forward for me. I'd never used this BARSSINCE function before(which is PERIODSSINCE for WOW) and this was key to being able to do this I think. Bob Anderton

GAP TRADING

ere is the gap-trading system code for use in Equis International's MetaStock software. For practical reasons, the system has been defined as an indicator rather than a system, showing the cumulated profit. dn:= 1.0; up:= 1.0; gap:= 100*(OPEN - Ref(CLOSE, -1))/Ref(CLOSE, -1); prf:= If(gap>=up, OPEN-CLOSE, If(gap<=-dn, CLOSE-OPEN,0)); Cum(prf); -- Stphane Reverre

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CHANDELIER EXIT

The exit system you use is at least as important as the entry system. Below is the code for Chuck LeBeau's Chandelier Exit. The Chandelier Exit is a volatility based exit (it uses average true range) that works quite well on trend following systems. It lets "... profits run in the direction of a trend while still offering some protection against any reversal in trend." The theory is quite simple, but because of the awkwardness of defining the entry price, its implementation in MetaStock takes some work. The theory is: exit a long position at either the highest high since entry minus 3 ATRs, or at the highest close since entry minus 2.5 ATRs. The exit is descibed more fully in the Trader's Toolkit section at Chuck LeBeau's site -- http://traderclub.com/ Here is the MetaStock code: {LONG EXIT} LongEntry:= {this your entry system, eg. Cross(CLOSE, Mov(C,20,E))}; MoneyMgmtStop:= {this is your maximum loss, in points}; {DEFINE ENTRY PRICE, WITH EXIT BEING -ENTRY PRICE AND NO TRADE BEING 0} EntryPrice:= If(PREV <= 0, {Trade entered today?} If(LongEntry, CLOSE, 0), {Trade entered before today. Stopped today?} If(LOW <= PREV - MoneyMgmtStop, -PREV, If(LOW <= HighestSince(1,PREV=0, HIGH) - 3 * ATR(10), -PREV, If(LOW <= HighestSince(1,PREV=0, CLOSE) - 2.5 * ATR(10), -PREV, PREV)))); {EXIT IF ENTRY PRICE < 0 (MEANING EXIT)} EntryPrice < 0 {SHORT EXIT} ShortEntry:= {this your entry system, eg. Cross(Mov(C,20,E), CLOSE)}; MoneyMgmtStop:= {this is your maximum loss, in points}; {DEFINE ENTRY PRICE, WITH EXIT BEING -ENTRY PRICE AND NO TRADE BEING 0} EntryPrice:= If(PREV <= 0, {Trade entered today?} If(ShortEntry, CLOSE, 0), {Trade entered before today. Stopped today?} If(HIGH >= PREV + MoneyMgmtStop, -PREV,

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If(HIGH >= LowestSince(1,PREV=0, LOW) + 3 * ATR(10), -PREV, If(HIGH >= LowestSince(1,PREV=0, CLOSE) + 2.5 * ATR(10), -PREV, PREV)))); {EXIT IF ENTRY PRICE < 0 (MEANING EXIT)} EntryPrice < 0

PROJECTED RANGE From "Lyn Maine" This is Tom DeMark's Projected Range: TPH1:=(H+C+2*L)/2-L; TPH2:=(2*H+L+C)/2-L; TPH3:=(H+L+2*C)/2-L; TPL1:=(H+C+2*L)/2-H; TPL2:=(2*H+L+C)/2-H; TPL3:=(H+L+2*C)/2-H; PH:=If((C<O),TPH1,If((C>O),TPH2,If((C=O),TPH3,0))); PL:=If((C<O),TPL1,If((C>O),TPL2,If((C=O),TPL3,0))); PH; PL; This is my updated version of Tushar Chande's Vidya Vidya: K:=Stdev(P,5)/Mov(Stdev(P,5),20,S); SC:=Input("SC",.1,.9,.1); Vidya:=SC*K*P+(1-SC*K)*Ref(P,-1); Vidya; {the sc input is more responsive if you use a higher number} This is Vidya with volatility bands: K:=Stdev(C,5)/Mov(Stdev(C,5),20,S); SC:=0.9; Vidya:=SC*K*C+(1-SC*K)*Ref(C,-1); UpperBand:=Vidya+2*.5*K; LowerBand:=Vidya-2*.5*K; UpperBand; LowerBand; Vidya; This is Tushar Chande's target price: A:=Mov(Abs(C-Ref(C,-1)),10,S); TPH1:=C+A;

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TPH2:=C+(2*A); TPL1:=C-A; TPL2:=C-(2*A); TPH1; TPH2; TPL1; TPL2; This is ATR Ratio to Close: ATRR:= ATR(5)/C; MATRR:=Mov(ATRR,3,E); ATRR; MATRR; This is a CMO Composite Average: (((CMO(C,5))+(CMO(C,10))+(CMO(C,20)))/3) This is CMO Volatility: S1:= Stdev( CMO(C,5),5); S2:= Stdev(CMO(C,10),10); S3:= Stdev(CMO(C,20),20); CMOV:=(S1*CMO(C,5))+(S2*CMO(C,10))+(S3*CMO(C,20))/(S1+S2+S3); CMOV; This is Rule of 7 down objective: If((ROC(C,12,%)>-1.5),If((ROC(C,12,%)>-3), If((ROC(C,12,%)>-4.5),((H-(H-L)*1.75)),((H-(H-L)*2.33))),((H-(H-L)*3.5))),(H-(HL))) This is rule of 7 up objective: If((ROC(C,12,%)>1.5),If((ROC(C,12,%)>3), If((ROC(C,12,%)>4.5),(((H-L)*1.75)+L),(((H-L)*2.33)+L)),(((H-L)*3.5)+L)),((HL)+L)) This is rule of 7 Osc: Fml("Rule of 7 UP Objective") Fml("Rule of 7 DOWN Objective") This is %f Osc: 100*((C-Ref(TSF(C,5),-1))/C) This is Chande's Trendscore: If(C>=Ref(C,-11),1,-1)+If(C>=Ref(C,-12),1,-1)+If(C>=Ref(C,-13),1,-1)+ If(C>=Ref(C,-14),1,-1)+If(C>=Ref(C,-15),1,-1)+If(C>=Ref(C,-16),1,-1)+ If(C>=Ref(C,-17),1,-1)+If(C>=Ref(C,-18),1,-1)+If(C>=Ref(C,-19),1,-1)+ If(C>=Ref(C,-20),1,-1) This is McGinley Dynamic: Ref(Mov(C,12,E),-1)+((C-(Ref(Mov(C,12,E),-1))) / (C/(Ref(Mov(C,12,E),-1))*125))

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This is Morris Double Momentum Osc: Mov(((ROC(C,12.8,%))+(ROC(C,19.2,%))),10,W) This is Volatility%: Lookback := Input("Time Periods",1,1000,50); HighVolatility := Input("High Volatility %",.01,100,3); 100 * Sum(100 * ATR(1)/CLOSE > HighVolatility, Lookback)/Lookback This is Positive Volume Indicator: Cum(If(V>Ref(V,-1),ROC(C,1,%),0)) This is negative volume indicator: Cum(If(V<Ref(V,-1),ROC(C,1,%),0))

CANDLE CODE

From "Lyn Maine" Here is the formula from this months TASC called Candle code this is only using 1 formula not like the one in TASC which is broken up into several smaller ones. CandleCode Bdy:=Abs(O-C); Lshd:=If(C>=O,O-L,C-L); Ushd:=If(C>=O,H-C,H-O); ThBotB:=BBandBot(Bdy,55,E,0.5); ThTopB:=BBandTop(Bdy,55,E,0.5); ThBotL:=BBandBot(Lshd,55,E,0.5); ThTopL:=BBandTop(Lshd,55,E,0.5); ThBotU:=BBandBot(Ushd,55,E,0.5); ThTopU:=BBandTop(Ushd,55,E,0.5); CCode:=If(C=O,1,0)*If(Ushd>=Lshd,64,48)+If(C=O,0,1)*(If(C>O,1,0)*(If(Bdy<=T hBotB,80,0)+If(Bdy>ThBotB AND Bdy<=ThTopB,96,0)+ If(Bdy>ThTopB,112,0))+ If(C<O,1,0)*(If(Bdy<=ThBotB,32,0)+ If(Bdy>ThBotB AND Bdy<=ThTopB,16,0)))+(If(Lshd=0,3,0)+ If(Lshd<ThBotL AND Lshd>0,2,0)+ If(Lshd>ThBotL AND Lshd<=ThTopL AND Lshd>0,1,0))+(If(Ushd>0 AND Ushd<=ThBotU,4,0)+ If(Ushd>ThbotU AND Ushd<=ThTopU,8,0)+ If(Ushd>ThTopU,12,0)); CCode;

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Periods:=Input("Enter Periods",2,13,2); Mov(Mov(Mov(Fml("Candlecode"),Periods,S),Periods,S),Periods,S) Tushar Chande's Vidya using the P variable Vidya{P} Periods:=Input("length of MA",5,100,20); K:=Stdev(P,5)/Mov(Stdev(P,5),20,S); A:=(2/(Periods+1)); Vidya:=A*K*(P)+(1-A*K)*Ref(P,-1); Vidya; Tar(SZ)an Long C-(((462*Mov(C,34,E))-(420*Mov(C,13,E))+(490*(Mov(Mov(C,13,E)Mov(C,34,E),89,E))))/42) Tar(SZ)an Short (C-(((325*Mov(C,26,E))-(297*Mov(C,12,E))+(351*Mov(Mov(C,13,E)Mov(C,26,E),9,E))))/28)*2

Tom Demark's Range expansion index TDREI TD1:= H-Ref(H,-2); TD2:= L-Ref(L,-2); TD3:= If((H>=Ref(L,-5) OR H>=Ref(L,-6)) AND (L<=Ref(H,-5) OR L<=Ref(H,6)),1,0); TD4:= If((Ref(H,-2)>=Ref(C,-7) OR Ref(H,-2)>=Ref(C,-8)) AND (Ref(L,2)<=Ref(C,-7) OR Ref(L,-2)<=Ref(C,-8)),1,0); TD6:= (TD1) + (TD2); TD5:= If((TD3) + (TD4)>=1, (TD6), 0); TD7:= Abs(TD1) + Abs(TD2); TDREI:=((TD5) + Ref(TD5,-1) + Ref(TD5,-2) + Ref(TD5,-3) + Ref(TD5,-4))/ (TD7) + Ref(TD7,-1) + Ref(TD7,-2) + Ref(TD7,-3) + Ref(TD7,-4)*100; TDREI;

Trading the Trend (TTT) -- by Andrew Abraham, TASC Magazine 9/1998, was about one form of stoploss exit: subtract some manipulation of the true range from the highest high (or add it to the lowest low) and exit when the close crosses that.

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(Members of Chuck LeBeau's Traders Club will recognise the "Chandelier Exit".) The Chandelier Exit: The exit stop is placed at a multiple of average true range from the highest high or highest close since the entry of the trade. As the highs get higher the stop moves up but it never moves downward. In MS 6.5 as a variable or custom indicator : DaysinTrade:= Barssince(previous composite entry criteria = 1) YO YO Exit This exit is very similar to the Chandelier Exit except that the ATR stop is always pegged to the most recent close instead of the highest high. Since the closes move higher and lower, the stop also moves up and down (hence the Yo Yo name).

Trading the Trend Pds:=21; Mult:=3; TruRan:=Mov(ATR(1),Pds,W)*Mult; HiLimit:=HHV(H,Pds)-TruRan; LoLimit:=LLV(L,Pds)+TruRan; If(C>HiLimit,HiLimit,LoLimit) 1. After closing the Indicator Builder click on the Expert Advisor (the guy in the bowler/derby hat). 2. Click on New, then the Name tab, type in Trading the Trend. 3. Click on the Highlights tab, select the first line so that it is highlighted, click Edit, type in the name Uptrend, select Colour Blue, select Condition, type in C>FmlVar("Trading the Trend","HiLimit"), and click OK, 4. Still on the Highlights tab, select the second line, click Edit, type in the name Downtrend, select Color Red, select Condition, type in C<=FmlVar("Trading the Trend","HiLimit"), click OK, and then click OK again. 5. If you have a chart open that you want to use this on, click Attach, otherwise click Close. In the latter case, when you open a chart and plot the trendline, click on the Expert Advisor, select Trading the Trend, and click on Attach. I've given the Expert steps in detail for any who may not be familiar with its use. To experiment with variations in the lookback periods and the multiplier you can do so in either the Indicator Builder, or right-click the indicator on the chart, select Properties, then the Formula tab, and make the changes (e.g. try a lookback period of 10, and a multiplier of 2.5). As implemented above, the Expert should change accordingly. This shows the trade-offs that have to be made between near and distant stops. This is too rudimentary to be traded as a system - the whipsaws would chop you to pieces - but the exits should help to limit drawdowns. A very similar stoploss is given in Chande & Kroll "The New Technical Trader",

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pp.167 - 169, "Volatility-Based Trailing Stops". My preference is to plot both the high and the low exit lines in contrasting colours, dispensing with the switch between them, and dispensing with the Expert. If anyone wants help with the code, just say so. Assuming you entered everything exactly in both the Indicator Builder and the Expert Advisor, one question comes to mind. Did you decide to adapt the formula to MS v.6.5 and use an Input function for Pds and Mult? It seems like a logical thing to do, and in fact I coded it that way at first. The problem is that the Expert Advisor always reverts to the default value (the System Tester does the same thing). Thus if you used something like: Pds:=Input("Lookback Periods?",1,1000,20) and then when you applied it you changed the periods to 15, the Expert Advisor will still read 20. I hard-coded the Pds and Mult parameters for that reason. From Harvey Pearce hhp@home.com

TTT--TREND TRAILING Indicator -- Andrew Abraham Could have been called: -STOP LOSS Indicator -SUPPORT & RESISTANCE Indicator -DYNAMIC SUPPORT & RESISTANCE Indicator -BUY/SELL TRIGGER Indicator -INVESTORS DREAM Indicator -TRADING Indicator fml("VOLAInd"): Mov(ATR(21),1,W)*3; If(C>Ref(C,-21) AND C>fml("VOLAInd"), HHV(H,21)-Ref(fml("VOLAInd"),-1), Ref(fml("VOLAInd"),-1)+LLV(L,21)) .or. VOLAInd :=Mov(ATR(21),1,W)*3; If(C>Ref(C,-21) AND C>VOLAInd, HHV(H,21)-Ref(VOLAInd,-1), Ref(VOLAInd,-1)+LLV(L,21)) {CHANGE BAR COLORS: double click on the price plot in the chart, from the Color/Style page click the UP drop-list and choose darkblue for upwards, and red for downward price changes}

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John Bollinger describes BWI (Band Width Indicator) as the width of the bands divided by the average of the price: 4*(std(C,20))/mov(C,20,S) I don't know if adding the moving average changes the usefulness of the prospecting; anyway, this is what Bollinger is suggesting. I have written a MetaStock exploration to spot stocks whose BWI has reached extreme low readings. This shows when the BWI is at lower than its highest level for the last 250 days, divided by 3: hhv(4*(std(C,20))/mov(C,20,S),250)/3 The stocks that pass this screening are usually in a non-trending mood, or rather in an horizontal trend where the Bollinger Bands normally represent support and resistance levels. Otherwise, there are cases where the stock is just pausing before resuming a trend. In this second case the BWI doesn't remain under the trigger level for a long time. A further remark is that when the stock enters a low-BWI period, it is often retesting a previous support or resistance level. Although I think BWI extreme lows are an interesting way to find low risk / low volatility stocks, they don't give any clue as of the direction of the following move. from Alberto Torchio

Recently, the "group" was able to supply me with the formula for making a Histogram out of the "bands". I find this the most useful application of Bollinger's formula. The following is the picture I draw: ((C+2*Std(C,20) - Mov(C,20,S)) / (4*Std(C,20)))*4 - 2 Under "properties", I then drop in +2 and -2 (because I'm not bright enough to program them in permanently). I think this is a much better view of the bands. As the price moves up and down as a % of the band width, all the classic applications of

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other "oscillator type" indicators work well (divergence, support/resistance, and overbought/oversold conditions when the price exceeds the Standard Dev. of +/-2). This is just one of ten indicators that I use ... but, for traders trying to understand Bollinger's "envelopes", I think this reconfiguration gives a simpler, cleaner view which allows the technician to analyse the underlying issue without the "squiggles". from Steve Karnish

SYSTEM TEST EXAMPLES from Glen Wallace > "Buy at the open plus half the average true range of the last ten days?" HIGH >= OPEN + 0.5*Ref(ATR(10), -1) > "If these two moving averages cross today, buy on tomorrow's open." MA1:= Mov(CLOSE, 10, SIMPLE); MA2:= Mov(CLOSE, 20, SIMPLE); Ref(Cross(MA1, MA2), -1) (with System Testing Options | Testing tab | Entry Price set to "Open" and delay set to zero) > "Exit five bars after entry." EntryCondition:= {your trade entry conditions}; BarsSince(EntryCondition >= 5)

BOLLINGER OPTIMISED SYNERGY SYSTEM BOSS -- Synergy with Bollinger by John Lowe (March 1998 issue of TAM, a Dutch TA mag) In this article John Bollinger gets mentioned as insisting on using a Price/Close indicator in conjunction with a combined Price/Volume indicator. For example, Price as a moving or exponential average, the Typical Price(High+Low+Close/3) or one of the other on this theme of existing varieties. Bollinger strives for synergy, which has to be confirmed by two of three indicators based on: Closing-price, price and volume, the Bollinger Optimised Synergy System (BOSS): 1st criteria -- Bollinger Bands are best used in conjunction with Wilders' RSI(9 or 14), an indicator based on closing price. 2nd criteria -- Price and volume, combined in the Chaikin Oscillator, are the other part of the BOSS.

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According to most analysts, the Chaikin Oscillator, a diverse accumulation/distribution line, is a very good alternative to the OBV indicator. Chaikin Oscillators' basics are that a healthy trend will be confirmed by a healthy, positive volume-development in the trend-direction. The Chaikin Oscillator can be substituted for with the Money Flow Index (MFI). Chaikin Oscillator formula: Mov(cum(((C-L)-(H-C)/(H-L))*V),3,E)-Mov(cum(((C-L)-(H-C)/(H-L))*V),10,E) from Ton Maas

BIANCHI APPROACH enter long When(Mov( Mid(C, opt1) ,opt1,E),>,Mov(Mid(C, opt1),opt2,E))AND When(Ref(Mov(Mid(C,opt1),opt1,E),-1), <= ,(Ref(Mov((Mid(C,opt1)),opt2,E),1)))AND When(Mov(Abs((Mo(opt3))),opt4,E),>,Ref(Mov(Abs((Mo(opt3))),opt4,E),1))

enter short When(Mov( Mid(C, opt1) ,opt1,E),<,Mov(Mid(C, opt1),opt2,E))AND When(Ref(Mov(Mid(C,opt1),opt1,E),-1), >= ,(Ref(Mov((Mid(C,opt1)),opt2,E),1)))AND When(Mov(Abs((Mo(opt3))),opt4,E),>,Ref(Mov(Abs((Mo(opt3))),opt4,E),1)) OPT 1: 5 to 20 step 1 OPT 2:10 to 16 step1 OPT3:5 to 15 step 1 OPT4:20 to 29 step 1 but you are free to change any value of OPT!

STARC BAND

STARC BAND Formula = (Mov(Typical(),5,S)) Starc Upper Band: Fml( "STARC BAND" )+ (ATR(15)*1.33) Starc Lower Band: Fml( "STARC BAND" )-(ATR(15)*1.33)

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MONEY FLOW INDEX The MFI (Money Flow Index) can be used in place of the OBV (On Balance Volume) and Chaikin Oscillator to confirm Bollinger Bands. From Stocks & Commodities magazine, v. 12:8 (321-324): SIDEBAR: The Money Flow Index "The money flow index (MFI) is a volume-weighted form of the relative strength index (RSI). Instead of using up closes versus down closes, the MFI compares today's average price to yesterday's average price and then weighs the average price by volume to calculate money flow (MF). The ratio of the summed positive and negative money flows are then normalized to be on a scale of zero to 100." Here are the MetaStock formulas for the Money Flow Index: Positive Money Flow: sum ( if ( typ( ) ,> ,ref ( typ ( ) ,-1 ) ,V * typ ( ) ,0 ) , PERIODS) Negative Money Flow: sum ( if ( typ( ) ,< ,ref ( typ( ) ,-1) ,V * typ ( ) * -1 ,0 ) , PERIODS) Money Flow Ratio: fml ( "Positive Money Flow" ) / fml ( "Negative Money Flow" ) Money Flow Index: 100 - ( 100 / ( 1 + fml ( "Money Flow Ratio" ) ) ) NB:The time periods are controlled by PERIODS in the Positive & Negative Money Flow formulas.

From: Ton Maas According to most analysts, the Chaikin Oscillator, a diverse accumulation/distribution line, is a very good alternative to the OBV (On Balance Volume) indicator. Chaikin Oscillator basics are that a healthy trend will be confirmed by a healthy, positive volume development in the trend direction. The MFI (Money Flow Index) can also substitute for the Chaikin Oscillator. Chaikin Oscillator formula:

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Mov(cum(((C-L)-(H-C)/(H-L))*V),3,E)-Mov(cum(((C-L)-(H-C)/(H-L))*V),10,E)

From: Philip Schmitz MetaStock v6 does not appear to provide an indicator which shows the width of Bollinger Bands, so I have concocted a simple one to suit my own needs: "Band Width" = BBandTop(C, 70, E , 2) - BBandBot(C, 70, E , 2) As a next step, I would like to devise an indicator which tells me how the current value of "Band Width" relates to the overall range of Band Widths for a specified period, or, since my interest is commodities, the life of the contract -- in other words all data loaded. Where, on a percentage basis, does it fall?

KARNISH BOLLINGER BAND HISTOGRAM TRADING SYSTEM {EnterLong and Close Short} BBHistogram:= (CLOSE + 2*Std(CLOSE,20) Mov(CLOSE,20,SIMPLE)) / (4*(Std(CLOSE,20))) * 100; Cross(0,BBHistogram) {Enter Short and Close Long} BBHistogram:= (CLOSE + 2*Std(CLOSE,20) Mov(CLOSE,20,SIMPLE)) / (4*(Std(CLOSE,20))) * 100; Cross(BBHistogram,100)

BB HISTOGRAM

((C+2*Std(C,20)-Mov(C,20,S))/(4*(Std(C,20)))*100) Sell the opening days after the BB Histogram penetrates 100 and buy when it penetrates zero. Add to positions when the BB Histo leaves "above 100" or "below zero" and then "repenetrates" the trigger levels. I believe this approach has recorded 11 straight S&P winners, with 700+ points. "But

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Steve, this system must not be working any more because it is losing the last trade you put on". Right! My only disclaimer is that I guarantee that I will sell software, charting services and anything else that I can think of to make a "buck" in 2000. In the meantime, suck all the free stuff from me you can copy. And most of all, please note, the biggest antagonists on the list provide absolutely "zero" when it comes to helping you trade. Seek the answers from "within" (with some shortcutting help from people that are willing to share). Steve Karnish

CMA, "1) Sell the opening (long or short) X-number of days(?) after the indicator above moves from below 100 to above 100. (Is this on a close-to-close basis?)" Specifically, sell the opening the day after the BB Histo closes above 100. "2) Buy or cover when the indicator goes from above 100 to below 100 or from above 0 to below 0 X-number of days after that occurs." Buy, when the BB Histo dips below zero (the following morning). "a) how many days after the signal does one act;" The following morning. " b) Is this close-to-close or intra-day?" close to close "c) Is this to initiate or to go short or add to a position?" Add to positions if the indicator "repenetrates" these levels ... otherwise, reverse when it triggers.

Steve Karnish

BOLLINGER BANDS 2 I am sure Steve has done something better, but here is a simple (MetaStock) formula allowing you to draw Bollinger Bands as an oscillator: 100*(C-Mov(C,20,S)+2*Stdev(C,20))/(4*Stdev(C,20))

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enter long: n :=opt2{Time periods}; BullFear := (HHV(HIGH,n) - LLV(HIGH,n))/2 + LLV(HIGH,n); Cross(CLOSE,bullfear) AND DX(10) > opt1 close long: n :=opt2{Time periods}; BearFear := (HHV(LOW,n) - LLV(LOW,n))/2 + LLV(LOW,n); CLOSE < bearfear {Mike Arnoldi}

The system is a trend follower that appears to get you in at the early in a trend. If the trend breaks down for any reason, the system seems to take you out with relatively little pain, and there is a relatively high percentage of losing trades (usually around 50%). Therefore, the system seems to perform best on issues that are prone to make prolonged moves. The trick is to find those issues. I do admit that the system is not perfect; for instance, it is my belief that the exit could be improved on winners to preserve more profit. However, I've been unable to develop an alternative exit that improves the system return. I've been trading this system myself for about a year and have had good results. Even in the April-September period when everything seemed to stall and move sideways, I was, at least able to hold my own and maintain my capital until the October breakalways started to occur. For awhile, until I got bored with it, I phantom traded this system in the Yahoo Investment Challenge. I typically made about 20% a month using the system in that venue.

Buy n :=opt2{Time periods}; BullFear := (HHV(HIGH,n) - LLV(HIGH,n))/2 + LLV(HIGH,n); Cross(CLOSE,bullfear) AND DX(10) > opt1

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Sell n :=opt2{Time periods}; BearFear := (HHV(LOW,n) - LLV(LOW,n))/2 + LLV(LOW,n); CLOSE < bearfear Optimize the time periods from 10 to 50 in increments of 1 while testing the DX from 5 to 30 in increments of 5 (you can do it in increments of 1 but it takes longer). Once the Optimal time period is determined in this manner, then retest with the determined optimal time period and the DX in increments of 1. Note that this system is intended to be a stop and reverse system and you can use it to go short as well if you'd like to. Jeff 5 DAY HIGH

{"Today must make a five-day high and today the close must be below the open."} {Place the following in the MetaStock Explorer filter section.} HIGH > Ref(HHV(HIGH,4),-1) AND CLOSE < OPEN {or you can write it this way too ...} HIGH > Ref(HIGH,-4) AND HIGH > Ref(HIGH,-3) AND HIGH > Ref(HIGH,-2) AND HIGH > Ref(HIGH,-1) AND CLOSE < OPEN {from bdog}

STOCH RSI

Although I keep the best of the bunch as a "super secret" for friends, relatives, and clients ... here is a smattering of formulae that might be useful. StoRSI's perform very differently when you plug in various numbers. Experiment and determine which are most suitable for your style and markets. Substitute numbers, apply moving averages, get creative. These are just a few: ((RSI(21)-LLV(RSI(21),8))/((HHV(RSI(21),13))-LLV(RSI(21),13))) ((RSI(21)-LLV(RSI(21),21))/((HHV(RSI(21),21))-LLV(RSI(21),21)))

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((RSI(14)-LLV(RSI(14),14))/((HHV(RSI(14),14))-LLV(RSI(14),14))) Mov((RSI(21)-LLV(RSI(21),13))/(HHV(RSI(21),8)(LLV(RSI(21)+.00001,13))),8,E) *100 Mov((RSI(5)-LLV(RSI(5),5))/(HHV(RSI(5),5)- (LLV(RSI(5),5))),3,E)*100 Mov((RSI(13)-LLV(RSI(13),13))/(HHV(RSI(13),13)- (LLV(RSI(13),13))),3,E)*100 from Steve Karnish Cedar Creek Trading ADX RAW {MetaStock code written by Equis and published in the Oct99 TASC} Periods:= Input("Enter time periods",1,100,14); PlusDM:= If(HIGH>Ref(HIGH,-1) AND LOW>=Ref(LOW,-1), HIGH-Ref(HIGH,-1), If(HIGH>Ref(HIGH,-1) AND LOW<Ref(LOW,-1) AND HIGH-Ref(HIGH,-1)>Ref(LOW,-1)-LOW, HIGH-Ref(HIGH,-1), 0)); DIPlus:= 100 * Wilders(PlusDM,Periods) / ATR(Periods); MinusDM:= If(LOW<Ref(LOW,-1) AND HIGH<=Ref(HIGH,-1), Ref(LOW,-1)-LOW, If(HIGH>Ref(HIGH,-1) AND LOW<Ref(LOW,-1) AND HIGH-Ref(HIGH,-1)<Ref(LOW,-1)-LOW, Ref(LOW,-1)-LOW, 0)); DIMinus:= 100 * Wilders(MinusDM,Periods) / ATR(Periods); DIDif:= Abs(DIPlus - DIMinus); DISum:= DIPlus + DIMinus; ADXRaw:= 100 * Wilders(DIDif/DISum, Periods);

ADX WITH STOCHASTIC SIGNALS Metastock users can reproduce the trend bars and entry signals shown on the CWO chart using the Expert Advisor. Create a new expert and under Symbols add a new entry with the following condition : ADX(14) > 20 AND ( Mov(C,15,S) > Mov(C,30,S)) AND ( Mov(C,5,S) > Mov(C,30,S)) AND Stoch(5,3) < 30 AND Ref(Stoch(5,3) ,-1) >=30

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Under Trends add the Bullish formula : ADX(14) > 20 AND ( Mov(C,15,S) > Mov(C,30,S)) AND ( Mov(C,5,S) > Mov(C,30,S)) and the Bearish formula : ADX(14) > 20 AND ( Mov(C,15,S) < Mov(C,30,S)) AND ( Mov(C,5,S) < Mov(C,30,S)) C Miller

Below is the MetaStock code I posted for the Chandelier exit back in October, 1999. The trick is to define the entry date/price as the point at which your system triggered the entry, not by using the date functions. A side benefit is that you can also use it to implement a fixed dollar, or money management, stop. The more time I spend with the Chandelier exit, the more I admire its strength as an exit and its simplicity. Because exits tend to be the weakest part of a system, I would urge everyone to spend some time with it. And Chuck LeBeau gets credit for the MetaStock code, not me. I just took his framework and applied it to his exit.

{LONG EXIT} LongEntry:= {this your entry system, eg. Cross(CLOSE, Mov(C,20,E))}; MoneyMgmtStop:= {this is your maximum loss, in points}; {DEFINE ENTRY PRICE, WITH EXIT BEING -- ENTRY PRICE AND NO TRADE BEING 0} EntryPrice:= If(PREV <= 0, {Trade entered today?} If(LongEntry, CLOSE, 0), {Trade entered before today. Stopped today?} If(LOW <= PREV - MoneyMgmtStop, -PREV, If(LOW <= HighestSince(1,PREV=0, HIGH) - 3 * ATR(10), -PREV, If(LOW <= HighestSince(1,PREV=0, CLOSE) - 2.5 * ATR(10), -PREV, PREV)))); {EXIT IF ENTRY PRICE < 0 (MEANING EXIT)} EntryPrice < 0

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{SHORT EXIT} ShortEntry:= {this your entry system, eg. Cross(Mov(C,20,E), CLOSE)}; MoneyMgmtStop:= {this is your maximum loss, in points}; {DEFINE ENTRY PRICE, WITH EXIT BEING -ENTRY PRICE AND NO TRADE BEING 0} EntryPrice:= If(PREV <= 0, {Trade entered today?} If(ShortEntry, CLOSE, 0), {Trade entered before today. Stopped today?} If(HIGH >= PREV + MoneyMgmtStop, -PREV, If(HIGH >= LowestSince(1,PREV=0, LOW) + 3 * ATR(10), -PREV, If(HIGH >= LowestSince(1,PREV=0, CLOSE) + 2.5 * ATR(10), -PREV, PREV)))); {EXIT IF ENTRY PRICE < 0 (MEANING EXIT)} EntryPrice < 0

What follows is a simple example using a moving average crossover system for MetaStock, employing 10 and 30 day exponential averages. These are just examples and profitability is dubious. Custom indicator which gives 1 for longs and -1 for shorts-Indicator Name: Position MASwitch:=If(Mov(C,10,E)>Mov(C,30,E),1,If(Mov(C,10,E)<Mov(C,30,E),-1,0)); If(BarsSince(MASwitch=1) <BarsSince(MASwitch=-1),1,-1) Custom indicator for cumulative open Equity curve without trading costs-Indicator name: Equity Cum(If(Ref(Fml("Position"),-1)=1,C-Ref(C,-1),Ref(C,-1)-C)) You can make several such equity lines and then just add them by using a yet another custom indicator, e.g., Indicator name: TotalEquity Fml("Equity1")+Fml("Equity2") from Yngvi

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hardy@consulting.is SETTING UP THE ADX TEMPLATE This constructs the template mentioned in the ADX article of the October 1999 issue of TASC by Paul Babbitt. 1. Chart your stock/index/whatever, using a "Clean" template, then do the same again, so that the two overlapping charts are displayed. 2. On the menu bar, click Windows, then Columns. The two charts will then be displayed side-by-side. 3. Change the left-hand chart from Daily to Weekly. Right click on the date scale and select X-Axis. Set the displayed range of dates to what you want, e.g., 1996 to 1999. Make sure the loaded dates range starts earlier. Click the Margin tab and set the margin to 1. 4. From the Indicator drop-down list select Moving Average and drag it to the lefthand chart. A 40 period on the weekly chart corresponds to a 200 day MA. 5. For the right-hand chart, leave it at a daily interval but set the X-Axis as in paragraph 3 above to, say, a 3-month display. 6. Drag the Bollinger Band indicator to the right-hand chart. 7. Drag the Directional Movement ADX indicator to the top of the right-hand chart until the cursor changes to a box, then release. Set the horizontal lines as desired. 8. Similarly drag the RSI indicator to the bottom of the right-hand chart. from HHP WRITING METASTOCK EXPLORATIONS MetaStock is a marvellous program for traders, but can appear complicated and intimidating at first. In reality, it's easy and fun, if you take it slowly, step by step. Let's consider a common trader's question: "How can MetaStock help me find all the stocks where the 3 day moving average has just crossed above the 10 day moving average?" MetaStock's Explorer tool allows you to search all the stocks in the ASX, and within a minute or two (depending on your computer's speed!) generate a list of all stocks meeting this particular criteria. Here's a step by step guide for beginners: 1. Open up your Explorer tool in MetaStock by clicking on the little "binoculars" symbol in the upper right field of your screen, or find it under Tools in the drop-down menu. 2. You will be presented with the Explorer screen showing a list of ready-made Equis Explorations plus various options to view or edit them. More about these later. Look instead at the list of options to the right.

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3. Choose the "New" button and click. You've just starting writing your own MetaStock Exploration! MetaStock gives it the name "<New Exploration>" but let's rename it "Moving Average Crossover" for the sake of this exercise. 4. Note that the Explorer screen has an upper section labelled "Notes" and then, just below, seven columns, with tabs, labelled "A" to "F," plus "Filter." For now we're just going to work with the "Filter" column. Click on its tab and you're ready to write a MetaStock formula in this column. 5. Enter the following without the quotation marks: "Cross( Mov(c,3,s) , Mov(c,10,s) )" but don't worry about the *spaces* between letters and punctuations marks, nor about capitalisation. 6. Here's a quick explanation to ponder, before we go further. What you've just entered under MetaStock Explorer's Filter is a much more simple formula than you realise! It means only "Crossover A over B" or "Crossover 3 over 10" in ordinary English. MetaStock writes this as "Cross( A , B )" where A and B are other MetaStock formulas, any formulas you like. In this case, we're putting two different moving averages in the place of A and B. MetaStock writes the English language phrase "Moving Average of the past 3 days" as "mov(c,3,s)" and the second moving average is exactly the same, with the numeral 10 substituted for the 3. 7. Your first MetaStock Exploration is now finished. Click "OK" in the lower left of the Explorer field to save it and you will quickly find your own "Moving Average Crossover" Exploration added to those already on MetaStock's ready-made list. 8. Next, click on the "Explore" button and MetaStock will prompt you for the path to the place on your computer where you have all your ASX (or other) data. Choose which securities you want to scan. I suggest that you choose them all to start with, and save this as a "List" named "All" so that when you make more Explorations you won't have to go through this step again. You can just choose the "All" list whenever you want to scan stocks. (Take note at this point that MetaStock has excellent assistance for you under its "Help" tab as well as one of the best software manuals ever written.) 9. MetaStock will quickly verify that your stocks are where you say they are, and prompt you for an "OK". Once you do this, you can watch a nifty screen where MetaStock outlines its search for all the stocks that match your search (Filter) criteria. How long this process takes depends once again on the speed of your computer! 10. When Explorer is finished you should choose the "Report" option to find a filtered list of all the stocks which *today* have their 3 day moving average rising above their 10 day moving average. MetaStock allows you to open each or all of these stocks in full screen pages for further analysis. Patrick McDonald

BACKDATING METASTOCK EXPLORATIONS Perhaps the above is enough for many traders, but a few further MetaStock nuances can add to the value of the information you've uncovered. For example, wouldn't you like to know which stocks have met the chosen crossover criteria in the past, say, five days? And wouldn't it be handy to be able to sort your newly discovered stocks in order of price or volume? If so, read on for a few more simple tips. 1. Go back to the main Explorer tool section, highlight your "Moving Average Crossover" Exploration, and hit the "edit" key this time. You can now make alterations to your Exploration. Ignore the upper "Notes" section and click on Column A first. You will see a large white field for entry of formulas and a small field in the

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lower left, entitled "Col Name." Simply put a "c" in the large formula section and "Close" in the column name section. Repeat these actions for Column B, with "v" and "Volume" respectively. Now when your Exploration presents you with your data, you can easily sort by price (c) or volume (v). 2. Finally, click on the "Filter" tab again to slightly modify your Exploration formula. The way you have it set up initially tells MetaStock to find all stocks which meet the criteria today. You now want it to find all stocks that have met these criteria over the past five days. The answer is the MetaStock Alert function, which is written "Alert( A , Number ) where "A" is any formula you care to choose, and "Number" is the number of days. So now you put your original formula in the place of A. The result is: "Alert( Cross( Mov(C,3,E) , Mov(C,10,E) ) ,5)" without the quotation marks. Save your new Exploration with the "OK" button and you're ready to find all stocks whose 3 day moving average passed above the 10 day moving average in the past five trading days! The above information should allow you to write further Explorations by simply changing the numbers. If you prefer to use Exponential Moving Averages instead of Simple Moving Averages, change "s" to "e" in the formulas. You can also open up the ready made Equis Explorations, investigate how they're written, and change them with the "Edit" command (then saving with a new name). A further step is to investigate the hundreds of formulas available here on this web site and modify them in the same way. This is the quick and easy way to learn how to program with MetaStock. Follow the examples given by all the kind and clever MetaStock users who have gone before you, and tweak, tweak, tweak. Patrick McDonald VIDYA 21, 5 This is the MetaStock code for VIDYA 21,5 which applies to the article "Breaking Out Of Price Channels" by Gerald Marisch in the TASC January 1998 edition. Length:=Input("Length",1,200,21); Smooth:=Input("Smoothing",1,200,5); AbsCMO:=(Abs(CMO(C,Length)))/100; SC:=2/(Smooth+1); VIDYA:=If(Cum(1)<=(Length+1),C,(SC*AbsCMO*CLOSE)+(1(SC*AbsCMO))*PREV); VIDYA from Ian Burgogyne XXXXXXXXXX VIDYA WITH P VARIABLE VERSION 2

My version of Tushar Chande's Vidya, using the P variable Vidya{P} Periods:=Input("length of MA",5,100,20);

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K:=Stdev(P,5)/Mov(Stdev(P,5),20,S); A:=(2/(Periods+1)); Vidya:=A*K*(P)+(1-A*K)*Ref(P,-1); Vidya; Tar(SZ)an Long C-(((462*Mov(C,34,E))-(420*Mov(C,13,E))+(490*(Mov(Mov(C,13,E)Mov(C,34,E),89,E))))/42) Tar(SZ)an Short (C-(((325*Mov(C,26,E))-(297*Mov(C,12,E))+(351*Mov(Mov(C,13,E)Mov(C,26,E),9,E))))/28)*2 from Barry Marx XXXXXXXXXX VIDYA EXPLANATION

Vidya is a subject that comes up with some regularity. It's actually available in MetaStock as the Variable Moving Average (Mov(C,n,V) but Equis, for their own inscrutable reasons, choose not to identify it by name. If you refer to the MetaStock manual, be aware that there is a typo in the formula (0.078 should read 0.78). Two or three years ago I coded the version given in TAS&C and it overlaid the MetaStock version precisely, except that at the time the MetaStock version was not correctly initialised -- this has since been corrected. Equis acknowledged the typo at the time, but have done nothing about it. As far as the 'circular reference' is concerned, you are right that eventually you run out of data. However adding a portion of yesterday's value to a portion of today's value is common to several indicators, such as the Exponential Moving Average. If no provision is made, then usually the indicator will start with a value of zero, rise rapidly at first, then take some time to stabilise. One answer is to initialise it. For a Vidya of the close, period N, you can initialise with something like "If(Cum(1) < N, C,{else} ...)" with the Vidya formula as the 'else'. Then at day N the indicator uses the (N-1) close for yesterday's data and takes much less time to stabilise. from HHP XXXXXXXXX VIDYA USING A P VARIABLE VERSION 1 Here is a version of Vidya using a P variable that matches MetaStock's built-in Variable Moving Average. You can overlay them in different colours on the same chart to satisfy yourself that they are indeed the same (but remember to use the same

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number of periods). There is a small difference at the start due to different initialisation, after which they are identical. The coding is spelled out for the benefit of anyone studying the book. It can be adapted by adding a variable input for the CMO length (9), or made universal by replacing each C with a P, or the Abs(CMOsc) can be replaced with a different volatility index that ranges between 0 and 1. {Vidya (Chande)} Pds:= Input("Number of Periods?",1,1000,20); Alpha:= 2/(Pds+1); {Chande Momentum Oscillator} {UD = Up day} {DD = Down day} UD:= Sum((C-Ref(C,-1))*(C>Ref(C,-1)),9); DD:= Sum((Ref(C,-1)-C)*(C<Ref(C,-1)),9); CMOsc:= (UD-DD)/(UD+DD); k:= Abs(CMOsc); Vidya:= (Cum(1) < Pds) * C + (Cum(1)>=Pds) * ((Alpha * k * C) + (1-Alpha * k) * PREV); Vidya {from HHP} XXXXXXXXXXXXX CHANNEL EXIT WITH STOP LOSS As people have mentioned before, it is difficult to design exits in MetaStock because of the awkwardness of defining your trade entry price. One exit system that requires your trade entry price is the channel exit. For those not familiar with it, the channel exit is quite a straight forward trailing stop. Once you're in a trade (let's say, long), you maintain your stops at the lowest low of the past number of days (optimized, in the code below) until you are taken out of the market. This method attempts to let profits run in the direction of the trend, but takes you out when price makes a significant reversal and you risk giving back profits on a retracement or the end of the trend. Below is the code for a channel exit. It also includes a money management stop to limit losses to an acceptable level until the channel exit exceeds it. Work on variations of this basic theme, such as moving the stop up faster where the market makes rapid gains and your lowest low in, say, 10 or 20 days is just too far away to adequately protect profits. -- Glen Wallace {LONG EXIT} LongEntry:= {this your entry system, eg. Cross(CLOSE, Mov(C,20,E))}; MoneyMgmtStop:= {this is your maximum loss, in points};

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{DEFINE ENTRY PRICE, WITH EXIT BEING -ENTRY PRICE AND NO TRADE BEING 0} EntryPrice:= If(PREV <= 0, {Trade entered today?} If(LongEntry, CLOSE, 0), {Trade entered before today. Stopped today?} If(LOW <= Max(PREV - MoneyMgmtStop, Ref(LLV(LOW,opt1),-1)), -PREV, PREV)); {EXIT IF ENTRY PRICE < 0 (MEANING EXIT)} EntryPrice < 0

{SHORT EXIT} ShortEntry:= {this your entry system, eg. Cross(Mov(C,20,E), CLOSE)}; MoneyMgmtStop:= {this is your maximum loss, in points}; {DEFINE ENTRY PRICE, WITH EXIT BEING -ENTRY PRICE AND NO TRADE BEING 0} EntryPrice:= If(PREV <= 0, {Trade entered today?} If(ShortEntry, CLOSE, 0), {Trade entered before today.Stopped today?} If(HIGH >= Min(PREV + MoneyMgmtStop, Ref(HHV(HIGH,opt1),-1)), -PREV, PREV)); {EXIT IF ENTRY PRICE < 0 (MEANING EXIT)} EntryPrice < 0 XXXXXX HIGHER VOLUME EXPLORATION Required: today's volume to be greater than the highest high over the past 21 days. MetaStock Explorer filter: V>Ref(HHV(V,21),-1) from HHP XXXXXXXXXX ENTER 20 DAYS AFTER MOV SIGNAL I am trying to use the MetaStock Explorer to find all stocks with the following: 1. c - mov(c,60,s)<0 2. Above condition should be in place for 20 days/ I use c - Mov(c,60,s)<0 but how do I write the Exploration?

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from wsb ======================================================== Use (C - Mov(C,60,S))<0 AND Ref((C - Mov(C,60,S))<0),-1) AND ... Ref((C Mov(C,60,S))<0),-19) where ... stands for all Ref( x,-i) with i between 2 and 18. from Yngvi ======================================================== Under the MetaStock Explorer filter, use something like: C>MOV(C,60,S) AND REF((C>MOV(C,60,S)),-1) AND REF((C>MOV(C,60,S)),-2) AND REF((C>MOV(C,60,S)),-3) AND REF((C>MOV(C,60,S)),-4) AND REF((C>MOV(C,60,S)),-5) AND REF((C>MOV(C,60,S)),-6) AND REF((C>MOV(C,60,S)),-7) AND REF((C>MOV(C,60,S)),-8) AND REF((C>MOV(C,60,S)),-9) AND REF((C>MOV(C,60,S)),-10) AND REF((C>MOV(C,60,S)),-11) AND REF((C>MOV(C,60,S)),-12) AND REF((C>MOV(C,60,S)),-13) AND REF((C>MOV(C,60,S)),-14) AND REF((C>MOV(C,60,S)),-15) AND REF((C>MOV(C,60,S)),-16) AND REF((C>MOV(C,60,S)),-17) AND REF((C>MOV(C,60,S)),-18) AND REF((C>MOV(C,60,S)),-19) That should work ... theoretically. The only thing I'm concerned about is the REF format. However, I think it's correct. The Close is always above (or greater than '>') the MOV. The parentheses always match. Because a 60 day MOV is rather slow, you probably could shorten the formula by leaving out all of the even numbered REFerences: C>MOV(C,60,S) AND REF((C>MOV(C,60,S)),-1) AND REF((C>MOV(C,60,S)),-3) AND REF((C>MOV(C,60,S)),-5) AND REF((C>MOV(C,60,S)),-7) AND REF((C>MOV(C,60,S)),-9) AND REF((C>MOV(C,60,S)),-11) AND REF((C>MOV(C,60,S)),-13) AND REF((C>MOV(C,60,S)),-15) AND REF((C>MOV(C,60,S)),-17) AND REF((C>MOV(C,60,S)),-19) from Daniel Martinez XXXXXXXXXX VOLUME BASED EXPLORATION 1. Stocks with volume > 10x the previous day's volume 2. Stocks where the above situation hasn't occurred during the previous 60 days.

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ColA = if(V > 10*ref(V,-1),1,0) ColB = ref(barssince(V>10*ref(V,-1)),-1) Filter: ColA=1 and ColB>60 from warthog LSS OSCILLATOR AND PIVOT POINT Here are a few formula's that I picked up from a mailing from George Angell LSS 5 day Osc X:=HHV(H,5)-Ref(O,-5); Y:=C-LLV(L,5); LSS:=100*(X+Y)/(HHV(H,5)-LLV(L,5))*2; LSS; LLS 5 DAY Osc Diff from 3 day osc X:=HHV(H,5)-Ref(O,-5); Y:=C-LLV(L,5); LSS:=100*(X+Y)/(HHV(H,5)-LLV(L,5))*2; Diff:=LSS-Ref(LSS,-3); Diff; LLS Strength Index(1 day) 100*(Ref(C,-1)-Ref(L,-1))/(Ref(H,-1)-Ref(L,-1)) LLS Pivot Breakout Buy Number X:=(H+L+C)/3; BBN:=2*X-L; BSN:=2*X-H; BBN; BSN;

From Henry Kaczmarczyk Volatility % Indicator Create the Volatility% Indicator from William Browers S&C article in MetaStock for Windows.

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100 * Sum(100 * ATR(1)/CLOSE > HighVolatility, Lookback)/Lookback From Henry Kaczmarczyk Instantaneous Trendline and Sinewave Indicator as described by John Ehlers Here are a few formula's that I picked up from a mailing from George Angell LSS 5 day Osc X:=HHV(H,5)-Ref(O,-5); Y:=C-LLV(L,5); LSS:=100*(X+Y)/(HHV(H,5)-LLV(L,5))*2; LSS; LLS 5 DAY Osc Diff from 3 day osc X:=HHV(H,5)-Ref(O,-5); Y:=C-LLV(L,5); LSS:=100*(X+Y)/(HHV(H,5)-LLV(L,5))*2; Diff:=LSS-Ref(LSS,-3); Diff; LLS Strength Index(1 day) 100*(Ref(C,-1)-Ref(L,-1))/(Ref(H,-1)-Ref(L,-1)) LLS Pivot Breakout Buy Number X:=(H+L+C)/3; BBN:=2*X-L; BSN:=2*X-H; BBN; BSN;

XXXXXXXXXX 1997 December TASC Trader's Tip - Volatility % Indicator You can easily create the Volatility% Indicator from William Browers article in MetaStock for Windows. First choose Indicator Builder from the Tools menu in MetaStock. Next choose New and enter one of the following formulas: Formula for MetaStock 6.5 Volatility% Lookback := Input("Time Periods",1,1000,50); HighVolatility := Input("High Volatility %",.01,100,3); 100 * Sum(100 * ATR(1)/CLOSE > HighVolatility, Lookback)/Lookback

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Instantaneous Trendline and Sinewave Indicator as described by John Ehlers Here is the MetaStock 6.52 or higher formula code for the Instantaneous Trendline and Sinewave Indicator as described by John Ehlers in his article At Last! A TrendFriendly Oscillator. To implement them the following formulas must be created in MetaStocks Indicator Builder. Each formula must be created separately and must be named exactly as it appears below. Only the last two formulas are plotted, so you may wish to prevent the others from being displayed in the Indicator QuickList by unchecking the Display In QuickList option when creating the formula. To download and install the formulas use the following steps Download the MS65FORM.DTA file into a temp folder To Download the file for this formula click MS65FORM.DTA Use the following instructions to Import the MS65FORM.DTA file from the temp file it was downloaded to. 1. Run MetaStock. 2. Choose Indicator Builder from the Tools menu. 3. Click the Organize button to launch the Formula Organizer Wizard. 4. Follow the on-screen instructions.

Name: H cycle count 1a value:= Fml("Hilbert cycle period - 1a"); If(Sum(value,6)>=360 AND Sum(value,5)<360 ,6,0) + If(Sum(value,7)>=360 AND Sum(value,6)<360 ,7,0) + If(Sum(value,8)>=360 AND Sum(value,7)<360 ,8,0) + If(Sum(value,9)>=360 AND Sum(value,8)<360 ,9,0) + If(Sum(value,10)>=360 AND Sum(value,9)<360 ,10,0) + If(Sum(value,11)>=360 AND Sum(value,10)<360 ,11,0) + If(Sum(value,12)>=360 AND Sum(value,11)<360 ,12,0) + If(Sum(value,13)>=360 AND Sum(value,12)<360 ,13,0) +

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Name: H cycle count 2a value:= Fml("Hilbert cycle period - 1a"); If(Sum(value,16)>=360 AND Sum(value,15)<360 ,16,0) + If(Sum(value,17)>=360 AND Sum(value,16)<360 ,17,0) + If(Sum(value,18)>=360 AND Sum(value,17)<360 ,18,0) + If(Sum(value,19)>=360 AND Sum(value,18)<360 ,19,0) + If(Sum(value,20)>=360 AND Sum(value,19)<360 ,20,0) + If(Sum(value,21)>=360 AND Sum(value,20)<360 ,21,0) + If(Sum(value,22)>=360 AND Sum(value,21)<360 ,22,0) + If(Sum(value,23)>=360 AND Sum(value,22)<360 ,23,0) + If(Sum(value,24)>=360 AND Sum(value,23)<360 ,24,0) + If(Sum(value,25)>=360 AND Sum(value,24)<360 ,25,0)

Name: H cycle count 3a value:= Fml("Hilbert cycle period - 1a"); If(Sum(value,26)>=360 AND Sum(value,25)<360 ,26,0) + If(Sum(value,27)>=360 AND Sum(value,26)<360 ,27,0) + If(Sum(value,28)>=360 AND Sum(value,27)<360 ,28,0) + If(Sum(value,29)>=360 AND Sum(value,28)<360 ,29,0) + If(Sum(value,30)>=360 AND Sum(value,29)<360 ,30,0) + If(Sum(value,31)>=360 AND Sum(value,30)<360 ,31,0) +

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If(Sum(value,33)>=360 AND Sum(value,32)<360 ,33,0) + If(Sum(value,34)>=360 AND Sum(value,33)<360 ,34,0) + If(Sum(value,35)>=360 AND Sum(value,34)<360 ,35,0)

Name: H ip sum 1 pd:=Int(Fml("Hilbert cycle period - final-a")); pr:=(H+L)/2; (Cos(0)*pr)+ (Cos(360*(1/pd))*Ref(pr,-1))+ (Cos(360*(2/pd))*Ref(pr,-2))+ (Cos(360*(3/pd))*Ref(pr,-3))+ (Cos(360*(4/pd))*Ref(pr,-4))+ (Cos(360*(5/pd))*Ref(pr,-5))+ If(pd>6, Cos(360*(6/pd))*Ref(pr,-6), 0)+ If(pd>7, Cos(360*(7/pd))*Ref(pr,-7), 0)+ If(pd>8, Cos(360*(8/pd))*Ref(pr,-8), 0)+ If(pd>9, Cos(360*(9/pd))*Ref(pr,-9), 0)+ If(pd>10, Cos(360*(10/pd))*Ref(pr,-10), 0)+ If(pd>11, Cos(360*(11/pd))*Ref(pr,-11), 0)+ If(pd>12, Cos(360*(12/pd))*Ref(pr,-12), 0)+ If(pd>13, Cos(360*(13/pd))*Ref(pr,-13), 0)+ If(pd>14, Cos(360*(14/pd))*Ref(pr,-14), 0)

Name: H ip sum 2

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pr:=(H+L)/2; If(pd>15, Cos(360*(15/pd))*Ref(pr,-15), 0)+ If(pd>16, Cos(360*(16/pd))*Ref(pr,-16), 0)+ If(pd>17, Cos(360*(17/pd))*Ref(pr,-17), 0)+ If(pd>18, Cos(360*(18/pd))*Ref(pr,-18), 0)+ If(pd>19, Cos(360*(19/pd))*Ref(pr,-19), 0)+ If(pd>20, Cos(360*(20/pd))*Ref(pr,-20), 0)+ If(pd>21, Cos(360*(21/pd))*Ref(pr,-21), 0)+ If(pd>22, Cos(360*(22/pd))*Ref(pr,-22), 0)+ If(pd>23, Cos(360*(23/pd))*Ref(pr,-23), 0)+ If(pd>24, Cos(360*(24/pd))*Ref(pr,-24), 0)

Name: H ip sum 3 pd:=Int(Fml("Hilbert cycle period - final-a")); pr:=(H+L)/2; If(pd>25, Cos(360*(25/pd))*Ref(pr,-25), 0)+ If(pd>26, Cos(360*(26/pd))*Ref(pr,-26), 0)+ If(pd>27, Cos(360*(27/pd))*Ref(pr,-27), 0)+ If(pd>28, Cos(360*(28/pd))*Ref(pr,-28), 0)+ If(pd>29, Cos(360*(29/pd))*Ref(pr,-29), 0)+ If(pd>30, Cos(360*(30/pd))*Ref(pr,-30), 0)+ If(pd>31, Cos(360*(31/pd))*Ref(pr,-31), 0)+ If(pd>32, Cos(360*(32/pd))*Ref(pr,-32), 0)+

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Name: H rp sum 1 pd:=Int(Fml("Hilbert cycle period - final-a")); pr:=(H+L)/2; (Sin(0)*pr)+ (Sin(360*(1/pd))*Ref(pr,-1))+ (Sin(360*(2/pd))*Ref(pr,-2))+ (Sin(360*(3/pd))*Ref(pr,-3))+ (Sin(360*(4/pd))*Ref(pr,-4))+ (Sin(360*(5/pd))*Ref(pr,-5))+ If(pd>6, Sin(360*(6/pd))*Ref(pr,-6), 0)+ If(pd>7, Sin(360*(7/pd))*Ref(pr,-7), 0)+ If(pd>8, Sin(360*(8/pd))*Ref(pr,-8), 0)+ If(pd>9, Sin(360*(9/pd))*Ref(pr,-9), 0)+ If(pd>10, Sin(360*(10/pd))*Ref(pr,-10), 0)+ If(pd>11, Sin(360*(11/pd))*Ref(pr,-11), 0)+ If(pd>12, Sin(360*(12/pd))*Ref(pr,-12), 0)+ If(pd>13, Sin(360*(13/pd))*Ref(pr,-13), 0)+ If(pd>14, Sin(360*(14/pd))*Ref(pr,-14), 0)

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If(pd>17, Sin(360*(17/pd))*Ref(pr,-17), 0)+ If(pd>18, Sin(360*(18/pd))*Ref(pr,-18), 0)+ If(pd>19, Sin(360*(19/pd))*Ref(pr,-19), 0)+ If(pd>20, Sin(360*(20/pd))*Ref(pr,-20), 0)+ If(pd>21, Sin(360*(21/pd))*Ref(pr,-21), 0)+ If(pd>22, Sin(360*(22/pd))*Ref(pr,-22), 0)+ If(pd>23, Sin(360*(23/pd))*Ref(pr,-23), 0)+ If(pd>24, Sin(360*(24/pd))*Ref(pr,-24), 0)

Name: H rp sum 3 pd:=Int(Fml("Hilbert cycle period - final-a")); pr:=(H+L)/2; If(pd>25, Sin(360*(25/pd))*Ref(pr,-25), 0)+ If(pd>26, Sin(360*(26/pd))*Ref(pr,-26), 0)+ If(pd>27, Sin(360*(27/pd))*Ref(pr,-27), 0)+ If(pd>28, Sin(360*(28/pd))*Ref(pr,-28), 0)+ If(pd>29, Sin(360*(29/pd))*Ref(pr,-29), 0)+ If(pd>30, Sin(360*(30/pd))*Ref(pr,-30), 0)+ If(pd>31, Sin(360*(31/pd))*Ref(pr,-31), 0)+ If(pd>32, Sin(360*(32/pd))*Ref(pr,-32), 0)+ If(pd>33, Sin(360*(33/pd))*Ref(pr,-33), 0)+ If(pd>34, Sin(360*(34/pd))*Ref(pr,-34), 0)

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If(value=6, Mov((H+L)/2,8,S),0) + If(value=7, Mov((H+L)/2,9,S),0) + If(value=8, Mov((H+L)/2,10,S),0) + If(value=9, Mov((H+L)/2,11,S),0) + If(value=10, Mov((H+L)/2,12,S),0) + If(value=11, Mov((H+L)/2,13,S),0) + If(value=12, Mov((H+L)/2,14,S),0) + If(value=13, Mov((H+L)/2,15,S),0) + If(value=14, Mov((H+L)/2,16,S),0) + If(value=15, Mov((H+L)/2,17,S),0)

Name: H TL sum 2 value:=Int(Fml("Hilbert cycle period - final-a")); If(value=16, Mov((H+L)/2,18,S),0) + If(value=17, Mov((H+L)/2,19,S),0) + If(value=18, Mov((H+L)/2,20,S),0) + If(value=19, Mov((H+L)/2,21,S),0) + If(value=20, Mov((H+L)/2,22,S),0) + If(value=21, Mov((H+L)/2,23,S),0) + If(value=22, Mov((H+L)/2,24,S),0) + If(value=23, Mov((H+L)/2,25,S),0) + If(value=24, Mov((H+L)/2,26,S),0) +

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If(value=25, Mov((H+L)/2,27,S),0)

Name: H TL sum 3

value:=Int(Fml("Hilbert cycle period - final-a")); If(value=26, Mov((H+L)/2,28,S),0) + If(value=27, Mov((H+L)/2,29,S),0) + If(value=28, Mov((H+L)/2,30,S),0) + If(value=29, Mov((H+L)/2,31,S),0) + If(value=30, Mov((H+L)/2,32,S),0) + If(value=31, Mov((H+L)/2,33,S),0) + If(value=32, Mov((H+L)/2,34,S),0) + If(value=33, Mov((H+L)/2,35,S),0) + If(value=34, Mov((H+L)/2,36,S),0) + If(value=35, Mov((H+L)/2,37,S),0)

Name: Hilbert cycle period - 1a value1:=((H+L)/2) - Ref(((H+L)/2),-6); value2:= Ref(value1,-3); value3:=0.75*(value1-Ref(value1,-6)) + 0.25*(Ref(value1,-2)-Ref(value1,-4));

inphase:= 0.33 * value2 + (0.67 * PREV); quad:= 0.2 * value3 + ( 0.8 * PREV);

p1:=Atan(Abs(quad+Ref(quad,-1)),Abs(inphase+Ref(inphase,-1)));

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dp2

Name: Hilbert cycle period - final-a c1:= Fml( "H cycle count 1a") + Fml( "H cycle count 2a") + Fml( "H cycle count 3a") ; c2:=If(c1=0,PREV,c1);

(0.25*c2) + (0.75*PREV)

(Fml("H TL sum 1") + Fml("H TL sum 2") + Fml("H TL sum 3")); 0.33*(pr + (0.5*(pr-Ref(pr,-3)))) + (0.67*PREV)

Name: Sinewave Indicator pd:=Int(Fml("Hilbert cycle period - final-a")); cp:=Fml("Hilbert cycle period - final-a"); ip:=Fml( "H ip sum 1") + Fml( "H ip sum 2") +

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Fml( "H ip sum 3"); rp:=Fml( "H rp sum 1") + Fml( "H rp sum 2") + Fml( "H rp sum 3");

dc2:=If(pd<30 AND cp>0,dc1+((6.818/cp - 0.227)*360),dc1); dc3:=If(ip<0, dc2+270, dc2+90); dcp:=If(dc3>315, dc3-360, dc3);

Sin(dcp); Sin(dcp+45) from Henry Kaczmarczyk Zero Lag EMA Here's my Metastock 6.2 coded version of the Zero Lag Moving Average, as described in the April, 2000, issue of Technical Analysis of Stocks and Commodities. I've also used it to construct a Zero Lag MACD and a Zero Lag MACD trigger signal. Period:= Input("What Period",1,250,10); EMA1:= Mov(CLOSE,Period,E); EMA2:= Mov(EMA1,Period,E); Difference:= EMA1 - EMA2; ZeroLagEMA:= EMA1 + Difference; ZeroLagEMA Peter Martin alakazam@bigpond.com IZero Lag MACD EMA1:= Mov(CLOSE,13,E); EMA2:= Mov(EMA1,13,E); Difference:= EMA1 - EMA2; ZeroLagEMA13:= EMA1 + Difference; EMA1:= Mov(CLOSE,21,E); EMA2:= Mov(EMA1,21,E); Difference:= EMA1 - EMA2; ZeroLagEMA21:= EMA1 + Difference; ZeroLagMACD:=ZeroLagEMA13 - ZeroLagEMA21; ZeroLagMACD Peter Martin

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alakazam@bigpond.com

Zero Lag MACD Trigger Signal (To be used with the ZeroLag MACD above) EMA1:= Mov(CLOSE,13,E); EMA2:= Mov(EMA1,13,E); Difference:= EMA1 - EMA2; ZeroLagEMA13:= EMA1 + Difference; EMA1:= Mov(CLOSE,21,E); EMA2:= Mov(EMA1,21,E); Difference:= EMA1 - EMA2; ZeroLagEMA21:= EMA1 + Difference; ZeroLagMACD:=ZeroLagEMA13 - ZeroLagEMA21; EMA1:= Mov(ZeroLagMACD,8,E); EMA2:= Mov(EMA1,8,E); Difference:= EMA1 - EMA2; ZeroLagTRIG:= EMA1 + Difference; ZeroLagTRIG

A few weeks ago when the Chandelier Exit was posted to on our board board, I asked if there was a faster version of it. On my (slowpoke) 200 Mhz PC at home, it took about 1 to 2 minutes to calculate the formula on a single stock. Anyway, I did not hear of any feasible solutions. Last night, upon reading about the 25X25 system on this site , it struck me that the original Chandelier Exit (see below) had a whole bunch of PREV statements in it. I'm sure everyone knows where I'm going with this by now. Anyway, here is how the code (at least this iteration) should be modified to speed up the calculation by a factor of 5. Basically, we move PREV into a variable vPREV prior to using it (so that it is only calculate once) in the long and short exits. Here is the code for the long exit. I tested it with the sample Entry Rule and receive the same results in 1/5th the time. Just modify the SHORT exit in the same way. Hope this helps everyone using it.

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{DEFINE ENTRY PRICE, WITH EXIT BEING -- ENTRY PRICE AND NO TRADE BEING 0} {Move PREV into a variable to speed things up - DB 2/17/00} vPREV:=PREV; EntryPrice:= If(vPREV <= 0, {Trade entered today?} If(LongEntry, CLOSE, 0), {Trade entered before today. Stopped today?} If(LOW <= vPREV - MoneyMgmtStop, -vPREV, If(LOW <= HighestSince(1,vPREV=0, HIGH) - 3 * ATR(10), -vPREV, If(LOW <= HighestSince(1,vPREV=0, CLOSE) - 2.5 * ATR(10), -vPREV, vPREV))));

David Bozkurtian 2/17/00 VARIABLE MA FORMULA - UPDATED periods:=Input("periods",1,244,89); VariableMA511( mp() , periods) Equis put this function in for me. It uses VHF rather than CMO. Unlike the present version, this is better. Richard RSI OFFSET RSI(13) - 50 {offset the RSI to +-50} {from Warthog}

MACD OFFSET (MACD()*10 +50) {offset the MACD to 50} {from Warthog} Jeff Cooper 180's Buy A:Close B:{MA}Ref(C,-1)<Mov(C,10,S) AND Ref(C,-1)<Mov(C,50,S) AND C>Mov(c,10,S) AND C>Mov(C,50,S) C:{Breakout}Ref(C,-1)<=((Ref(H,-1)-Ref(L,-1))*.25)+Ref(L,-1) AND C>=H-(H-L)*.25 D:{Entry}HHV(H,2)+.125 E:{Stop}HHV(H,2)+.125-1

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B:{MA}Ref(C,-1)>Mov(C,10,S) AND Ref(C,-1)>Mov(C,50,S) AND C<Mov(c,10,S) AND C<Mov(C,50,S) C:{Breakout}Ref(C,-1)>=((Ref(H,-1)-Ref(L,-1))*.25)+Ref(H,-1) AND C<=L+((H-L)*.25) D:{Entry}LLV(L,2)-.125 E:{Stop}LLV(L,2)-.125+1

Jeff Cooper Lizards Buy A:close B:{Signal}O>H-(H-L)*.25 AND C>H-(H-L)*.25 AND L<Ref(LLV(L,10),-1) C:{entry}H+.125 D:{Stop}H+1.125 Filter:O>H-(H-L)*.25 AND C>H-(H-L)*.25 AND L<Ref(LLV(L,10),-1)

Jeff Cooper Lizards Sell A:close B:{Signal}O<L+(H-L)*.25 AND C<L+(H-L)*.25 AND H>Ref(HHV(H,10),-1) C:{entry}L-.125 D:{Stop}L-1.125 Filter:O<L+(H-L)*.25 AND C<L+(H-L)*.25 AND H>Ref(HHV(H,10),-1)

Jeff Cooper Slingshots Buy A:Close B:{Range breakout}Ref(H,-1)>=Ref(HHV(H,40),-1) AND L<Ref(L,-1)-.125 C:{entry}If(O>Ref(H,-1)+.125,O,0) D:{Stop}If(If(O>Ref(H,-1)+.125,O,0)=O,Ref(O,-1)-2,0) Filter:Ref(H,-1)>=Ref(HHV(H,40),-1) AND L<Ref(L,-1)-.125

Jeff Cooper Slingshots Sell A:Close B:{Range breakout}Ref(L,-1)<=Ref(LLV(L,40),-1) AND H>Ref(H,-1)+.125 C:{entry}If(O<Ref(L,-1)-.125,O,0) D:{Stop}If(If(O<Ref(L,-1)-.125,O,0),Ref(O,-1)+2,0) Filter:Ref(L,-1)<=Ref(LLV(L,40),-1) AND H>Ref(H,-1)+.125

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Jeff Cooper Whoops Sell A:close B:C<Mov(C,10,S) AND C<Mov(C,50,S) AND O>Ref(C,-1)+.25 C:{Entry}Ref(C,-1)-.125 D:{Stop}Ref(C,-1)-.125+1 Filter:C<Mov(C,10,S) AND C<Mov(C,50,S) AND O>Ref(C,-1)+.25

A:Close B:ADX(14){The higher the better} C: PDI(14)>MDI(14) D:If(L<Ref(L,-1) and Ref(L,-1)<Ref(L,-2) and Ref(L,-2)<Ref(L,-3),1,0) E:{Entry}HHV(H,3)+.125 F:{stop}LLV(L,3) Filter:ColB>30 and ColC and ColD=1

1234's Sell A:Close B:ADX(14){The higher the better} C: PDI(14)<MDI(14) D:If(H>Ref(H,-1) and Ref(H,-1)>Ref(H,-2) and Ref(H,-2)>Ref(H,-3),1,0) E:{Entry}LLV(L,3)-.125 F:{stop}HHV(H,3) Filter:ColB>30 and ColC and ColD=1

Boomers buy&Sell A:Close B:{Signal Buy=-1,Sell=1} If(ADX(14)>30 and PDI(14)>MDI(14),-1,If(ADX(14)>30 and PDI(14)<MDI(14),1,0)) C:{setup}Ref(H,-2)>=Ref(H,-1) and Ref(H,-1)>=H and Ref(L,-2)<=Ref(L,-1) and Ref(L,-1)<=L D:{Entry}If(ADX(14)>30 and PDI(14)>MDI(14) and Ref(H,-2)>=Ref(H,-1) and Ref(H,-1)>=H and Ref(L,-2)<=Ref(L,-1) and Ref(L,-1)<=L,HHV(H,3)+.125,IF(ADX(14)>30 and PDI(14)<MDI(14) and Ref(H,-2)>=Ref(H,-1) and Ref(H,-1)>=H and Ref(L,-2)<=Ref(L,-1) and Ref(L,-1)<=L,LLV(L,3)-.125,0)) E:{Stop}If(ADX(14)>30 and PDI(14)>MDI(14) and Ref(H,-2)>=Ref(H,-1) and Ref(H,-1)>=H and

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Ref(L,-2)<=Ref(L,-1) and Ref(L,-1)<=L,LLV(L,3)-.125,IF(ADX(14)>30 and PDI(14)<MDI(14) and Ref(H,-2)>=Ref(H,-1) and Ref(H,-1)>=H and Ref(L,-2)<=Ref(L,-1) and Ref(L,-1)<=L,HHV(H,3)+.125,0)) F:ADX(14){Higher the better} Filter:ColB and ColC

Expansion pivots buy A:=Close B:{Breakout}(H-L)>ATR(9) C:{Signal}Ref(C,-2)<=Mov(C,50,S) and Ref(C,-1)>Mov(C,50,S) OR Ref(C,-1)<=Mov(C,50,S) and C>Mov(C,50,S) D:{entry}HHV(H,2)+.125 E:{Stop}If(Ref(C,-2)<=Mov(C,50,S) and Ref(C,-1)>Mov(C,50,S),Ref(C,-1)-1,If(Ref(C,-1)<=Mov(C,50,S) and C>Mov(C,50,S),C-1,0)) Filter:ColB and ColC

expansion pivots sell A:=Close B:{Breakout}(H-L)>ATR(9) C:{Signal}Ref(C,-2)>=Mov(C,50,S) and Ref(C,-1)<Mov(C,50,S) OR Ref(C,-1)>=Mov(C,50,S) and C<Mov(C,50,S) D:{entry}LLV(L,2)-.125 E:{Stop}If(Ref(C,-2)>=Mov(C,50,S) and Ref(C,-1)<Mov(C,50,S),Ref(C,-1)-1,If(Ref(C,-1)>=Mov(C,50,S) and C<Mov(C,50,S),C-1,0)) Filter:ColB and ColC Gilligan's island buy A:Close B:GapDown()<=Ref(LLV(L,40),-1) and C>=O and C>=((H-L)*.50)+L C:{entry}H+.125 D:{stop}H+.125-1 Filter: GapDown()<=Ref(LLV(L,40),-1) and C>=O and C>=((H-L)*.50)+L

Gilligan's island sell A:Close B:GapUp()>=Ref(HHV(H,40),-1) and C<=O and C<=((H-L)*.50)+L C:{entry}L-.125

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D:{stop}L-.125+1 Filter: GapUp()>=Ref(HHV(H,40),-1) and C<=O and C<=((H-L)*.50)+L SIROC indicator from Elder ROC(Mov(C,13,E),21,%)

MOVING AVERAGE VIOLATED BY % 200 dma violated by 100% enter short c>=(mov(c,200,s)*2)

200 dma w/i 1 pt enter long c>=mov(c,200,s)+1 exit long ((if ((c<=prev(llv(c,15)-.5, 1)),1,0)) + (if ((c<=.75*hhv(c,10)),1,0)))>=1 enter short c<=mov(c,200,s)-1 exit short c>=hhv(llv(c,15), 15)+.5

200 dma w/i 3pts enter short c<=mov(c,200,s)-3 exit short c>=hhv(llv(c,15), 15)+.5

21 d reversal w di enter long c>prev(hhv(c,21),1) and adx(1)>adx(14) and (pdi(9)>mdi(14)) exit long c<prev(llv(c,21),1) and (pdi(14)<mdi(9)) enter short c<prev(llv(c,21),1) and adx(1)>adx(14) and (pdi(9)<mdi(14)) exit short c>prev(hhv(c,21),1) and (pdi(9)>mdi(14))

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Stochastic MA system enter long mov(stoch(55,21),5,w)>ref(mov(stoch(55,21),5,w),-1) and mov(stoch(55,21),5,w)<75 and mov(stoch(55,21),5,w)>20 exit long (mov(stoch(55,21),5,w)<75 and ref(mov(stoch(55,21),5,w),-1)>75) enter short (mov(stoch(55,21),5,w)<70 and ref(mov(stoch(55,21),5,w),-1)>70) and mov(stoch(55,21),5,w)<ref(mov(stoch(55,21),5,w),-1) exit short mov(stoch(55,21),5,w)>ref(mov(stoch(55,21),5,w),-1) and mov(stoch(55,21),5,w)<75 and mov(stoch(55,21),5,w)>20

Bollinger Bands formula 7 day enter long high>(mov(Close,20,S)-std(Close,20,2)) and ref(low,-7)<ref((mov(Close,20,S)-std(Close,20,2)),-7) exit long close<(mov(Close,20,S)+std(Close,20,2)) and ref(close,-7)>ref((mov(Close,20,S)+std(Close,20,2)),-7) and Mov((RSI(14)- LLV(RSI(14),14)) /(HHV(RSI(14),14)-(LLV(RSI(14),14))),14,E)*100<70 and ref((Mov((RSI(14)- LLV(RSI(14),14)) /(HHV(RSI(14),14)-(LLV(RSI(14),14))),14,E)*100),-3)>70 and (mov(Close,20,S)+std(Close,20,2))>(mov(c,89,s)+(.062*(mov(c,89,s))))

EMA Cross system avoid using when the market has no clear direction -enter long mov(c,5,e)>mov(c,21,e) and ref(mov(c,5,e),-1)<=ref(mov(c,21,e),-1) exit long mov(c,5,e)<mov(c,21,e) and ref(mov(c,5,e),-1)>=ref(mov(c,21,e),-1)

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Boomers buysig enter long ((adx(14)+adx(27))/2)>30 and pdi(27)>mdi(27) exit long c<=prev(llv(c,15)-.5, 1) or c<=.75*hhv(c,10) Boomers watchsig ** enter long prev(h,1)<=prev(h,2) and prev(l,1)>=prev(l,2) and BullHarami() exit long c<=prev(llv(c,15)-.5, 1) or c<=.75*hhv(c,10) Boomer's watchsig 2** (ref not prev) enter long ref(h,-1)<=ref(h,-2) and ref(l,-1)>=ref(l,-2) and BullHarami() exit long c<=ref(llv(c,15)-.5,-1) or c<=.75*hhv(c,10) Resistance and Support * F PrCnt:=Input("Percentage",0,100,10); LookBack:= Input("Look Back Periods",1,1000,10); Resistance:=ValueWhen(1,Cross(Mov(C,LookBack,S),C),HHV(H,LookBack)); Support:=ValueWhen(1,Cross(C,Mov(C,LookBack,S)),LLV(L,LookBack)); Resistance * ((100-prcnt)/100); Support * ((prcnt/100)+1); Resistance and Support LookBack := Input("Look Back Periods",1,1000,10); Resistance :=ValueWhen(1,Cross(Mov(C, LookBack, S),C),HHV(H, LookBack)); Support :=ValueWhen(1,Cross(C,Mov(C, LookBack, S)),LLV(L, LookBack)); Resistance; Support;

Guppy's MMA Short {short-term} Mov(C,3,E);Mov(C,5,E);Mov(C,7,E); Mov(C,10,E);Mov(C,12,E);Mov(C,15,E); Guppy's MMA Long 224

Average Dollar price Volatility exploration - Deel This exploration is designed to provide the average dollar price volatility figure in column F. This will find this figure for all stocks scanned. It is most useful to apply this just to an exploration of a small group of stocks. It matches the steps in Deels book The Strategic Electronic Day Trader. Col A: day 1 HIGH - LOW Col B: day 2 Ref((HIGH-LOW),-1) Col C: Ref((HIGH-LOW),-2) Col D: Ref((HIGH-LOW),-3) Col E: Ref((HIGH-LOW),-4) Col F: (H - L + (Ref(H,-1) - Ref(L,-1)) + (Ref(H,-2) - Ref(L,-2))+(Ref(H,-3) - Ref(L,3)) + (Ref(H,-4) - Ref(L,-4))) / 5 Average Dollar price Volatility indicator - Deel This indicator plots the value on the chart display. It is useful only as a quick method of attaching the volatility value to the stock. Apply this with caution and make sure that the new scale display is also included. (H - L + (Ref(H,-1) - Ref(L,-1)) + (Ref(H,-2) - Ref(L,-2))+(Ref(H,-3) - Ref(L,-3)) + (Ref(H,-4) - Ref(L,-4))) / 5

7 day rate of change ported from Super Charts ((C-Ref(CLOSE,-7))/Ref(CLOSE,-7)*100) CLOSE ABOVE MEDIAN PRICE This exploration is designed to find those stocks where the close is above the median price over the past five days. It matches the steps in Dels bvook The Strategic Electronic Day Trader. col a = CLOSE - MP() col b = (Ref(CLOSE,-1))-(Ref( MP() ,-1)) Col c = (Ref(CLOSE,-2))-(Ref( MP() ,-2)) col d = (Ref(CLOSE,-3))-(Ref( MP() ,-3)) col e = (Ref(CLOSE,-4))-(Ref( MP() ,-4)) filter = colA>=0 AND colB>=0 AND colC>=0 AND colD>=0 AND colE>=0 The filter in the exploration only shows those stiocks that have the strongest bullish bias over all 5 days. By removing the filter all stocks will be shown. Ranking the first colum will then allow you to estaboish the overall score for each stock. MACDcustom

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The Input() Function(MSK-man. p.271-273) cannot be used directly in the Explorer (MSK-man. p.351). It is reserved to be used in a custom indicator. However, the custom indicator's default value can be used in an exploration. Since you have created a {faulty} custom indicator, than just re-code it. By referencing the Input() Function using the fml() CALL Function (MSK-man.p.226-227 and 208-209 and 212), you can still use its {by you at design time} assigned Default value. Custom Indicator : Name: MACDcustom Formula: MAprd:=Input( "Periods", 5 {Minimum}, 30 {Maximum}, 14 {Default} ); YourTrig:=Mov( MACD(), MAprd, E ); MACD(); YourTrig When creating the exploration just click the function button and look under the Custom Indicators heading for both of the above custom indicator functions, and "Open" each of them one by one, to paste them into your column TABs (MSK-man. p.347-348) . Exploration: Name: MACD crosses my Trigger Columns: Cola: Name: Close Formula: C Colb: Name: MACD Formula: FML( "MACDcustom , MACD" ) Colc: Name: MACDTrigger Formula: FML( "MACDcustom , YourTrig" ) Filter: Formula: Colb > Colc {or FML( "MACDcustom , MACD" ) > FML( "MACDcustom , YourTrig" ) } Ton Maas Submitted by warrah@comcen.com.au

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if you want to identify directional movement by expressing that the ADX "is rising" the most basic way to do it would be: ADX(14) > Ref(ADX(14),-1) -- Today's ADX is greater than yesterday's ADX. There is another aspect to the ADX that bears investigation, though; namely the level of the ADX. There seems to be a general consensus that an ADX over, say, 30 indicates a stronger trend than lower ADX readings. So you could either write ADX(14) > 30 -- or not, depending on your objectives. You can stipulate that both conditions are true by joining them with the word "and." Also, I have found the following helpful: try using the custom ADX formula posted on the MetaStock website. Wilder wrote the original ADX in such a fashion that it rounds the readings out to the nearest whole number. The "regular" canned MetaStock ADX does this, while the custom ADX does not. The non-rounded readings are just a shade more sensitive, which can be helpful. from Philip pschmi02@sprynet.com Submitted by warrah@comcen.com.au

Brown's Indicator. ---------------------------------------Name: RSI derivative index (EL) - C. Brown {EasyLanguage} Formula: Base:=Mov(RSI(14),6,S); ATRcustom:=HHV( ValueWhen(1,RSI(14)>Ref(RSI(14),-1),ATR(1))OR ValueWhen(2,RSI(14)>Ref(RSI(14),-1),ATR(1))OR ValueWhen(3,RSI(14)>Ref(RSI(14),-1),ATR(1)),14); Part1:= {up coefficient is a factor 2.3 and added} (2.3*(Mov(ATRcustom, 15,S))); Part2:= {down coefficient is factor 2.1 and subtracted} (2.1*(Mov(ATRcustom, 15,S))); {Part3=if RSI closes up or equal to, than part1, else, if RSI closes down, part2} If( Base>=Ref(Base,-1), {RSI up=TRUE, then} Base+Part1,{else} {RSI up=FALSE,then} Base-Part2) Submitted by warrah@comcen.com.au FINDING TRENDINESS A remark by Chuck LeBeau about trading with the trend has stayed with me. He

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speaks of the actual strength of a trend as opposed to merely its direction. Entry strategies (pullbacks in his view) should be tailored to both direction and strength, he says. This makes perfect sense to me. Here are some initial thoughts. Perhaps you can help me to arrive at some kind of "hierarchy" of trendiness, or call it a classification, or a taxonomy, consisting of both direction and strength. For convenience, I'll describe only long trades. I. General direction, long term: EMA(21) > EMA(55) II. Trend picks up steam: EMA(13) > EMA(21) > EMA(55) III. Strong: EMA(8) >EMA(13) > EMA(21) > EMA(55) IV. Somewhere between II. and III. the ADX(13/14) usually starts rising. From what I've seen, a rising ADX at any level generally means business: ADX(13) > Ref(ADX(13),-1) V. Very strong trend: (this is where Linda Bradford's "Holy Grail" and such kick in) ADX(13) > Ref(ADX(13) and ADX(13) > 30 Almost forgot . . . very little direction (but don't fall asleep at the wheel): ADX(13) < say, 12-15 and has been bumbling along down there for a while (hard to quantify for me to date) from Philip pschmi02@sprynet.com Submitted by warrah@comcen.com.au Weakness in a strong trend In an up trend, three or four successive lower CLOSES and the EMA(21) is rising. SimpleX LONG: C <= Ref(C,-1) AND Ref(C, -1) <= Ref(C, -2) AND Ref(C, -2) <= Ref(C, -3) AND Mov(C, 21, E) > Ref(Mov(C, 21, E), -1) OR C <= Ref(C,-1) AND Ref(C, -1) <= Ref(C, -2) AND Ref(C, -2) <= Ref(C, -3) AND Ref(C, -3) <= Ref(C, -4) AND Mov(C, 21, E) > Ref(Mov(C, 21, E), -1) SimpleX SHORT:

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C >= Ref(C,-1) AND Ref(C, -1) >= Ref(C, -2) AND Ref(C, -2) >= Ref(C, -3) AND Mov(C, 21, E) < Ref(Mov(C, 21, E), -1) OR C >= Ref(C,-1) AND Ref(C, -1) >= Ref(C, -2) AND Ref(C, -2) >= Ref(C, -3) AND Ref(C, -3) >= Ref(C, -4) AND Mov(C, 21, E) < Ref(Mov(C, 21, E), -1) Rig this up with an OB/OS oscillator and you've got an entry that is, well, at least worth considering. Philip pschmi02@sprynet.com Submitted by warrah@comcen.com.au Double inside day {For today is an inside day} H < Ref(H,-1) and L > Ref(L,-1) and {For yesterday was an inside day} Ref(H,-1) < Ref(H,-2) and Ref(L,-1) > Ref(L,-2) Submitted by warrah@comcen.com.au Resistance and Support * F PrCnt:=Input("Percentage",0,100,10); LookBack:= Input("Look Back Periods",1,1000,10); Resistance:=ValueWhen(1,Cross(Mov(C,LookBack,S),C),HHV(H,LookBack)); Support:=ValueWhen(1,Cross(C,Mov(C,LookBack,S)),LLV(L,LookBack)); Resistance * ((100-prcnt)/100); Support * ((prcnt/100)+1); Resistance and Support LookBack := Input("Look Back Periods",1,1000,10); Resistance :=ValueWhen(1,Cross(Mov(C, LookBack, S),C),HHV(H, LookBack)); Support :=ValueWhen(1,Cross(C,Mov(C, LookBack, S)),LLV(L, LookBack)); Resistance; Support;

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Average Dollar price Volatility exploration - Deel This exploration is designed to provide the average dollar price volatility figure in column F. This will find this figure for all stocks scanned. It is most useful to apply this just to an exploration of a small group of stocks. It matches the steps in Deels book The Strategic Electronic Day Trader. Col A: day 1 HIGH - LOW Col B: day 2 Ref((HIGH-LOW),-1) Col C: Ref((HIGH-LOW),-2) Col D: Ref((HIGH-LOW),-3) Col E: Ref((HIGH-LOW),-4) Col F: (H - L + (Ref(H,-1) - Ref(L,-1)) + (Ref(H,-2) - Ref(L,-2))+(Ref(H,-3) - Ref(L,3)) + (Ref(H,-4) - Ref(L,-4))) / 5 Average Dollar price Volatility indicator - Deel This indicator plots the value on the chart display. It is useful only as a quick method of attaching the volatility value to the stock. Apply this with caution and make sure that the new scale display is also included. (H - L + (Ref(H,-1) - Ref(L,-1)) + (Ref(H,-2) - Ref(L,-2))+(Ref(H,-3) - Ref(L,-3)) + (Ref(H,-4) - Ref(L,-4))) / 5

7 day rate of change ported from Super Charts ((C-Ref(CLOSE,-7))/Ref(CLOSE,-7)*100) CLOSE ABOVE MEDIAN PRICE This exploration is designed to find those stocks where the close is above the median price over the past five days. It matches the steps in Dels bvook The Strategic Electronic Day Trader. col a = CLOSE - MP() col b = (Ref(CLOSE,-1))-(Ref( MP() ,-1)) Col c = (Ref(CLOSE,-2))-(Ref( MP() ,-2)) col d = (Ref(CLOSE,-3))-(Ref( MP() ,-3)) col e = (Ref(CLOSE,-4))-(Ref( MP() ,-4)) filter = colA>=0 AND colB>=0 AND colC>=0 AND colD>=0 AND colE>=0 The filter in the exploration only shows those stiocks that have the strongest bullish bias over all 5 days. By removing the filter all stocks will be shown. Ranking the first

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colum will then allow you to estaboish the overall score for each stock. MACDcustom The Input() Function(MSK-man. p.271-273) cannot be used directly in the Explorer (MSK-man. p.351). It is reserved to be used in a custom indicator. However, the custom indicator's default value can be used in an exploration. Since you have created a {faulty} custom indicator, than just re-code it. By referencing the Input() Function using the fml() CALL Function (MSK-man.p.226-227 and 208-209 and 212), you can still use its {by you at design time} assigned Default value. Custom Indicator : Name: MACDcustom Formula: MAprd:=Input( "Periods", 5 {Minimum}, 30 {Maximum}, 14 {Default} ); YourTrig:=Mov( MACD(), MAprd, E ); MACD(); YourTrig When creating the exploration just click the function button and look under the Custom Indicators heading for both of the above custom indicator functions, and "Open" each of them one by one, to paste them into your column TABs (MSK-man. p.347-348) . Exploration: Name: MACD crosses my Trigger Columns: Cola: Name: Close Formula: C Colb: Name: MACD Formula: FML( "MACDcustom , MACD" ) Colc: Name: MACDTrigger Formula: FML( "MACDcustom , YourTrig" ) Filter: Formula: Colb > Colc {or FML( "MACDcustom , MACD" ) > FML( "MACDcustom , YourTrig" ) } Ton Maas Submitted by warrah@comcen.com.au

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ADX AND TRENDLINES if you want to identify directional movement by expressing that the ADX "is rising" the most basic way to do it would be: ADX(14) > Ref(ADX(14),-1) -- Today's ADX is greater than yesterday's ADX. There is another aspect to the ADX that bears investigation, though; namely the level of the ADX. There seems to be a general consensus that an ADX over, say, 30 indicates a stronger trend than lower ADX readings. So you could either write ADX(14) > 30 -- or not, depending on your objectives. You can stipulate that both conditions are true by joining them with the word "and." Also, I have found the following helpful: try using the custom ADX formula posted on the MetaStock website. Wilder wrote the original ADX in such a fashion that it rounds the readings out to the nearest whole number. The "regular" canned MetaStock ADX does this, while the custom ADX does not. The non-rounded readings are just a shade more sensitive, which can be helpful. from Philip pschmi02@sprynet.com Submitted by warrah@comcen.com.au

Brown's Indicator. ---------------------------------------Name: RSI derivative index (EL) - C. Brown {EasyLanguage} Formula: Base:=Mov(RSI(14),6,S); ATRcustom:=HHV( ValueWhen(1,RSI(14)>Ref(RSI(14),-1),ATR(1))OR ValueWhen(2,RSI(14)>Ref(RSI(14),-1),ATR(1))OR ValueWhen(3,RSI(14)>Ref(RSI(14),-1),ATR(1)),14); Part1:= {up coefficient is a factor 2.3 and added} (2.3*(Mov(ATRcustom, 15,S))); Part2:= {down coefficient is factor 2.1 and subtracted} (2.1*(Mov(ATRcustom, 15,S))); {Part3=if RSI closes up or equal to, than part1, else, if RSI closes down, part2} If( Base>=Ref(Base,-1), {RSI up=TRUE, then} Base+Part1,{else} {RSI up=FALSE,then} Base-Part2) Submitted by warrah@comcen.com.au FINDING TRENDINESS A remark by Chuck LeBeau about trading with the trend has stayed with me. He speaks of the actual strength of a trend as opposed to merely its direction. Entry

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strategies (pullbacks in his view) should be tailored to both direction and strength, he says. This makes perfect sense to me. Here are some initial thoughts. Perhaps you can help me to arrive at some kind of "hierarchy" of trendiness, or call it a classification, or a taxonomy, consisting of both direction and strength. For convenience, I'll describe only long trades. I. General direction, long term: EMA(21) > EMA(55) II. Trend picks up steam: EMA(13) > EMA(21) > EMA(55) III. Strong: EMA(8) >EMA(13) > EMA(21) > EMA(55) IV. Somewhere between II. and III. the ADX(13/14) usually starts rising. From what I've seen, a rising ADX at any level generally means business: ADX(13) > Ref(ADX(13),-1) V. Very strong trend: (this is where Linda Bradford's "Holy Grail" and such kick in) ADX(13) > Ref(ADX(13) and ADX(13) > 30 Almost forgot . . . very little direction (but don't fall asleep at the wheel): ADX(13) < say, 12-15 and has been bumbling along down there for a while (hard to quantify for me to date) from Philip pschmi02@sprynet.com Submitted by warrah@comcen.com.au Weakness in a strong trend In an up trend, three or four successive lower CLOSES and the EMA(21) is rising. SimpleX LONG: C <= Ref(C,-1) AND Ref(C, -1) <= Ref(C, -2) AND Ref(C, -2) <= Ref(C, -3) AND Mov(C, 21, E) > Ref(Mov(C, 21, E), -1) OR C <= Ref(C,-1) AND Ref(C, -1) <= Ref(C, -2) AND Ref(C, -2) <= Ref(C, -3) AND Ref(C, -3) <= Ref(C, -4) AND Mov(C, 21, E) > Ref(Mov(C, 21, E), -1) SimpleX SHORT:

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C >= Ref(C,-1) AND Ref(C, -1) >= Ref(C, -2) AND Ref(C, -2) >= Ref(C, -3) AND Mov(C, 21, E) < Ref(Mov(C, 21, E), -1) OR C >= Ref(C,-1) AND Ref(C, -1) >= Ref(C, -2) AND Ref(C, -2) >= Ref(C, -3) AND Ref(C, -3) >= Ref(C, -4) AND Mov(C, 21, E) < Ref(Mov(C, 21, E), -1) Rig this up with an OB/OS oscillator and you've got an entry that is, well, at least worth considering. Philip pschmi02@sprynet.com Submitted by warrah@comcen.com.au Double inside day {For today is an inside day} H < Ref(H,-1) and L > Ref(L,-1) and {For yesterday was an inside day} Ref(H,-1) < Ref(H,-2) and Ref(L,-1) > Ref(L,-2) Submitted by warrah@comcen.com.au Micks breakout exploration This is a MetaStock formula that I have had good success with. Copy and paste this into the Explorer filter. C>Ref(C,-1) AND C>Ref(C,-2) AND C>Ref(C,-3) AND C>Ref(C,-4) AND Ref(C,-1)<=Ref(C,-2) AND Ref(C,-1)<=Ref(C,-3) AND Ref(C,-1)<=Ref(C,-4) AND Ref(C,-2)<=Ref(C,-3) AND ald and we thank him for his contributions. Formula writer Steve Karnish and Henry

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Display notes Columns are very wide so that each column can be copied and pasted directly into a Metastock exploration. A brief description of the indicator follows the name. If you have Metastock Exploration formulas you would like to share, please email them to 100035.406@compuserve.com We will include the name of the person who submitted the formula unless you instruct us otherwise. These are only a starter list. Feel free to add to them. We welcome your feedback, comments about the site and news of new web sites. Ask about reciprocal links. We answer your email usually within 1 working day. Haven't got a reply? Limited space is available on this site for your advertising message. Contact us for details. 100035.406@compuserve.com This site and the original material contained in it is copyright., Guppytraders.com Pty Ltd ACN 089 941 560 1996,1997, 1998, 1999

FORMULAS FROM SITE VISITORS Ref(C,-2)<=Ref(C,-4) AND Ref(C,-3)<=Ref(C,-4) This formula will pick up all stocks that have closed up either the same as the previous day or below the previous day for 3 days, then on the 4th day closes up higher than the previous 3 days close. The reason that I specified that the first 3 days close was the same as or less than the previous days close was that it would pick up all stock in an up trend if it was just the 4th day closing higher than the 3 previous you would get hundreds of returns on the search. It will pick up stock that was in a trading range or consolidating, then breaking out of the range. The reason that I had the 4th day higher than the 3 previous was because it would otherwise pick stock in a downtrend with no significant increase in the close on day 4. Once I have a short list, I check it with Daryl's 3 day countback line and sometimes run a 10/30 moving average. If the stock breaches the previous day's close on the open, I will enter the trade and put a trailing stop loss into play.

regards mick (wintom) Displace indicator forward To displace an indicator forward, you use Ref(myInd,-p). The median and typical prices are built-in functions -- MP() is (H+L)/2 and typ() is (H+L+C)/3. For MP, use Period:= Input("What Period",1,250,10); Disp:= Input("Forward Displacement",0,250,10);

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EMA1:= Mov(MP(),Period,E); EMA2:= Mov(EMA1,Period,E); Difference:= EMA1 - EMA2; ZeroLagEMA:= EMA1 + Difference; Ref(ZeroLagEMA,-Disp) from Bob Jagow Gann hi-lo colA BUY BarsSince(C< Fml("GANN-HiLo")) colB SELL BarsSince(C> Fml("GANN-HiLo")) filter colA=1 OR colB=1 from Mike Arnoldi

Bollinger bank hook up and hook down I use the following indicators to show the price reversal of Bollinger Band penetration: Name: Upper BB Hookdown Formula: UpperBB:= Mov(C,20,S) +(2*(Std(C,20))); C < UpperBB AND Ref(C,-1) > Ref(UpperBB,-1);

Name: Lower BB Hookup Formula: LowerBB:= Mov(C,20,S) -(2*(Std(C,20))); C > LowerBB AND Ref(C,-1) < Ref(LowerBB,-1);

from Jim Barone MetaStock %Bands revised I found a problem with the %Bands formulas posted yesterday. No matter what optional parameters are entered for EMA length or % bandwidth, the Expert appears to read only the default values. As a result, when using other than default parameters, the coloured dots appear in inappropriate

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places. If the coloured dots are considered unnecessary the Expert can simply be detached. Alternatively, below is a hard-coded version. There is no screen to enter optional parameters. Instead, plot the %Bands formula,then right-click on one of the bands, select '%Bands Properties', then the 'Formula' tab, and change the parameters in the first two lines of the %Bands formula; click 'OK'. Or make the change in the Formula Editor. The values need to be entered only once, in the %Bands formula; the %BandsCount formula and the Expert will take their values from that. For regular use, get the display to your liking, then create a template. {NAME: %Bands} Pds:= 21; {ENTER EMA LENGTH} Pct:= 2.5; {ENTER PERCENT BANDWIDTH} MA:= Mov(C,Pds,E); TBnd:= MA*(1+Pct/100); LBnd:= MA*(1-Pct/100); MA; TBnd; LBnd;

{NAME: %BandsCount} {USE WITH %BANDS FORMULA} TBnd:= FmlVar("%Bands","TBND"); IUp:= (H > TBnd) * Ref((H <= TBnd),-1); CntUp:= IUp + BarsSince(IUp=1) * (H > TBnd); LBnd:= FmlVar("%Bands","LBND"); IDn:= (L < LBnd) * Ref((L >= LBnd),-1); CntDn:= IDn + BarsSince(IDn=1) * (L < LBnd); CntUp; -CntDn;

EXPERT {Name: %Bands} Symbols tab. {NAME: %BandUp} FmlVar("%BandsCount","CNTUP") >= 1 Graphic tab: Dot, Small, Green, Above price plot Symbols tab. {NAME: %BandDn} FmlVar("%BandsCount","CNTDN") >= 1 Graphic tab: Dot, Small, Magenta, Below price plot

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{from HHP} Mark Brown Band2 Study {Name: %Bands} Pds:= Input("EMA Periods?",1,1000,21); Pct:= Input("Percentage Bands?",0.1,10,5); MA:= Mov(C,Pds,E); TBnd:= MA*(1+Pct/100); LBnd:= MA*(1-Pct/100); MA;TBnd;LBnd; {Name: %BandsCount} Pds:= Input("EMA Periods?",1,1000,21); Pct:= Input("Percentage Bands?",0.1,10,5); MA:= Mov(C,Pds,E); TBnd:= MA*(1+Pct/100); LBnd:= MA*(1-Pct/100); IUp:= (H > TBnd) * Ref((H <= TBnd),-1); CntUp:= IUp + BarsSince(IUp=1) * (H > TBnd); IDn:= (L < LBnd) * Ref((L >= LBnd),-1); CntDn:= IDn + BarsSince(IDn=1) * (L < LBnd); CntUp; -CntDn; EXPERT {Name: %Bands} Symbols tab. {Name: %BandUp} FmlVar("% BandsCount","CNTUP") >= 1 {Graphic: Dot, Small, Green, Above price plot} Symbols tab. {Name: %BandDn} FmlVar("% BandsCount","CNTDN") >= 1 {Graphic: Dot, Small, Magenta, Below price plot} {created by HHP from a Mark Brown system} Modified 50 Day Moving Average N:=50; TN:=Mov(C,N,S); sOneA:=((n-1)/2)*C+ ((n-3)/2)*Ref(C,-1)+ ((n-5)/2)*Ref(C,-2)+ ((n-7)/2)*Ref(C,-3)+

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((n-9)/2)*Ref(C,-4)+ ((n-11)/2)*Ref(C,-5)+ ((n-13)/2)*Ref(C,-6)+ ((n-15)/2)*Ref(C,-7)+ ((n-17)/2)*Ref(C,-8)+ ((n-19)/2)*Ref(C,-9); sOneB:=((n-21)/2)*Ref(C,-10)+ ((n-23)/2)*Ref(C,-11)+ ((n-25)/2)*Ref(C,-12)+ ((n-27)/2)*Ref(C,-13)+ ((n-29)/2)*Ref(C,-14)+ ((n-31)/2)*Ref(C,-15)+ ((n-33)/2)*Ref(C,-16)+ ((n-35)/2)*Ref(C,-17)+ ((n-37)/2)*Ref(C,-18)+ ((n-39)/2)*Ref(C,-19); sOneC:=((n-41)/2)*Ref(C,-20)+ ((n-43)/2)*Ref(C,-21)+ ((n-45)/2)*Ref(C,-22)+ ((n-47)/2)*Ref(C,-23)+ ((n-49)/2)*Ref(C,-24)+ ((n-51)/2)*Ref(C,-25)+ ((n-53)/2)*Ref(C,-26)+ ((n-55)/2)*Ref(C,-27)+ ((n-57)/2)*Ref(C,-28)+ ((n-59)/2)*Ref(C,-29); sOneD:=((n-61)/2)*Ref(C,-30)+ ((n-63)/2)*Ref(C,-31)+ ((n-65)/2)*Ref(C,-32)+ ((n-67)/2)*Ref(C,-33)+ ((n-69)/2)*Ref(C,-34)+ ((n-71)/2)*Ref(C,-35)+ ((n-73)/2)*Ref(C,-36)+ ((n-75)/2)*Ref(C,-37)+ ((n-77)/2)*Ref(C,-38)+ ((n-79)/2)*Ref(C,-39); sOneE:=((n-81)/2)*Ref(C,-40)+ ((n-83)/2)*Ref(C,-41)+ ((n-85)/2)*Ref(C,-42)+ ((n-87)/2)*Ref(C,-43)+ ((n-89)/2)*Ref(C,-44)+ ((n-91)/2)*Ref(C,-45)+ ((n-93)/2)*Ref(C,-46)+ ((n-95)/2)*Ref(C,-47)+ ((n-97)/2)*Ref(C,-48)+ ((n-99)/2)*Ref(C,-49); sOne:=sOneA+sOneB+sOneC+sOneD+sOneE; yTwo:=TN+(6*sOne)/((N+1)*N); yTwo

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from Ton Maas ms-irb@planet.nl ECO - R Krauz The Robert Krauz article I read described the ECO as "a double smoothed ratio of the difference between the close(C) and open(O) of each bar, and the difference between the high(H) and low(L) prices for each bar" originally created by William Blau. FWI my interpretation is: {ECO[Ergodic Candlestick Oscillator]} (MOV(MOV(C-O,5,E))26,E)/MOV(MOV(H-L,5,E))26,E))*100

J. Seed

Chandelier Exit 2 Here is the Fast Chandelier Exit in full as supplied to me. It is part of an exit strategy which you can adjust to your own trading style and comfort levels. from Ian Burgoyne HHVDays:=Input("Days Since Trade Opened",1,300,1); ATRDays:=Input("ATR Days",1,30,10); ATRHighMult:=Input("ATR Multiplier From High",1,5,3.0); ATRCloseMult:=Input("ATR Multiplier From Close",1,5,2.5); HHVStop:= HHV(H,HHVDays) - ATRHighMult*ATR(ATRDays); HighStop:= H - ATRHighMult*ATR(ATRDays); CloseStop:= C - ATRCloseMult*ATR(ATRDays); TodaysCalc:= If(HighStop > CloseStop, HighStop, CloseStop); TodaysStop:= If(L <= PREV, TodaysCalc, If(HHVStop < PREV, PREV, If(HHVStop > C,PREV,HHVStop))); HHVDays:=Input("Days Since Trade Opened",1,300,1); ATRDays:=Input("ATR Days",1,30,10); ATRHighMult:=Input("ATR Multiplier From High",1,5,3.0); ATRCloseMult:=Input("ATR Multiplier From Close",1,5,2.5); HHVStop:= HHV(H,HHVDays) - ATRHighMult*ATR(ATRDays); HighStop:= H - ATRHighMult*ATR(ATRDays); CloseStop:= C - ATRCloseMult*ATR(ATRDays);

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TodaysCalc:= If(HighStop > CloseStop, HighStop, CloseStop); TodaysStop:= If(L <= PREV, TodaysCalc, If(HHVStop < PREV, PREV, If(HHVStop >C,PREV,HHVStop))); TodaysStop

[from Ian Burgoyne} FRACTAL UP AND FRACTAL DOWN EXPERT The formula for Up Fractal is: (If( HIGH > Ref( HIGH , -1 ), 1 ,0 ) AND If( HIGH > Ref( HIGH , -2 ),1 ,0 ) AND If( HIGH > Ref( HIGH , +1 ), 1 ,0 ) AND If(HIGH>Ref( HIGH , +2 ), 1 ,0 )) The formula for Down Fractal is: (If( LOW < Ref( LOW , -1 ), 1 ,0 ) AND If( LOW < Ref( LOW , -2 ), 1 ,0) AND If( LOW < Ref( LOW , +1 ), 1 ,0 )AND If( LOW < Ref( LOW , +2 ), 1 ,0 )) Put the formulas in a new Expert with up arrows and down arrows in graphics with appropriate colors. Hope this will be of help. Manoj P Abraham FRACTAL UP AND FRACTAL DOWN INDICATOR Manoj Abraham manopab@hotmail.com That formula was for the MetaStock Expert. Create a new Expert and put the same in the symbols section and apply it. It will highlight the points where these occur. If you want to plot the same as lines, check this out. Use the Indicator Builder to create these two indicators. Fractal Up ValueWhen(1,(( HIGH > Ref( HIGH , -1 ) ) AND ( HIGH > Ref( HIGH , -2 ) ) AND ( HIGH > Ref( HIGH , +1 ) ) AND ( HIGH > Ref( HIGH , +2 ))),C) Fractal Down ValueWhen(1,((( LOW < Ref( LOW , -1 )) AND ( LOW < Ref( LOW , -2 )) AND ( LOW < Ref( LOW , +1 ))AND ( LOW < Ref( LOW , +2 ) ))),C) I use the fractals (we call them minor tops and minor bottoms) to add to my existing positions. Hope this helps Manoj P. Abraham UP AND DOWN FRACTAL FORMULA CORRECTION The formula for Up Fractal is: If( HIGH > Ref( HIGH, -1 ), 1 ,0 ) AND If( HIGH > Ref( HIGH, -2 ), 1 ,0 ) AND If( HIGH > Ref( HIGH, +1 ), 1 ,0 ) AND If( HIGH > Ref( HIGH, +2 ), 1 ,0 ) The formula for Down Fractal is: If( LOW < Ref( LOW , -1 ), 1 ,0 ) AND If( LOW < Ref( LOW , -2 ), 1 ,0) AND If( LOW < Ref( LOW , +1 ), 1 ,0 ) AND If( LOW < Ref( LOW , +2 ), 1 ,0 ) Put the formulas in a new Expert, in the Trends section, with up arrows and down arrows in graphics with appropriate colours. Hope this will be of help. Manoj P Abraham

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LINEAR REGRESSION TRADING SYSTEM Here's a system that works. Its no Holy Grail but with a little common sense you'd be hard pressed losing money with it. Steve posted it a while back (his "lumber.gif") so I can hardly take credit for the idea, but I think the system is so profitable that I felt I really ought to champion it a bit. I would characterise it as being a fairly aggressive short term system, so it's not everyone's cup of tea. I have added a stochastic crossover to its exit which gets it out just that little bit earlier sometimes. I find that to get the best signals there is no point in optimising over too long a time frame (yea, I know I'm going to get flamed -- heretic, unbeliever) so I pick a period back where the security doesn't change character too much and re-optimise if something dramatic happens. Another trick is to initially optimise coarsely over a very wide range and then select intermediate results that appear to be heading for the sort of trades that you'd like to see (not always the most profitable). Often there are many profit peaks and if you initially optimise over too small a range you won't see the best version for that particular security. I also attach the optimised formula as a MetaStock Expert to securities that I follow. The Buy signal is uncanny and the first few times you really wonder about your sanity. {Enter Long} Cross(opt2,ForecastOsc(O,opt1)) {Close Long} Cross(ForecastOsc(O,opt1),opt3) OR Cross(Mov(Stoch(opt4,3),opt5,S),Stoch(opt4,3)) Jeff Ledermann j.ledermann@uq.net.au

For ADX > 25 and rising, you could do something like this in MS Explorer: Column A: ADX(21) Filter: ADX(21)>25 AND ADX(21)>Ref(ADX(21),-1) AND Ref(ADX(21),-1)>Ref(ADX(21),-2) AND Ref(ADX(21),-2)>Ref(ADX(21),-3) For ADX starting to move higher, you could try: Column A: ADX(21) Column B: Ref(ADX(21),-1) Filter: ADX(21)>ADXR(21) AND Ref(ADX(21),-1)<=Ref(ADXR(21),-1

Inside(), outside(), rally(), reaction(), reactionwithvol() and rallywithvol() are all FUNCTIONS and described as such in the manual. These are not indicators, but can be used in writing an indicator. If you want to see rallywithvol() as an indicator, hit

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your formula button and call your new indicator rallywithvol. Then in the formula window, click on FUNCTIONS, highlight rallywithvol() and paste it in. Voila, you now have an indicator that reflects the rallywithvol() function. If you want to create a short term swing type trading system with these functions getting insights to their use which can be had by reading the description of these functions in the manual, create an expert and type the following: (RallyWithVol() OR Rally()) AND Ref(Inside() OR Outside(),-1) This is for the long side. Looking for a fast point or two in the next few trading sessions. Entry is just above the signal bar. Use a tight stop. If entry point was not hit, there is no trade. This is for "Hit and Run" style trading. from Steve Denk REACTION FUNCTIONS I can help with explanations of the Reaction() function and other associated functions in the formula language. The functionality exist in the formula language ONLY and are not implemented as standard, built-in indicators. In order to access their capabilities, you must write a custom indicator or other formula-based calculation that calls the appropriate function. These functions are used mainly for a type of pattern similar to the functions used for candlestick patterns. The candlestick pattern functionality can also only be accessed through formula functions and not as standard, built-in indicators. Specifically, the following functions are related to the Reaction() function: Reaction() ReactionWithVol() Rally() RallyWithVol() Inside() Outside() The user's manual attempts to describe the functionality of these functions, but we recently identified the fact that the user's manual did not correctly define how they work. A correct explanation for these functions follows: Reaction() : Identifies a "reaction day". A reaction day occurs if the current bar's high is less than or equal to the previous rally or reaction day's high AND the current bar's low is less than the previous rally or reaction day's low. ReactionWithVol() : Identifies a "reaction with volume day". This occurs if the current bar is identified as a reaction day AND the volume for the current bar is greater than the volume for the previous rally or reaction day. Rally() : Identifies a "rally day". A rally day occurs if the current bar's high is greater than the previous rally or reaction day's high AND the current bar's low is greater than or equal to the previous rally or reaction day's low. RallyWithVol() : Identifies a "rally with volume day". This occurs if the current bar is identified as a rally day AND the volume for the current bar is greater than the volume for the previous rally or reaction day. Inside() : Identifies an "inside day". This occurs if the current bar's high is less than or equal to the high for the previous rally or reaction day AND the current bar's low is greater than or equal to the previous rally or reaction day's low. Outside() : Identifies an "outside day". This occurs if the current bar's high is greater than the high for the previous rally or reaction day AND the current bar's low is less than the previous rally or reaction day's low. Ken Hunt SUSTAINED SWING EXPLORATION

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{Place in MetaStock Explorer filter section. Recommended to predict sustained swings, contributed by from Rajat K. Bose.} (ADX(14) < LLV(PDI(14),25) ) AND (ADX(14) < LLV(MDI(14), 25)) CCT LinReg OSC {CCT LinRegOsc:} (LinearReg(C,13)/Ref(LinearReg(C,13),-13))-1 {from Steve Karnish, Cedar Creek Trading (CCT)} DOJI ALERT I want to signal when a Doji occurs following a four-day consecutive increasing CLOSE. I would like this to be an ALERT, signalling if this completed pattern has occurred within the last five days. from Barry Kales ANSWER Doji() AND Alert((Ref(C,-1) > Ref(C,-2) > Ref(C,-3) > Ref(C,-4)),5) from Richard Estes DMI exploration version 2 QUESTION I want to do a MetaStock Exploration with the Directional Movement Index. I want to scan for the crossing of the two, i.e., yesterday +DX is less than -DX; today +DX is greater than -DX; and visa versa. from Dan ANSWER Although the names in the MetaStock quicklist drop down box are + or - DI, you will need to use PDI or MDI in your formulas. That seems to be causing your problem. PDI=Plus Directional Movement Index and MDI=Minus Directional Movement Index. Instead, use the following: DIRECT:=PDI(14)>MDI(14); DIRECT AND Ref(DIRECT,-1)=0; from Dave Nadeau

QUESTION: I want to do an exploration with Directional Movement Index. I want to scan for the crossing of the two, i.e., yesterday +DX is less than -DX, today +DX is greater than DX and visa versa. from Dan ANSWER: +DX(14) > -DX(14) AND Ref(+DX(14),-1) < Ref(-DX(14),-1) from Peter Gialames EXCEL CONFIDENCE % INDICATOR EXCEL CONFIDENCE % FOR METASTOCK Simple Interpretation: Excel Confidence % should oscillate between 0 and 100, usually at the extreme ends of the scale. A value of 0 indicates no confidence in the market going up, whilst 100

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indicates perfect confidence in the market going up. Although this obviously isn't the holy grail of indicators, it does offer some insight into what the market is thinking and how one can measure investor sentiment. You might like to add a slower version of this (just increase the 3 day and 5 day calculations to something you believe to be appropriate - try 7 & 15) and trade the crossovers, as with stochastics. You can also just trade the values ie 90 or higher, buy, 10 or lower, sell. Metastock code for Excel Confidence %: (Sum( Mov(C * (2.5/ Sqrt(50 * V)),10,S)LLV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5), 3 ) / Sum( HHV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5) LLV(Mov(C * (2.5/ Sqrt(50 * V)),10,S),5), 3) ) * 100 FRONT WEIGHTED MOVING AVERAGE Simple Interpretation: Front Weighted 36 Day Moving Average is similar to all other moving averages. The interpretation is just as with all others, the trend is up when prices are above the moving average and the trend is down when prices are below the moving averages. This particular variation attempts to weight the data at the front more than that at the back, with a sliding scale for each trading days value. Metastock code for Front Weighted 36 Day Moving Average: Fml( "1FrontWeighted36BarMA1" ) + Fml( "2FrontWeighted36BarMA2" ) + Fml( "3FrontWeighted36BarMA3" ) Where Fml( "1FrontWeighted36BarMA1" ) = 0.01 * Ref(P,-34) + 0.01 * Ref(P,-33) + 0.01 * Ref(P,-32) + 0.01 * Ref(P,-31) + 0.01 * Ref(P,-30) + 0.01 * Ref(P,-29) + 0.01 * Ref(P,-28) + 0.01 * Ref(P,-27) + 0.01 * Ref(P,-26) + 0.02 * Ref(P,-25) + 0.02 * Ref(P,-24) + 0.02 * Ref(P,-23) + 0.02 * Ref(P,-22) + 0.02 * Ref(P,-21) + 0.02 * Ref(P,-20) + 0.02 * Ref(P,-19) + 0.02 * Ref(P,-18) Where Fml( "2FrontWeighted36BarMA2" ) = 0.03 * Ref(P,-17) + 0.031 * Ref(P,-16) + 0.031 * Ref(P,-15) + 0.031 * Ref(P,-14) + 0.031 * Ref(P,-13) + 0.031 * Ref(P,-12) + 0.031 * Ref(P,-11) +

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0.031 * Ref(P,-10) + 0.031 * Ref(P,-9) + 0.031 * Ref(P,-8) + 0.006 * Ref(P,-7) + 0.006 * Ref(P,-6) + 0.07 * Ref(P,-5) + 0.07 * Ref(P,-4) + 0.07 * Ref(P,-3) + 0.07 * Ref(P,-2) Where Fml( "3FrontWeighted36BarMA3" ) = 0.07 * Ref(P,-1) + 0.079 * P SWING CHART SWING CHART FOR METASTOCK Among the single-handful of tech analysis indicators I've come to value in seeking out potentially profitable trades is the good old swing chart. This is not present in the standard MetaStock 6.5 armoury (at least my edition of it)but Equis derived the following formula to me some time ago for the daily swing If( High > Ref(High,-1) AND Low > Ref(Low,-1), High, If( High < Ref(High,-1) AND Low < Ref(Low,-1), Low, PREV)) Simple really! It certainly doesn't show up as a nice rectangular pattern, but you get used to reading it just as fluently for just as correct interpretation. This formula is easily adapted for any other time period by using Highest High Value and such-like functions instead of the Ref function. Though with a little more tooling, it is also readily adaptable to price swing charting rather than time swings. How to filter out dead stocks Here is how I do it (in the MetaStock Explorer filter): y1:=2000; m1:=7; dt:=25; test:=If(Year()<>y1,1,If(Month()<>m1,1,If(DayOfMonth()<>dt,1,0))); Test=1 Since the Explorer does not allow the Input Function, you will need to enter the Year, Month, and Day as the variables y1,m1,and dt, respectively. from Michael RSI of MACD Q:=Input("Periods",1,1000,14); Z:=Wilders(If(ROC(MACD(),1,$)>0,ROC(MACD(),1,$),0),LastValue(Q)); Y:=Wilders(If(ROC(MACD(),1,$)<0,Abs(ROC(MACD(),1,$)),0),LastValue(Q)); RS:=Z/Y; 100-(100/(1+RS)) from Pierre Tremblay WRITING EXPERT COMMENTARY Here's how to use MetaStock Expert function with the tab for commentary. For example, I wrote this commentary that I can attach to any stock, and it will give me the next day's projected high & low. PRICES: TODAY'S CLOSE WriteVal(CLOSE,2.3) TOMMOROW's PROJECTED HIGH

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WriteIf(C<O, "WRITEVAL(-L+ (H+2*L+C)/2,25.2)") WriteIf(C>O, "WRITEVAL(-L+ (2*H+L+C)/2,25.2)") WriteIf(C=O, "WRITEVAL(-L+ (H+L+2*C)/2,25.2)") PROJECTED LOW WriteIf(C<O, "WRITEVAL(-H+ (H+2*L+C)/2,25.2)") WriteIf(C>O, "WRITEVAL(-H+ (2*H+L+C)/2,25.2)") WriteIf(C=O, "WRITEVAL(-H+ (H+L+2*C)/2,25.2)") BOLLINGER BANDS CLOSING PRICE:WRITEVAL(C,2.3) BOLLINGERBAND TOP: WRITEVAL( BBandTop(C,21,E,2),13.3) 21 DAY MOVING AVERAGE: WRITEVAL(MOV(C,21,E),13.3) BOLLINGERBAND BOTTOM: WRITEVAL( BBandBOT(C,21,E,2),13.3) FIRST RESISTANCE: WRITEVAL(-L+(2* (H+L+C)/3),1.2) SECOND RESISTANCE: WRITEVAL(((H+L+C)/3) +((-L+(2* (H+L+C)/3))-(-H+(2* (H+L+C)/3))),1.2) FIRST SUPPORT: WRITEVAL(-H+(2*(H+L+C)/3),1.2) SECOND SUPPORT: WRITEVAL(((H+L+C)/3) -((-L+(2* (H+L+C)/3))-(-H+(2* (H+L+C)/3))),1.2) from Michael Arnoldi VOLUME FLOAT INDICATOR mp1:=Input("Days Volume Summed",1,377,30); mf1:=Input("Float, in X million",.1,10000,10); mf2:=mf1*1000000; (Sum(V,mp1)/mf2)*100; from Claud Baruch EXAMPLE OF A TRADING SYSTEM Enter Long if 1) today's five-day RSI is greater than yesterday's five-day RSI; and 2) today's close is below the close of five days ago; and 3) today's close is less then or equal to the average of the last five day's closes. Long:=RSI(5)>Ref(RSI(5),-1) AND C<Ref(C,-5) AND C<=Mov(C,5,S); Exit tomorrow at the market if: 1) today's close is higher than the average of the last five days' closes; or 2) you have been in the trade 10 days. If(Long=1 AND (C>(Mov(C,5,S) OR (Ref(Long,-10)=1 AND Ref(Long,11)=0)),0,Long) from Ton Maas DIRECTIONAL MOVEMENT INDEX EXPLORATION I want to do an MetaStock Exploration with Directional Movement Index (DMI) that will scan for the crossing of the two: i.e., yesterday +DX is less than -DX, today +DX is greater than -DX, and visa versa. ANSWER Ref(Cross(MDI(14) , PDI(14)),-1) AND Cross(PDI(14) , MDI(14)) from Ton Maas NORMALISING INDICATORS

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In his article "Normalization", Brian Bell introduces some methods for normalizing indicators. These methods can be easily created in MetaStock 6.52 or higher. Select Indicator Builder from the Tools Menu, click New and enter the formula for the desired method. Name: Simple Moving Average Oscillator OscP(4,8,S,$) Name: Simple MA Osc norm to Std Dev OscP(4,8,S,$)/Stdev(C,8) Name: Simple MA Osc norm to Ave True Range OscP(4,8,S,$)/ATR(8) Name: Simple MA Osc norm to Historical Range OscP(4,8,S,$)/WillR(200) Note: To apply these methods to different indicators replace the Simple Moving Average Oscillator portion with the desired indicator's formula. Cheryl C. Abram, Equis International, Inc. Custom Relative Momentum Index (RMI) Indicator for MetaStock Q:=Input("RSI Time Periods",1,1000,14); M:=Input("Momentum Time Periods",1,1000,5); B:=Input("Field: 1=Close, 2=Open, 3=High, 4=Low, 5=Volume",1,5,1); Bval:=If(B=1,C,If(B=2,O,If(B=3,H,If(B=4,L,V)))); Mom:=Bval-Ref(Bval,-M); Z:=Wilders(If(ROC(Mom,1,$)>0, ROC(Mom,1,$),0),LastValue(Q)); Y:=Wilders(If(ROC(Mom,1,$)<0, Abs(ROC(Mom,1,$)),0),LastValue(Q)); RMS:=Z/Y; RMIcust:=100-(100/(1+RMS)); Mov(RMIcust,M,S) from Ton Maas RSI OF THE MACD In the indicator builder, you can create RSI of MACD (with MS 6.5 and later) : Q:=Input("Periods",1,1000,14); Z:=Wilders(If(ROC(MACD(),1,$)>0,ROC(MACD(),1,$),0),LastValue(Q)); Y:=Wilders(If(ROC(MACD(),1,$)<0,Abs(ROC(MACD(),1,$)),0),LastValue(Q)); RS:=Z/Y; 100-(100/(1+RS)) From Custom Relative Strength Index (RSI) from Equis site ... http://www.equis.com/customer/support/formulas/cf00098.html ...I just put MACD in the formula. I hope this helps... Pierre Tremblay How can we calculate the RSI of MACD? Warmest regards, Alex Spiroglou VOLATILITY BREAKOUT

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Then copy this crude code in: ************************************************* {Volatility Breakout System - returns Profit} Commission:=21; {for Buy+Sell+Stop} TradeAmt:=10000; Buy:=O+((Ref(H,-1)-Ref(C,-1))*.7); Sell:=C; Stop:=O; Trade:= O<Ref(C,-1) AND H>Buy AND Ref(C,-1)<Ref(C,-2) AND Ref(C,-2)<Ref(C,-3) AND Ref(C,-3)<Ref(C,-4); {Trigger for Trade} HitStop:= If(Trade AND Stop>=Sell,TRUE,FALSE); {Have we hit our Stop} TradeSize:= TradeAmt/Buy; Profit:=If(Trade,-Commission-TradeSize*Buy,0);{Purchase} Profit:=If(HitStop=TRUE,{then} Profit+Stop*TradeSize, {else} If(Trade AND HitStop=FALSE, {then} Profit+Sell*TradeSize,0)); {Sale} Win:=If(Profit>0,1,0); Loss:=If(Profit<0,1,0); Cum(Profit) ***************************************************** The indicator charts your profit. You just have to set the first 6 variables as per your system. The MS If structures are a pain and I'm sure there must be easier ways to do this. This is also my first attempt to prove if it works. If you then create an Expert Advisor with the following in the Commentary definition, you'll get some summary statistics for the system. ***************************************************** Volatility Breakout System Security Name: <Name> Security Symbol: <Symbol> Totals: Trades writeval( Cum( FmlVar("System - Volatility reakout","trade") ),0.0 ), Wins writeval(cum( FmlVar("System - Volatility Breakout","WIN") ),0.0), Losses Writeval(cum( FmlVar("System - Volatility Breakout","LOSS") ),0.0) Percentage Wins/Losses: writeval(cum( FmlVar("System - Volatility Breakout","WIN") )/Cum( FmlVar("System - Volatility reakout","trade") )*100,2.0)% Profit: $Writeval(cum( FmlVar("System - Volatility Breakout","PROFIT") ),0.0) Commission: $Writeval( FmlVar("System - Volatility Breakout","COMMISSION"),0.0 ) Trade Amount: $Writeval( FmlVar("System - Volatility Breakout","TRADEAMT"), 0.0) If you want to Highlight the Winning days in one colour and the Losing days in another, just use 'FmlVar("System - Volatility Breakout","WIN")' as the condition for a WIN, etc. The above is the only way I can see to test a system in MS that specifies the entry/exit prices. I suppose the other alternative is Excel!

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Sean Taylor

McClellan Oscillator: 1. Create a composite security in DownLoader consisting of NYSE Advancing Issues minus NYSE Declining Issues. Name the new security something like "Adv-Decl Issues." 2. Open the Adv-Decl Issues chart in MetaStock. 3. Create a new inner window. 4. Create two custom indicators in MetaStock: a) First is the McClellan Oscillator: Mov(CLOSE,19,EXPONENTIAL) Mov(CLOSE,39,EXPONENTIAL) b) Second is the McClellan Summation Index: Cum(Mov(CLOSE,19,EXPONENTIAL) Mov(CLOSE,39,EXPONENTIAL) ) 5. Plot the McClellan Oscillator custom indicator in the main chart window over top of the data plot and select "Display New Scale on Right." This will eliminate the Adv-Decl Issues' scale. 6. Select the Adv-Decl Issues data plot by clicking on it, then right click it and select "Adv-Decl Issues Properties" and change the bar colours to the same colour as your background to make it invisible. The raw data is needed for indicators, but need not be displayed. 7. Plot the McClellan Summation Index in the inner window. 8. Add whatever base lines you want. from Glen Wallace ATR KELTNER BANDS Pds1:= Input("EMA Periods?",1,100,20); Pds2:= Input("ATR Periods?",1,100,10); Mult:= Input("ATR Multiple?",1,10,2.5); EMA:= Mov(C, Pds1, E); Diff:= ATR(Pds2) * Mult; UBand:= EMA + Diff; LBand:= EMA - Diff; Ema; UBand; LBand; See also TAS&C Dec. 1999 p.45, 'Keltner Channels' by Stuart Evens. Various STOCHASTIC RSI OPTIONS Mov((RSI(14)-LLV(RSI(14),9))/(HHV(RSI(14),9)(LLV(RSI(14)+.00001,6))),4,E)*100 Equis' StochRSI - Tushar Chande (RSI(14)-LLV(RSI(14),14))/(HHV(RSI(14),14)-LLV(RSI(14),14))*100 Bell Ringer's StochRSI14 - John A. Yurko

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(Sum(RSI(14)-LLV(RSI(14),14),3)/Sum(HHV(RSI(14),14)LLV(RSI(14),14),3))*100 StochRSI oscillator - Craig DeHaan {configurable formula for the StochRSI oscillator to quickly find what time periods/method you prefer to work with. CDH's List-post. (Sun, 15 Nov 1998 "Re: Finding the Stochastic of the Relative Strength")} mp1:=Input("RSI Periods",1,377,13); mp2:=Input("Stochastic Periods",1,377,13); mp3:=Input("Smoothing Periods",1,377,8); mat:=Input("MA Type: S, E, W",1,3,2); {1=S,2=E,3=W} If(mat=1, Mov((RSI(mp1)-LLV(RSI(mp1),mp2))/(.0000001+ HHV(RSI(mp1),mp2)-LLV(RSI(mp1),mp2)),mp3,S)*100, If(mat=2, Mov((RSI(mp1)-LLV(RSI(mp1),mp2))/(.0000001+ HHV(RSI(mp1),mp2)-LLV(RSI(mp1),mp2)),mp3,E)*100, If(mat=3, Mov((RSI(mp1)-LLV(RSI(mp1),mp2))/(.0000001+ HHV(RSI(mp1),mp2)-LLV(RSI(mp1),mp2)),mp3,W)*100,0)))

Stochastic Relative Strength Index { from www.equis.com } rev. 01/06/97 In his book The New Technical Trader, Tushar Chande defines the Stochastic RSI as: StochRSI = (RSI - RSIL)/(RSIH -RSIL) where RSIL and RSIH are the lowest and highest values of the RSI over a given period. In his book he uses 14 periods. The MetaStockT formula for the Stochastic RSI is: ( ( RSI ( 14 ) - LLV( RSI (14 ) ,14 ) ) / ( ( HHV( RSI (14 ) ,14 ) ) - LLV(RSI (14 ),14 ))) from Ton Maas PSYCHOLOGICAL INDEX There was an overbought/oversold indicator described in the June 2000 Futures Magazine called the Psychological Index. It looked sort of interesting, so I wrote the MetaStock code for it: {Futures Magazine, Vol.29 No.6, June 2000, P.48} LookBack:= Input("Number of lookback periods", 2, 100, 12); UThreshold:= Input("Upper threshold (%)", 0, 100, 75); LThreshold:= Input("Lower threshold (%)", 0, 100, 25); UpDay:= If(CLOSE > Ref(CLOSE,-1), 1, 0); PsychIndex:= Sum(UpDay,LookBack) / LookBack * 100; PsychIndex; UThreshold; LThreshold from Glenn Wallace Buy and Hold Indicator

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periods:=Cum(If(C>0,1,0)); dollars:=C-ValueWhen(1,periods=1,C); percnt:=C/ValueWhen(1,periods=1,C); percnt; [or] dollars; You can quickly run an exploration and look at the buy and hold on everything in dollars or in percentage terms. Michael PERSISTENCY OF MONEY FLOW Period := Input("Period",10,200,20); Mov(If( CMF(Period ) > 0, 1, -1),Period,S)/Period; 0; from Bob Sims Doji alert I want to signal when a Doji occurs following a four-day consecutive increasing CLOSE. I would like this to be an ALERT, signaling if this completed pattern has occurred within the last five days. from Barry Kales Alert(Doji() AND Ref(C,-1) > Ref(C,-2) AND Ref(C,-2) > Ref(C,-3) AND Ref(C,-3) > Ref(C,-4) AND Ref(C,-4) > Ref(C,-5),5) from CatLady Sine wave This is a 28 period sine wave. The "flaw" is that it starts from the first period loaded in the chart rather than an absolute date. Change the -12 to shift the wave right or left. Ref(Sin( Cum(360/28) ), -12) There's also MetaStock's built-in cycle lines drawing tool. from CatLady Displaced moving average system test Here's an example of how to specify displaced moving average in the system tester . . .. Buy: Cross(C,Ref(Mov(C,50,e),-15)) {uses 50ema displaced by 15 days} Sell: Cross(Ref(Mov(C,50,e),-15),C) from Paul Beattie

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RELATIVE VOLATILITY INDEX Taken from Stocks & Commodities, V. 11:6 (253-256): The Relative Volatility Index by Donald Dorsey "The RVI is simply the relative strength index (RSI) with the standard deviation over the past 10 days used in place of daily price change. Because most indicators use price change for their calculations, we need a confirming indicator that uses a different measurement to interpret market strength. The RVI measures the direction of volatility on a scale of zero to 100. Readings above 50 indicate that the volatility as measured by the 10-day standard deviation of the closing prices is more to the upside. Readings below 50 indicate that the direction of volatility is to the downside. The initial testing indicates that the RVI can be used wherever you might use the RSI and in the same way, but the specific purpose of this study is to measure the RVI's performance as a confirming indicator." The RVI was designed to measure the direction of volatility. It calculates price strength by measuring volatility rather than price change. All of the following formulas are required: @RVI Down ((PREV*13)+If(ROC(C,1,%)<0,Stdev(C,10),0))/14 @RVI Up ((PREV*13)+If(ROC(C,1,%)>0,Stdev(C,10),0))/14 @RVI (100*Fml("@RVI Up"))/(Fml("@RVI Up")+Fml("@RVI Down"))

n:=Input("**Volatility** lookback length",1,50,20); x:=Input("%K smoothing (exponential smoothing)",1,50,3); y:=Input("%D smoothing (exponential smoothing)",1,50,3); lenmax:=28; lenmin:=7; v1:=Stdev(C,n); v2:=HHV(v1,n); v3:=LLV(v1,n); v4:=((v1-v3)/(v2-v3)); currlen:=(Int(lenmin+(lenmax-lenmin)*(1-v4))); hh:=HHV(H,LastValue(currlen)); ll:=LLV(L,LastValue(currlen)); RawStochK:=((C-ll)/(hh-ll))*100; SmoothedStochK:=Mov(RawStochK,x,E); StochD:=Mov(SmoothedStochK,y,E); 20; 80; StochD;

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SmoothedStochK; from iamken GUPPY MULTIPLE MOVING AVERAGE EXPLORATION for Metatstock V7. Exploration notes This uses the results of 6 custom indicators HINT When constructing this exploration use the PASTE FUNCTIONS button to transfer the exact formula name to the exploration. Col A: close CLOSE Col B: Ref(C,-1) Col C: Ref(C,-2) Col D: Fml( "MMA 3/30") + Fml( "MMA 5/35") + Fml( "MMA 8/40") + Fml( "MMA 10/45") + Fml( "MMA 12/50") + Fml( "MMA 15/60") Col E: Ref(Fml( "MMA 3/30") + Fml( "MMA 5/35") + Fml( "MMA 8/40") + Fml( "MMA 10/45")+ Fml( "MMA 12/50") + Fml( "MMA 15/60") ,-1) Filter When(colD,>,0) AND When(colE,<=,0) CUSTOM MMA INDICATORS Must be installed using the Indicator builder before Guppy Multiple Moving Average Exploration can be run. MMA 10/45 If(OscP(10,45,E,%)>0,+1,-1) MMA 12/50 If(OscP(12,50,E,%)>0,+1,-1) MMA 15/60 If(OscP(15,60,E,%)>0,+1,-1) MMA 3/30 If(OscP(3,30,E,%)>0,+1,-1) MMA 5/35 If(OscP(5,35,E,%)>0,+1,-1) MMA 8/40 If(OscP(8,40,E,%)>0,+1,-1) Finding rising moving averages You just want to ask for an MA higher than yesterday, or higher than last week. So e.g., "mov(c,20,s)>ref(mov(c,20,s),-1)" or "mov(c,20,s)>ref(mov(c,20,s),-7)" Malcolm Scott

Using the call function Create a few indicators and add them to your formula by calling on them via the formula call function: Example: Create a few new indicators, e.g., n=1,2,3, etc. Name: MyIndicator-n

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Formula: Mov(c,10,s) Now use the formula call function, e.g., create yet another indicator: Name: MyCalls Formula: fml (" MyIndicator-n ") Place the above line in the formula field and repeat the line as needed. from Ton Maas

Call function explanation "When I use the FML() function in a formula to call a Multiple Expression formula my formula only sees one of the Lines. Why? " The FML() function cannot call multiple values from one formula to another formula. The FML function can only call one value from one formula to another. If FML() calls a Multiple Expression formula it can only return the value of the Last Expression in a Multiple Expression formula, from one formula to another. For example the following formula creates a Customized MACD with 3 trigger lines. When plotted it plots a total of 4 lines, exactly as expected. Mov(C,11,E)-Mov(C,30,E); Mov(Mov(C,11,E)-Mov(C,30,E),12,E); Mov(Mov(C,11,E)-Mov(C,30,E),25,E); Mov(Mov(C,11,E)-Mov(C,30,E),50,E) In this example Mov(Mov(C,11,E)-Mov(C,30,E),50,E) is the Last Expression in this Multiple Expression formula. An FML() call to this formula returns the value of Mov(Mov(C,11,E)-Mov(C,30,E),50,E). If you need to use FML() to call multiple values into another formula it is best to break the Multiple Expression Formula into Separate formulas. Then call each separate formula with a separate FML() call. The following example formula uses FML() calls but would generate multiple plots when displayed in a chart: FML("Mov(C,11,E)-Mov(C,30,E)"); FML("Mov(Mov(C,11,E)-Mov(C,30,E),12,E)"); FML("Mov(Mov(C,11,E)Mov(C,30,E),25,E)"); FML("Mov(Mov(C,11,E)-Mov(C,30,E),50,E)") You could also assign variables to each expression and then use the FMLVAR() function to call each of the expressions.

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For example: Formula: Multiple One := Mov(C,11,E)-Mov(C,30,E); Two := Mov(Mov(C,11,E)-Mov(C,30,E),12,E); Three := Mov(Mov(C,11,E)-Mov(C,30,E),25,E); Four := Mov(Mov(C,11,E)-Mov(C,30,E),50,E); One; Two; Three; Four Formula: Call FMLVAR("Multiple","One"); FMLVAR("Multiple","Two"); FMLVAR("Multiple","Three"); FMLVAR("Multiple","Four") Refer to the MetaStock 6.5 manual and/or on-line help for more information on using variables and the function FMLVAR(). from Equis Support and Ton Maa

Example of use of Prev function vPrev:=PREV; Ndays:=If(Cum(1) < 50,Cum(1),vPrev); Ndays2:=If(Ndays>0,Ndays,LastValue(Ndays>0)); Ndays2 {fromTon Maas} Chandelier Exit variation Below is a variation of the Chandelier Exit that I came up with. It doesn't solve the original question, but I like the way it plots better. It holds the highest value every time the stop moves up, and never moves lower unless the stop is hit, in which case its value is reset. from Barry Marx Stop1:=If( PREV < L, {then} If(( H - 3*ATR(10) ) >= PREV, {then} ( H - 3*ATR(10) ), {else} PREV), {else (L <= PREV)} ( H - 3*ATR(10) )); Stop2:=If( PREV < L,

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{then} If(( C - 2.5*ATR(10) ) >= PREV, {then} ( C - 2.5*ATR(10) ), {else} PREV), {else (L <= PREV)} ( C - 2.5*ATR(10) )); StopVal:=If(Stop1>Stop2,Stop1,Stop2); StopVal;

Zero lag MACD 2 Here's my MetaStock v6.2 coded version of the Zero Lag Moving Average, as described in the April, 2000, issue of Technical Analysis of Stocks and Commodities. I've also used it to construct a Zero Lag MACD and a Zero Lag MACD trigger signal. Period:= Input("What Period",1,250,10); EMA1:= Mov(CLOSE,Period,E); EMA2:= Mov(EMA1,Period,E); Difference:= EMA1 - EMA2; ZeroLagEMA:= EMA1 + Difference; ZeroLagEMA from J. Seed

Three day Engulfingbear short trade Buy again three days after the signal. ENTER SHORT Engulfingbear() {Means: today there was an engulfingbear signa, so enter trade.} EXIT SHORT Ref(Engulfingbear, -3) {Means: as of the current day, there was an EngulfingBear three days previous, so exit the trade today.} from Walter Lake and HHP

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{Enter long} {System Tester options are set to enter on the Close} BuyTrigger:=(MOV(C,10,E) - MOV(C,30,E)) / MOV(C,30,E); BuyTrigger > 0.05 {Close long} BuyTrigger:=(MOV(C,10,E) - MOV(C,30,E)) / MOV(C,30,E); BuyPrice:= If(PREV <= 0, {Then did you go long today?} If(BuyTrigger > 0.05, CLOSE, 0), {Else did you exit today?} If(Close >= PREV*(1+BuyTrigger), -PREV, PREV)); BuyPrice < 0 {In this formula, BuyPrice is the close on the date BuyTrigger exceeds your threshold. If you are in a trade and have just received a sell signal, BuyPrice is redefined as a negative, and System Tester is told to close your long position. If you are not currently in a trade, BuyPrice is assigned a zero value and System Tester is told to watch for a new long entry.} {from Glenn Wallace}

GANN-HiLo 2 HLd:=If(CLOSE>Ref(Mov(H,3,S),-1), {then}1, {else}If(CLOSE<Ref(Mov(L,3,S),-1), {then}-1, {else}0)); HLv:=ValueWhen(1,HLd<>0,HLd); HiLo:=If(HLv=-1, {then}Mov(H,3,S), {else}Mov(L,3,S)); HiLo;

Gann hi lo crossover I took the "GANN-HiLo" indicator one step further, exploring in EOD which stocks crossed the GANN-HiLo dots. cola buy: Cross(C, Fml("GANN-HiLo")) AND CLOSE > Fml("GANN-HiLo") colb sell: Cross(C, Fml("GANN-HiLo")) AND CLOSE < Fml("GANN-HiLo")

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Periodicity: Daily Formulas ColumnA: Top Mov(Peak(1,H,1),45,S)-Ref(Mov(Peak(1,H,1),45,S),-45) ColumnB: Bottom Mov(Trough(1,L,1),45,S)-Ref(Mov(Trough(1,L,1),45,S),-45) Filter: ColA < 1 AND ColA > -1 AND ColB < 1 AND ColB > -1 Congestion Index ((HHV(C,80)-LLV(C,80))/LLV(C,80))*100 Consolidation breakout (upside) If(Ref(Fml("congestion index"),-5),<,10, {and} If(Fml("congestion index"),>=,10, {and} If(CLOSE,>,Ref(HHV(C,80),-5), {and} If(Mov(V,5,S),>=,1.5*(Ref(Mov(V,60,S),-5)), +1,0),0),0),0) Consolidation breakout (downside) If(Ref(Fml("congestion index"),-5),<,10{%},{and} If(Fml("congestion index"),>=,10{%}, {and} If(CLOSE,<,Ref(LLV(C,80),-5),{and} If(Mov(V,5,S),>=,1.5*(Ref(Mov(V,60,S),-5)),+1,0),0),0),0)

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Mov((RSI(8)-LLV(RSI(8),8))/(HHV(RSI(8),8)-(LLV(RSI(8),8))),5,w)*100 A formula like this works best with confirming indicators. If the MACD 13-34-89 is above the zero line (purple line in window 2 above), it confirms and uptrend and the indicator is usually more accurate. If the MACD 13-34-89 is below the zero line, then a "short" indication from the StochRSI may give better results.StochRSI 13 also gives excellent indicators- in this index it had 4 out of 5 winning signals in two year period. The time between signals is of course longer. Check this method out on your favorite issues. from Andy G. andyg@megsinet.net BPDL TREND FILTER cum ((if ((mov((C-ref(C,-1)),21,s))>0,1,-1) * pwr(((mov((pwr(C-ref(C,1),2)),21,s))+1),.5)) + ((pwr(((pwr(C-ref(C,-1),2))+1),.5))) * if ((C>ref(C,-1)),1,-1)) (fml(" BPDL Trend Filter") - (ref((fml(" BPDL Trend Filter")),-21))) / ((hhv(fml(" BPDL Trend Filter"),21)) - (llv(fml("BPDL Trend Filter"),21))) BUY -1 SELL 1 PFE Indicator: Mov(If(C > Ref(C,-9), Sqr( Pwr( ROC(C,9,$),2) + Pwr(10,2)) / Sum( Sqr( Pwr( ROC(C,1,$),2) +1), 9),-Sqr( Pwr( ROC(C,9,$),2) + Pwr( 10,2)) / Sum(Sqr(Pwr(ROC(C,1,$),2) +1),9)) * 100,5,E) I use a 80, -80 trendline. I have stuck it in different things at different times. Right now I have it crossing -80 with MACD 4, 35,5, crossing, RSI(9) up one day, and selling pressure down one day. from Stephen Zodkov 21 Day trigger Look at these two oscillators in MSWIN, and compare them to Dahl. Put a 21 day EMA on each, think of the 21 day ema as a trigger. See what they tell you -- Dahl is long term, Ian is shortest term. Raschke Oscillator = Mov(Fml( "Raschke 3-10" ),16,E) where "Raschke 3-10" = Mov(C,3,S) - Mov(C,10,S) Ian Oscillator = (Mov(C,4,S)-Mov(C,9,S)) + (Mov(C,9,S)-Mov(C,17,S)) from Alton Stephens FibboGatto

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FG1: ((c+ref(c,-1)+ref(c,-2)+ref(c,-3)+ref(c,-5)+ref(c,-8)+ref(c,-13)+ref(c,-21)+ref(c,34)+ref(c,-55)+ref(c,-89)+ref(c,-144))/c)*-1 {{{adding closing price only on fib days 1,2,3,5,8,13,21,34,55,89 and 144 and then dividing by today's close}}} FG2: mov(((c+ref(c,-1)+ref(c,-2)+ref(c,-3)+ref(c,-5)+ref(c,-8)+ref(c,-13)+ref(c,-21)+ref(c,34)+ref(c,-55)+ref(c,-89)+ref(c,-144))/c)*-1,34,e) {{{ 34 period mov avg of above indicator}}} Look for crosses of the two indicators for positive or negatives. Now, there are many whipsaws. I don't recommend this as a *system* at all, just as an indicator. It really highlights some big moves but measuring it with the system test is useless. You must use this as ONE of the tools -- not THE tool. Regards, Jerry Gatto

Dynamic Zones {Zamansky&Stendahl's Dynamic Zones for MS6.5 (From the TASC July1997 article). First, for the Lookback Periods plot a 9-day RSI along with StDev adjusted rolling 70-day SMAs; e.g., as can be seen in the article's S&P500-example} PR:=Input("Enter Periods for RSI",1,100,9); PB:=Input("Enter Periods for BUY",1,100,70); PS:=Input("Enter Periods for SELL",1,100,70); UpZone:=Mov(RSI(PR),PS,S)+(1.3185 *Stdev(RSI(PR),PS)); LwZone:=Mov(RSI(PR),PB,S)-(1.3185 *Stdev(RSI(PR),PB)); UpZone; LwZone;

Most indicators use a fixed zone for buy and sell signals. Here's a concept based on zones that are responsive to past levels of the indicator.

One approach to active investing employs the use of oscillators to exploit tradable market trends. This investing style follows a very simple form of logic: Enter the market only when an oscillator has moved far above or below traditional trading levels. However, these oscillator-driven systems lack the ability to evolve with the market because they use fixed buy and sell zones. Traders typically use one set of buy and sell zones for a bull market and substantially different zones for a bear market. And therein lies the problem.

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Once traders begin introducing their market opinions into trading equations, by changing the zones, they negate the system's mechanical nature. The objective is to have a system automatically define its own buy and sell zones and thereby profitably trade in any market -- bull or bear. Dynamic zones offer a solution to the problem of fixed buy and sell zones for any oscillator-driven system.

The algorithm for the dynamic zones is a series of steps. First, decide the value of the lookback period t. Next, decide the value of the probability Pbuy for buy zone and value of the probability Psell for the sell zone.

The area above and below the dynamic zones constitute the upper and lower 10% boundaries. The zones appear to evolve with the market because they use a rolling 70day period of indicator values in their construction. DAHL VARIATIONS Dahl Volume Trend Mov(C,55,VOL)-Ref(Mov(C,55,VOL),-15) PVT Dahl Trend: Mov((PVT()-Ref( PVT(),-15)),55,E) Smoothed OBV Vol 88: Mov((OBV()-Mov(OBV(),88,VOL)),55,E) OBV Dahl Trend: Mov((OBV()-Ref(OBV(),-15)),55,E) Compare each to ordinary Dahl or some other trend indicator. Remember, I put a 21 EMA trigger on each. from Alton Stephens

DAHL OSCILLATOR

I came up with the following to put Dahl into an oscillator format. It is the STOCHRSI formula, replacing RSI with a 55 day Dahl. Does this reflect your thinking on the indicator? It seems to lead changes in Dahl by a period or two, but doesn't seem as fast as the STOCHRSI indicator. Checking a few stocks in my database, there are very few times that it goes below zero, but it will 'peg out' at 100 for significant periods. Perhaps the 14 day smoothing is too short in relation to the 55 period primary indicator. A longer MA period seems to smooth it out significantly, which would seem to defeat the purpose of using an oscillator.

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Mov((mov(c,55,simp) - ref(mov(c,55,simp),-15)- LLV(mov(c,55,simp) ref(mov(c,55,simp),-15),14))/(HHV(mov(c,55,simp) - ref(mov(c,55,simp),-15),14)(LLV(mov(c,55,simp) - ref(mov(c,55,simp),-15),14))),14,E)*100 from Jim O'Donnell FULL FORMULA FOR RSI {The following is copied from the Formula Field of my *RSI canonical_12_day_for_P_I indicator. Change m if you choose another # of periods n for rsi.} {I wrote my own "canonical" RSI(12) which coincides with MetaStock's RSI(12) if m=2*n-1 where m is used below in Mov( ,m,E); n - a number of periods in rsi(n). Mind that since I didn't use those particular tricks from the standard rsi(n) to shorten the initial transitional period, this function and standard rsi(n) differ for about month or so from the day 1. It was not that important for me, so I used this shortcut.} 100 - 100/ (1.+ If(Mov(If(P-Ref(P,-1)<0,-(P-Ref(P,-1)),0),23,E)=0,1000000, Mov(If(P-Ref(P,-1)>0, P-Ref(P,-1), 0),23,E) /Mov(If(P-Ref(P,-1)<0,-(P-Ref(P,-1)),0),23,E) )) From: Vitaly Larichev vitaly@superlink.com

Here is an exploration that pattern traders may find useful. It tends to pick up two patterns: a two day hammer, that is if you combined the open for day 1 and close for day 2, the resulting bar would be a hammer, and a pattern similar to a Ross Hook, as I understand a Ross Hook. Ref((C-L)/(H-L),-1)<=.30 AND ((C-L)/(H-L)) >= .70 AND Ref(ATR(1),-1) >ATR(10) AND ATR(1) >= ATR(10) from Styk

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For Long: HHV(H - 2.5*ATR(5),10) For Short: LLV(L + 2.5*ATR(5),10) Furthermore, it may be beneficial to dynamically adjust the number of lookback periods in the HHV() or the LLV() function. Yngvi Hardarson Sine-Weighted Moving Average Formula: PI:=3.1415926; SD:=180/6; S1:=Sin(1*180/6)*C; S2:=Sin(2*180/6)*Ref(C,-1); S3:=Sin(3*180/6)*Ref(C,-2); S4:=Sin(4*180/6)*Ref(C,-3); S5:=Sin(5*180/6)*Ref(C,-4); Num:=S1+S2+S3+S4+S5; Den:=Sin(SD)+Sin(2*SD)+Sin(3*SD)+Sin(4*SD)+Sin(5*SD); Num/Den %%%%%%%%%%%%% WRO AND WSO INDICATORS

MetaStock Formulas -- WRO and WSO Indicators In the May 1998 issue of STOCKS & COMMODITIES, a Traders' Tip provided MetaStock formulas for calculating support and resistance levels and the WRO and WSO support and resistance oscillators. The Traders' Tip was based on my article, "Automated Support And Resistance," also in that issue. Since then, I've received many E-mail messages from STOCKS & COMMODITIES readers about it. While the method was well received, the formulas provided were a bit confusing and could use some clarification. Further, execution was slow and screening of large numbers of stocks was difficult. Since then, I have developed a faster and improved method for computing these indicators. To begin, the support levels S1 through S6 and the resistance levels R1 through R6 are separate indicators (12 in all), and each should be entered using the custom indicator option in the indicator builder.

S1 Indicator:

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ValueWhen(1, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S2 Indicator: ValueWhen(2, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S3 Indicator: ValueWhen(3, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S4 Indicator: ValueWhen(4, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S5 Indicator: ValueWhen(5, Ref(L,-4) = LLV(L,9), Ref(L,-4)) S6 Indicator: ValueWhen(6, Ref(L,-4) = LLV(L,9), Ref(L,-4)) R1 Indicator: ValueWhen(1, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R2 Indicator: ValueWhen(2, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R3 Indicator: ValueWhen(3, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R4 Indicator: ValueWhen(4, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R5 Indicator: ValueWhen(5, Ref(H,-4) = HHV(H,9), Ref(H,-4)) R6 Indicator: ValueWhen(6, Ref(H,-4) = HHV(H,9), Ref(H,-4)) These 12 indicators should be individually plotted with the price data as points, not lines (click on each and change the style to the one on the bottom of the style menu). The color red is recommended for the support levels S1 through S6 and the color blue for the resistance levels R1 through R6. Entering these formulas and changing the style takes a bit of time, but once done, they can be saved as a template and easily applied to another stock. If you are interested only in computing the WRO and WSO indicators, then these formulas can be entered as shown here. It is not necessary to compute S1 through S6 or R1 through R6, since the new formulas are now self-contained. The new WRO and WSO formulas also contain max and min functions to ensure that the change for each level is either zero or 1. This avoids a rare but occasional error when the price change is very large over

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a short period.

WSO Indicator:

L1:=ValueWhen(1,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L2:=ValueWhen(2,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L3:=ValueWhen(3,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L4:=ValueWhen(4,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L5:=ValueWhen(5,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L6:=ValueWhen(6,Ref(L,-4)=LLV(L,9),Ref(L,-4)); L1M:= Max(0,Min(1,Int(L1/C))); L2M:= Max(0,Min(1,Int(L2/C))); L3M:= Max(0,Min(1,Int(L3/C))); L4M:= Max(0,Min(1,Int(L4/C))); L5M:= Max(0,Min(1,Int(L5/C))); L6M:= Max(0,Min(1,Int(L6/C))); 100*(1-(L1M+L2M+L3M+L4M+L5M+L6M)/6)

WRO INDICATOR:

L1:=ValueWhen(1,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L2:=ValueWhen(2,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L3:=ValueWhen(3,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L4:=ValueWhen(4,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L5:=ValueWhen(5,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L6:=ValueWhen(6,Ref(H,-4)=HHV(H,9),Ref(H,-4)); L1M:= Max(0,Min(1,Int(L1/C))); L2M:= Max(0,Min(1,Int(L2/C))); L3M:= Max(0,Min(1,Int(L3/C))); L4M:= Max(0,Min(1,Int(L4/C))); L5M:= Max(0,Min(1,Int(L5/C))); L6M:= Max(0,Min(1,Int(L6/C))); 100*(1-(L1M+L2M+L3M+L4M+L5M+L6M)/6) The WRO and WSO oscillators are generally plotted together on a separate scale from the price plot. It is helpful to add horizontal lines at zero and 100 on this same scale. Horizontal lines can be added by clicking on the indicator and selecting "horizontal lines" from the Indicator Properties menu. These formulas run much faster (by 40 times) than the earlier formulas, and theyve been tested successfully with both end-of-day data and real-time data using MetaStock Professional Version 6.51.

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GAP1 SYSTEM

GAP2 SYSTEM

Gap3 System =========== {Enter Long} N1:=5; L>Ref(HHV(H,N1),-1) OR Cum(1)=LastValue(Cum(1)) {Exit Long} N2:=3; C<Ref(LLV(L,N2),-1) OR Cum(1)=LastValue(Cum(1)) {Enter Short}

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N1:=5; H<Ref(LLV(L,N1),-1) OR Cum(1)=LastValue(Cum(1)) {Exit Short} N2:=3; C>Ref(HHV(H,N2),-1) OR Cum(1)=LastValue(Cum(1)) {from Ton Maas} %%%%%%%% TSI AND TSI MOVING AVERAGE 100*(Mov(Mov(Roc(C,1,$),25,E),13,E)/Mov(Mov(Abs(Roc(c,1,$)),25,E),13,E)) Mov(Fml("TSI"),20,E) %%%%%%%%% RSI DIVERGENCE EXPLORATION

{A simple exploration filter formula for finding a bullish divergence between the RSI and the price is shown below. To find a bearish divergence, replace > with <. The differences in the trough function was found through an optimization routine and they may not be the best values for your application.} Ref(RSI(14),-1)>Trough(1,RSI(14),.8) AND Ref(CLOSE,-1)<Trough(1,CLOSE,.2) {from Dan in Pocatello, ID} %%%%%%%%% Candle - Hanging Man/Hammer & CCI Trading System enter long: (Fml("Candle - Hammer")=1) AND (CCI(11)<-50) close long: ((CCI(11)<80) AND (Ref(CCI(11),-1)>80)) OR ((CCI(11)<-80) AND Ref(CCI(11)>-80,-1)) enter short: (Fml("Candle - Hanging Man'")=-1) AND

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(CCI(11)>50) close short: ((CCI(11)>-80) AND (Ref(CCI(11),-1)<-80)) OR ((CCI(11)<80) AND Ref(CCI(11)>80,-1)) %%%%%%%%%%% STIX INDICATOR

Mov((H+L)/2,5,S)-Mov((H+L)/2,35,S) %%%%%%%%%%% rsi dIVERGENCE {RSI(9) DIVERGENCE BUY:} If(RSI(9) >= HHV(RSI(9),19) AND CLOSE <HHV(CLOSE,19), 1,0) OR If(CLOSE <= LLV(CLOSE,19) AND RSI(9) > LLV(RSI(9),19), 1,0) {RSI(9) DIVERGENCE SELL:} If(CLOSE >= HHV(CLOSE,19) AND RSI(9)<HHV(RSI(9),19),1,0) OR If(RSI(9) <= LLV(RSI(9),19) AND CLOSE > LLV(CLOSE,19),1,0) {You can substitute any formula for the "RSI(9)"} {from Mike Arnoldi} %%%%%%%%%%% DENVELOPE (RSI)

pds:=Input("Periods",2,200,14); sd:=Input("Standard Deviations",.01,10,2); D1:= RSI(pds); alpha:=2/(pds+1); mt:=alpha*D1+(1-alpha)*(If(Cum(1)<pds,D1,PREV)); ut:=alpha*mt+(1-alpha)*(If(Cum(1)<pds,D1,PREV)); dt:=((2-alpha)*mt-ut)/(1-alpha); mt2:=alpha*Abs(D1-dt)+(1-alpha)*PREV; ut2:=alpha*mt2+(1-alpha)*PREV; dt2:=((2-alpha)*mt2-ut2)/(1-alpha); but:=dt+sd*dt2; blt:=dt-sd*dt2; blt;

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dt; but; {from Adam Hefner VonHef@email.msn.com } %%%%%%%%%% HIGH LOW Len:=Input("Periods",1,400,89); (Mov((H - L + Abs(H - Ref(C,-1)) + Abs(L - Ref(C,-1)) ),len,E))/2

CYLICAL SYSTEM

from Ton Maas ms-irb@wxs.nl ============================================================= = "Trading Stocks With A Cyclical System" by Jeffrey Owen Katz (TASC-Feb1999). (Translated for MetaStock 6.5 by Ton Maas -The Netherlands - June1999). ---------------------------------------------------------------------------(The system's original Easy Language formulas+system were derived from theabove mentioned TASC article). My guess is that Equis (Alan McNichol) was not in the possession of them when he wrote the Equis version of the system, back in the Feb99 Trader's Tips section of TASC). Cyclical System J O Katz Formula: {TASC Feb99} thresh:= {omit whipsaw} 4; k:= {roc comparison period} 3; m:= {cycle period} 63; hld:= {maximum period holding position} 10; Value1:= {volatility} Stdev(Mov(C,m,S)-Mov(C,m+k,S),20); Value2:= {roc, relative comparison ratio} Mov(C,m,S)-Mov(C,m+k,S); tv1:= thresh*Value1; EL:={Enter Long} Value2>tv1; CL:={Close Long} Ref(Cross(Value2,tv1),-hld);

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JKCYCL

--------------------------MetaStock 6.5 System Tester --------------------------Name: Jeffrey Owen Katz - Cyclical System Notes: {February 1999 - TASC-article (see also TRADERS' TIPS)} Formulas: {copy-repeat all that is printed below when applying for the right rule} thresh:= {omit whipsaw} 4; k:= {roc comparison period} 3; m:= {cycle period} 63; hld:= {maximum period holding position} 10; Value1:= {volatility} Stdev(Mov(C,m,S)-Mov(C,m+k,S),20); Value2:= {roc, relative comparison ratio} Mov(C,m,S)-Mov(C,m+k,S); tv1:= thresh*Value1; Rules: {Enter Long} Value2>tv1 {Close Long} Ref(Cross(Value2,tv1),-hld) {Enter Short} Value2<tv1 {Close Short} Ref(Cross(tv1,Value2),-hld) {After entering the formulas, click OK. Then click Options. On the Testing page, set the Trade Delay to zero, set Positions to "both", and then set any other desired options (apart from Optimizing, which is not advisable; leave the factory default settings). Click OK to save the changes, and then open a chart and run the system.} %%%%%%%%%%%% BODY MOMENTUM {I was reading in Perry Kaufman's latest book and he described a little oscillator he called "Body Momentum". This simply calculates the momentum of the closes above the opens versus the closes below the opens. The theory is that as prices move up, closing prices will be higher than opening prices and vice-versa for down. If this oscillator is above 70 then the whites

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(Candle-sticks) dominate and below 30 the blacks are dominant.} {I also added a 3 day moving average to the calculation (for smoothing).} {Here is the code:} Lb:=Input("Look-Back Period?",3,60,14); B:=CLOSE - OPEN; Bup:= Sum(B > 0, Lb); Bdn:= Sum(B < 0, Lb); BM:=(Bup/(Bup+Bdn))*100; Mov(Bm,3,S)

{The StTO is really nothing unique. It is basically a momentum indicator and plots very similar to the "Chande Momentum Oscillator" with the main difference being the "StTO" doesn't seem to swing as far as the CMO. I am not sure how the math is calculated for the CMO, but the (basic) math for the StTO is: (Close- Yesterday's Close) / (H-L)} {Here is the MetaStock code I use:} {name: StTO} {Short-term Trend Oscillator} Lb:=Input("Smoothing Period?",1,60,5); Num:=C-Ref(C,-1); Den:=H-L; Mn:=If(Mov(Num,Lb,S)=0,.01,Mov(Num,Lb,S)); Md:=If(Mov(Den,Lb,S)=0,.01,Mov(Den,Lb,S)); (Mn/Md)*100 {Adam Hefner} %%%%%%%%%%%%%

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{This system uses the momentum Commodity Channel Index (CCI) indicator to find short-term bottoms in the market. The CCI indicator is extremely volatile and is generally difficult to use when trading the S&P 500 Index. We, however, have turned this volatility into a trading advantage by using the spread or gap between the CCI index and its moving average as a reversal signal. Specifically if the gap is larger then a certain percentage and CCI indicator crosses above its moving average we buy the market. The system remains in the market for a short period of time, exiting the trade as the indicators cross to the downside. As designed, this system only trades long the market; it can however be altered to short the market. It is best used in choppy bullish markets similar to the 1995 bull market.} {Trading Tactics: This short-term bullish trading system exploits over extended markets. Futures, options, and mutual fund traders should take full advantage of this high probability trading system, either by taking outright positions or avoiding declining markets. The code for this system can be reversed to trade short positions. This system should be used in place of longer-term momentum systems in strong bullish choppy type markets. This system rarely exits at the market intermediate peak, so other exiting signals may be used in place of our indicator crossover technique.} {Enter long:} Ref(CCI(13)/(Mov(CCI(13),3,S)),-1)>1.5 AND Cross(CCI(13),(Mov(CCI(13),3,S))) AND Ref(CCI(13),-1)<-25 {Exit long:} Cross((Mov(CCI(13),3,S)),CCI(13)) AND Ref(CCI(13),-1)>200 {from Craig Monroe} %%%%%%%%%%%

LOOKBACK Formula: X := Stdev(C, 30); Y := Ref(X, -1); Z := 1+((X-Y)/X); If(Cum(1)=1, 20, Min(Max(Prev*Z, 20), 60)) Name: BuyBreak Formula: HHV(H, LastValue(Fml("LookBack")+Prev-Prev)) Name: BuyExit Formula: LLV(L, LastValue(Fml("LookBack")/2+Prev-Prev))

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Name: SellBreak Formula: LLV(L, LastValue(Fml("LookBack")+Prev-Prev)) Name: SellExit Formula: HHV(H, LastValue(Fml("LookBack")/2+Prev-Prev)) Name: BreakWhere Formula: TopB := Ref(Fml("BuyBreak"), -1); LowB := Ref(Fml("SellBreak"), -1); ((O+H+L+C)/4 - LowB)*100/(TopB-LowB); Name: DBS-System Enter Long: H > Ref(Fml("BuyBreak"), -1) Close Long: L < Ref(Fml("BuyExit"), -1) Enter Short: L < Ref(Fml("SellBreak"), -1) Close Short: H > Ref(Fml("SellExit"), -1)

This is George Pruitt's ("Futures Truth") basic system. It is also the basic system used as the basis for Thomas Stridsman's year-long series of articles about system development and tweaking. %%%%%%%%%%% STOCHASTIC MOMENTUM SMI-Plex:= StochMomentum(2,1,2)+StochMomentum(3,2,1)+StochMomentum(4,2,3)+StochMo mentum (5,3,5)+StochMomentum(8,21,13)+StochMomentum(13,25,2) SMI13E-Plex:= Mov(StochMomentum(2,1,2)+StochMomentum(3,2,1)+StochMomentum(4,2,3)+Stoc hMome ntum(5,3,5)+StochMomentum(8,21,13)+StochMomentum(13,25,2),13,E) {from Craig DeHaan} %%%%%%%%%%%% BradCCI BradCCI: From Bill S. Plot 1: BradCCI Line 1: (((H+L+C)/3)-Mov(C,28,S))/(.015*Std(C,28)) Plot 2: BradCCI Line 2: Std(((h+l+c)/3),28) To Line 1, you can also add trend lines, if you wish: Plot 1: 1. BradCCI Line 1: (((H+L+C)/3)-Mov(C,28,S))/(.015*Std(C,28))

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2. trend(100,100) 3. trend(-100,-100) 4. trend(0,0) %%%%%%%%%%%%%% MCCLELLAN OSCILLATOR rev. 01/06/97 The McClellan Oscillator, developed by Sherman and Marian McClellan, is a market breadth indicator that is based on the smoothed difference between the number of advancing and declining issues on the New York Stock Exchange. The McClellan Oscillator is one of the most popular breadth indicators. Buy signals are typically generated when the McClellan Oscillator falls into the oversold area of -70 to -100 and turns up. Sell signals are generated when the oscillator rises into the overbought area of +70 to +100 and then turns down. Extensive coverage of the McClellan Oscillator is provided in their book Patterns for Profit . To plot the McClellan Oscillator, create a composite security in The DownLoader of Advancing Issues minus Declining Issues. Open a chart of the composite in MetaStock and plot this custom indicator. Mov(CLOSE,19,EXPONENTIAL) - Mov(CLOSE,39,EXPONENTIAL)

rev. 01/06/97 The McClellan Summation Index is a market breadth indicator developed by Sherman and Marian McClellan. It is a long-term version of the McClellan Oscillator and its interpretation is similar to that of the McClellan Oscillator except that it is more suited to major trend reversals. For more extensive coverage of the index refer to the book Patterns for Profit, by Sherman and Marian McClellan. McClellan suggests the following rules for use with the summation Index: Look for major bottoms when the Summation Index falls below -1300. Look for major tops to occur when a divergence with the market occurs above a Summation Index level of +1600.

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The beginning of a significant bull market is indicated when the Summation Index crosses above +1900 after moving upward more than 3600 points from its prior low (e.g. the index moves from -1600 to +2000). The summation index is plotted by adding the Cum function to the McCllellan Oscillator. The formula is Cum(Mov(C,19,E) - Mov(C,39,E)). %%%%%%%%%%%%%%%%%%% Jack Landis' weighted stochastic (shortened to Landis) ((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16)+(S toch(21,5)*.10))

landis multiple time periods formula #1 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),15,s) formula #2 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),10,s) formula #3 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),5,s) formula #4 mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34,8)*.16 )+(Stoch(21,5)*.10)),2,s)

multiple slopes of landis formula #1 slope(mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34, 8)*.16)+(Stoch(21,5)*.10)),15,s),2) formula #2 slope(mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34, 8)*.16)+(Stoch(21,5)*.10)),10,s),2) formula #3 slope(mov(((Stoch(8,3)*.05)+(Stoch(89,21)*.43)+(Stoch(55,13)*.26)+(Stoch(34, 8)*.16)+(Stoch(21,5)*.10)),5,s),2)

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BARNES' ACCELERATION

The Barnes' Acceleration measures rate of price change as opposed to price levels If the Barnes' Acceleration sustains the value of -1 for many days then the security may be ready to show strong trend or it may already be trending. Examine the chart for prolonged values at -1. This may indicate an upcoming stall or turnaround. The number of days needed may be different depending on the type of issue. A utility stock may need to sustain the -1 level for 10 days whereas a highly volatile technology stock may need to sustain the -1 trend for as little as 5 days. From the 1981 Technical Commodity Yearbook, Robert M. Barnes formula 1: if(mov(fml("Barnes' acceleration",2) - ref(fml("Barnes' acceleration",2),-1),20,e)>0.0001,1, if(mov(fml("Barnes' acceleration",2) ref(fml("Barnes' acceleration",2),-1),20,e)<-0.0001,-1,0)) formula 2: mov((c-ref(c,-1))/ref(c,-1),daysm,e)

Based on the premise that closing price may be predictable based on previous closes See (1981 Technical Commodity Yearbook Robert M. Barnes Van Nostrand Reinhold 1981) for theory and applications. formula 1: if(fml("Barnes' adaptive forecast",2)>0.05,1,if(fml("Barnes' adaptive forecast",2)<-0.05,-1,0)) formula 2: mov(c,dayf,e) - ref(mov(c,dayf,e),-1)

See (1981 Technical Commodity Yearbook Robert M. Barnes Van Nostrand Reinhold 1981) for theory and applications. if (c - mov( c, dayf, e) > pf, { Then Action } 1, { Else Action } if ( mov( c, dayf, e) - c > pf, { Then } -1, { Else } 0))

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{ Notice that comments may be placed within braces } %%%%%%%%%%%%%%%% Chande & Kroll's R2 Indicator rev. 01/06/97 In their book "The New Technical Trader," Chande & Kroll introduce the r2 indicator. They state that "the primary use of r2 is as a confirming indicator" and that "it is a lagging indicator that shows the strength of the trend." In MetaStock the r2 formula is: Pwr(Corr(Cum( 1 ),C,14,0),2) They also present a smoothed r2 which would be: Mov(Pwr(Corr(Cum( 1 ),C,14,0),2)*100,14,S) For interpretation refer to Chande & Kroll's book, as stated above. %%%%%%%%%%%%%%% Price Action Indicator (PAIN) If you were only given today's open, high, low and close, how could you make heads or tails of it? The Price Action Indicator (PAIN) can help. The formula returns a single value that weighs intra-day momentum (C-O), Late Selling Pressure (LSP) (C-L), and Late Buying Pressure (LBP) (C-H). The formula is proven by constructing ideal limit-up and limit down scenarios in bond futures. The output is shown to be consistent with the interpretation of Japanese candlestick patterns. See Michael B. Geraty (1997). "Getting Better Directions" Futures Vol. 26: Aug.

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Historical volatility is defined by Sheldon Natenberg, as the standard deviation of the logarithmic price changes measured at regular intervals of time. In Mr. Natenberg's book, "Option Volatility & Pricing," he covers volatility in detail and gives the formula for computing historical volatility. In MetaStock, the equivalent formula would be: Std( Log( C / Ref( C ,-1 ) ) ,10 ) * Sqrt( 365 / 7 ) The above assumes Weekly Data. To utilise this with Daily Data, the MetaStock formula would be: Std( Log( C / Ref( C,-1) ),10 ) * Sqrt( 365 )

For further interpretation refer to the book "Option Volatility & Pricing," by Sheldon Natenberg.

I use is Tema smoothed and I subtract 0.5 so I can plot it as a histogram. It's: Periods := Input("Enter Tema Smoothing Periods",5,233,13); Tema(((RSI(Periods) - LLV(RSI(Periods),Periods)) / ((0.0001+HHV(RSI(Periods),Periods)) LLV(RSI(Periods),Periods))) -0.5,Periods) {from Jim Greening} %%%%%%%%%%%%%%%%%5

DEVSTOP

Here's what I think a DEVSTOP is in MetaStock language, described in Kase's "Trading with the Odds", and better described in Kaufman's "Trading Systems

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and Methods". It uses a 2-day range, calculates an average range and SD of the range, and then draws 4 lines below the high, at 1 range and 0,1,2, and 3 SD's. "2.2" and "3.6" are corrections for skew of the distribution. AVTR:=Mov(HHV(H,2) - LLV(L,2),20, S); SD:=Stdev(HHV(H,2) - LLV(L,2),20); HHV(H-AVTR-3.6*SD, 20); HHV(H-AVTR-2.2*SD,20); HHV(H-AVTR-SD,20); HHV(H-AVTR,20); from Mikelu %%%%%%%%%%%%

{Weekly Pivot Point Projection 8/4/99} Dw:=If(DayOfWeek()<=Ref(DayOfWeek(),-1),1,0); {Weekly Typical Price} PP1:=If(Dw=1, {then}(Ref(HighestSince(1,Dw=1,H),-1)+ Ref(LowestSince(1,Dw=1,L),-1) + Ref(C,-1))/3, {else}0); {Weekly High} Wh1:=If(Dw=1, {then}Ref(HighestSince(1,Dw=1,H),-1), {else}0); {Weekly Low} Wl1:=If(Dw=1, {then}Ref(LowestSince(1,Dw=1,L),-1), {else}0); Wh:=ValueWhen(1,Wh1>0,Wh1); Wl:=ValueWhen(1,Wl1>0,Wl1); PP:=ValueWhen(1,PP1>0,PP1); {Resistance 1} R1:=(2*PP)-Wl; {Support 1} S1:=(2*PP)-Wh; {Resistance 2} R2:=(PP-S1)+R1; {Support 2} S2:=PP-(R1-S1); R2;

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R1; S1; S2; %%%%%% STO RSI Here is the formula for Metastock for the StoRSI. I have made it so we can change timeperiods of RSI and MAs and also so that we can change the type of MAs. Lars. RSIPeriod:= Input("Enter periods for RSI",2,300,8); HLPeriod:= Input("Enter periods for HHV and LLV",2,300,8); MAPeriod:= Input("Enter periods for Moving Average",2,300,3); mat:= Input(" MA Typ,S,E,W,T",1,4,2);{1=S,2=E,3=W,4=T} If(mat=1,(Mov((RSI(RSIPeriod)LLV(RSI(RSIPeriod),HLPeriod))/(HHV(RSI(RSIPeriod),HLPeriod)LLV(RSI(RSIPeriod),HLPeriod)),MAPeriod,S)*100), If(mat=2,(Mov((RSI(RSIPeriod)LLV(RSI(RSIPeriod),HLPeriod))/(HHV(RSI(RSIPeriod),HLPeriod)LLV(RSI(RSIPeriod),HLPeriod)),MAPeriod,E)*100), If(mat=3,(Mov((RSI(RSIPeriod)LLV(RSI(RSIPeriod),HLPeriod))/(HHV(RSI(RSIPeriod),HLPeriod)LLV(RSI(RSIPeriod),HLPeriod)),MAPeriod,W)*100), If(mat=4,(Mov((RSI(RSIPeriod)LLV(RSI(RSIPeriod),HLPeriod))/(HHV(RSI(RSIPeriod),HLPeriod)LLV(RSI(RSIPeriod),HLPeriod)),MAPeriod,T)*100),0)))) Here is one that works for TS6. Should work for yours. Randy

Input: Price(close),RSILen(5),Length(3); Var:StochRSI1(0), Value2(0), Value3(0); {StochRSI1 = (Summation(RSI(Price, RSILen) Lowest(RSI(Price, RSILen), Length),3)) / (Summation(Highest(RSI(Price, RSILen), Length) Lowest(RSI(Price, RSILen), Length),3));} Value2=(Summation(RSI(Price, RSILen) Lowest(RSI(Price, RSILen), Length),3)); Value3=(Summation(Highest(RSI(Price, RSILen), Length) Lowest(RSI(Price, RSILen), Length),3)); StochRSI1 = Iff(Value2=0,0,Value2/Value3); Plot1(StochRSI1 *100,"StochRSI"); 282

Plot2(80); Plot3(20); {Function: Stochastic of RSI Author: Clyde Lee} Input: length(Numeric); Vars: RSIVal(0); RSIVal=RSI(C,LENGTH); Value1=Highest(RSIVal,Length); Value2=Lowest (RSIVal,Length); Value3=Value1-Value2; If CurrentBar>Length and Value3>0 then StochRSI_Lee = (RSIVal-Value2)/Value3*100 else StochRSI_Lee = 50 ; ATR MODIFIED

{ prd1:=input("enter ATR period",1,9999,7); prd2:=(prd1*2)-1; {max (absolute) of yesterday's close to today's high or today's low} myatr1:=Max(Abs(Ref(C,-1)-H),Abs(Ref(C,-1)-L)); {max of yesterday's close to today's high or today's low or today's range} myatr2:=Max(myatr1,H-L); { %%%%%%%%%%%%%%%%% HIGHEST HIGH SINCE BUY SIGNAL Anyone know how to keep track of, for example, the highest high since a buy signal was triggered? I want to > add this into a system test that I am trying to run.

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MINERS STORSI This indicator came out a number of years ago now and was a hot topic on compuserve. Sorry, but the thread I saved on it seems to be gone. Haven't spoken to John Yurko in years but here are two of John's original posts on StochRsi from CompuServe circa 1995. I backtested the heck out of his "rules" but found the results inconclusive. Earl It was discussed in Chande & Kroll's book 'The New Technical Trader'. Pub 1994 by John Wiley & Sons ISBN 0-471-59780-5 $49.95 It took me only one scan of the book before I decided to buy it, as I saw the potential of this one indicator at helping identify low risk long and short entry points. Like I said, I took the simple-minded approach and applied this indicator's ability to define when a security is strongly trending, by tracking it over a longer time frame (14 week), and looking for 'oversold' or 'overbought' readings with a shorter time frame (14 day). I've not yet tried to optimize those time frames, or the definitions of 'strongly trending', 'oversold' or 'overbought'. I wrote the formula quite easily in MSW 5.0, but you have to work with the direct definition of Stochastics. Remember, StochasticsRSI doesn't calculate the Stochastics of PRICE values, it calculates Stochastics of RSI values. In essence, in MetaStock's language, wherever you see a Price, usually the Close, in the Stochastics formula, replace it with the RSI function. For simplicity sake, I've kept the time frames the same between Stochastics and RSI. That is, if I'm calculating a 14-period StochasticsRSI, I use a 14-period RSI in the formula. Of course, one could test various RSI period lengths for a given StochasticsRSI period length, but I haven't done that. As you can see, this type of indicator allows for a rather wide set of testing conditions when it comes to the essence of my idea, if one wants to go that route. Not only can you vary the RSI periods for a fixed StochasticsRSI period, but you can vary the relationship between the "short-term" StochasticsRSI time period and the "long-term" StochasticsRSI time period. The latter of course is nothing different than if you were testing various combinations of EMAs for say the McClellan Oscillator, instead of the usual 19 and 39 day time periods. Enough talk. Here's the MetaStock formulas: Using the custom formula from page 191 of the MSW manual, and amending it to that of a 14-period %K Stochastic Oscillator with a 3-period slowing we get: (SUM( C - LLV(L,14), 3 ) / SUM(HHV(H,14) - LLV(L,14), 3) ) *100 Now, substituting RSI where necessary to get the 14-day StochasticsRSI Oscillator, we get: (SUM( RSI(14) - LLV(RSI(14) , 14), 3) / SUM(HHV(RSI(14), 14) - LLV(RSI(14), 14), 3)) *100

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For the 70-day (14 week) StochasticsRSI Oscillator, we get: (SUM(RSI(70) - LLV(RSI(70), 70), 15) / SUM(HHV(RSI(70), 70) - LLV(RSI(70), 70), 15))*100 You could of course use a 3-period slowing instead of the 15-period slowing as I have, but I thought it more "logical" to multiply all the terms in the 14-period StochasticsRSI by 5 to arrive at the 70-period StochasticsRSI. Enjoy! John First of all, StochRSI gives relatively _few_ buy signals. If you get a half dozen in a year for a particular stock, that's a lot. Remember, the stock (or market) has to be trending or beginning to trend before StochRSI will give you low risk buy points. BTW, I never said in any of my messages that I use StochRSI for _sell signals, although the occasional super obvious divergence does show itself now and again. You can use a 50-day MA crossing if you're shorter term oriented as your sell signal, or the stock's 150-day SMA if you're long term oriented, and test that as an exit rule for StochRSI. I don't though, at least not by itself. <g> However, if I told you what I _do_ use, I'd be revealing details of my proprietary Bell Ringer system, which does use a 150-day SMA as a 'just in case' sell signal. Buy Signals for StochRSI: The first two are created through the _interaction_ of the StochRSI-14 and StochRSI-70 oscillators. 1. IF StochRSI-70 > 80.0 and previous day's StochRSI-14 <= 20.0 and today's StochRSI-14 > 20.0 then BUY at the close of that trading day. Footnote: You _can_ determine a day in advance what stock price will cause the StochRSI-14 value to cross the 20 level, while keeping the StochRSI-70 above the 80 level. That way, you _can buy near the close of that trading day as opposed to waiting till the next trading day's opening to exceute your purchase. It's not an especially easy exercise to do that though, unless you don't mind spending some time in Algorithm Alley. <g> I did though, simply due to the fact that on such crossings of 20 by StochRSI-14, up gap openings are more common than normal, and in fact so are situations where the next day's low is above today's high. 2. IF StochRSI-70 > 50.0 and previous day's StochRSI-14 <= 20.0 and today's StochRSI-14 > 20.0 AND HHV(ROC(StochRSI-70,1,Points),21) > 3.0 then BUY.

There is also a provision that LLV(StochRSI-70,21) <= 20.0 In other words, the stock has been (and may still be) in a basing pattern, but it's upside 70 day momentum, as defined by StochRSI-70, is sufficiently strong that the odds highly favor an upside breakout in the stock's price, and the stock is short-term oversold as

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measured by the StochRSI-14, and has just given the first sign that it's about to run to the upside, by its breaking above the 20 level in StochRSI-14. That first condition using HHV basically means that within the previous 21 trading days, there was at least one trading day where the one-day Change of the StochRSI70 exceeded 3 points, i.e., it rose more than 3 points from the prior day's value. You can set a higher level to test, rather than use 3.0, but I've found that the 3.0 value doesn't add much if any 'less accurate' potential buying situations into the stock selection process. That second condition using LLV basically means that within the previous 21 trading days, StochRSI-70 was at or below the 20 level. In other words, it was long-term oversold. I added this condition later on, but it's not absolutely necessary. I just wanted to reduce the number of potential buy candidates a bit. This last BUY signal is different from the other two, as it uses the interaction between the oscillator which is the SUM of the StochRSI-14 and StochRSI-70 values, and the 150-day SMA of the stock. I call this oscillator my "StochRSI-14 + StochRSI-70" oscillator. Obviously,something a little more intuitive name is required! Maybe I should call it the SUMStochRSI(14,70) oscillator. Naming suggestions are more than welcome! The buy criteria is simplicity itself. The stock MUST close at or above its 150-day SMA AND yesterday's SUMStochRSI(14,70) < 50.0 and today's StochRSI(14,70) > 50.0 Basically what I'm doing here with this buy signal is I'm saying that whatever level of selling pressure that developed in a stock, it did NOT have enough staying power to drive the stock below its 150-day SMA, which is after all a trendline. Not only that, but that selling pressure has shown it's first sign of abating, by the fact that the SUMStochRSI(14,70) has broken above the 50 level, which I consider it to be the level where a stock is long-term deeply oversold. BTW, an _especially_ good BUY signal occurs when SUMStochRSI(14,70) crosses from below 50 to above 50, and where the stock could not break below its 50-day SMA on a closing basis, while the stock got deeply long-term oversold!!! {*********************STOCHRSI**********************} Input: RSILen(13), LBLen(8), WAvgLen(5); Var: RS(0),RSIL(0),RSIH(0),StochRSI(0); RS=RSI(C,RSILen); RSIL = Lowest(RS,LBLen); RSIH = Highest(RS,LBLen); StochRSI = (RS - RSIL)/(RSIH-RSIL);

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Enter long: Cross(ForecastOsc(C,21),Mov(ForecastOsc(C,21),3,E)) AND Cross(ForecastOsc(C,21),0) Exit long: Cross(Mov(ForecastOsc(C,21),3,E),ForecastOsc(C,21)) AND Cross(6,ForecastOsc(C,21)) {You can use alert() function on either if you don't require both conditions to fire on the same day.} %%%%%%%%%%%%%%%%%%%% FORECAST OSCILLATOR SYSTEM Enter long: Cross(ForecastOsc(C,21),Mov(C,3,E)) AND Cross(ForecastOsc(C,21),0) Exit long: Cross(Mov(C,3,E),ForecastOsc(C,21)) AND Cross(6,Mov(C,3,E)) %%%%%%%%%%%%%%% EQUIVILANT TO WILDERS TR Wilders(TR,periods) = Mov(TR,2*periods-1,E) %%%%%%%%%%%%%%%%%% TRUE RANGE FORMULA TR = (H - L + Abs(H - Ref(C,-1)) + Abs(L - Ref(C,-1)) )/2 {from Bob Jagow

MURREY MATH

> >SqW:=Input("Square Width (Days)",4,256,64); > >MM:=Input("Start Date Month",1,12,10);

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> > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > > >

>DD:=Input("Start Date Day ",1,31, 5); >YY:=Input("Start Date Year ",1700,2100,1998); > >T0:=LastValue(ValueWhen(1,DayOfMonth()=DD AND > Month()=MM AND > Year()=YY,Cum(1))); > >Sqrs:=Int((LastValue(Cum(1))-T0)/SqW)-1; > >S0:=T0+(Sqrs*SqW); > >Lo:=LastValue(ValueWhen(1,Cum(1)=S0+SqW-1, > LLV(Min(H,L),SqW))); > >Hi:=LastValue(ValueWhen(1,Cum(1)=S0+SqW-1, > HHV(Max(H,L),SqW))); > >Sf:= >If(Hi>25,If(Log(0.4*Hi)/Log(10)> Int(Log(0.4*Hi)/Log(10))>0, >Exp(Log(10)*(Int(Log(0.4*Hi)/Log(10))+1)), >Exp(Log(10)*(Int(Log(0.4*Hi)/Log(10))))), >100*Exp(Log(8)*(Int(Log(0.005*Hi)/Log(8))))); > >N:= >If(Log(Sf/(Hi-Lo))/Log(8)<=0,0, > If(Frac(Log(Sf/(Hi-Lo))/Log(8))=0, > Int(Log(Sf/(Hi-Lo))/Log(8)), > Int(Log(Sf/(Hi-Lo))/Log(8))+1)); > >Si:=Sf*Exp(-N*Log(8)); > >M:=Int(((1/Log(2))*Log((Hi-Lo)/Si))+.00001); > >I:=Round(((Hi+Lo)*.5)/(Si*Exp((M-1)*Log(2)))); > >B:=(I-1)*Si*Exp((M-1)*Log(2)); >TT:=(I+1)*Si*Exp((M-1)*Log(2)); > >Er:=If(Hi-TT>0.25*(TT-B) OR > B-Lo>0.25*(TT-B),1,0); > >MM:=If(Er=0,M,If(Er=1 AND M<2,M+1,0)); >NN:=If(Er=0,N,If(Er=1 AND M<2,N,N-1)); > >Si:=Sf*Exp(-NN*Log(8)); > >I:=Round(((Hi+Lo)*.5)/ > (Si*Exp((MM-1)*Log(2)))); > >B:=ValueWhen(1,Cum(1)>=S0, > (I-1)*Si*Exp((MM-1)*Log(2))); > >TT:=ValueWhen(1,Cum(1)>=S0, > (I+1)*Si*Exp((MM-1)*Log(2))); > >B; > >{L1:=}ValueWhen(1,Cum(1)>=S0, > B+(0.125*(TT-B)));

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> > > > > > > > > > > > > > > > > > > > > >{L2:=}ValueWhen(1,Cum(1)>=S0, > B+(2.0*(0.125*(TT-B)))); > >{L3:=}ValueWhen(1,Cum(1)>=S0, > B+(3.0*(0.125*(TT-B)))); > >{L4:=}ValueWhen(1,Cum(1)>=S0, > B+(4.0*(0.125*(TT-B)))); > >{L5:=}ValueWhen(1,Cum(1)>=S0, > B+(5.0*(0.125*(TT-B)))); > >{L6:=}ValueWhen(1,Cum(1)>=S0, > B+(6.0*(0.125*(TT-B)))); > >{L7:=}ValueWhen(1,Cum(1)>=S0, > B+(7.0*(0.125*(TT-B)))); > >TT;

ZIGZAG CODE Since there are many users who showed interest in my indicator, I provide here the code for a complete Expert. It uses Trends, Highlights, Symbols, Alerts and a simple Commentary. ______________________________________________________ New Expert for ZigZag validity Name: ZigZag validity -----------------------------------------------------Trends Bullish: Zig(CLOSE ,10 ,% ) > Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1 Bearish: Zig(CLOSE ,10 ,% ) < Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1 -----------------------------------------------------Highlights (the code is the same as above) Name: UpTrend confirmed Color: Green or Dk Green Condition: Zig(CLOSE ,10 ,% ) > Ref(Zig(CLOSE ,10 ,% ),-1) 289

AND Fml("ZigZag validity") = 1 Name: DownTrend confirmed Color: Red Condition: Zig(CLOSE ,10 ,% ) < Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1 -----------------------------------------------------Symbols (there are 3 symbols) Name: Zig invalid Graphic: ? (question mark) Color : Black Condition : Cross(0.5, Fml("ZigZag validity")) Name: UpTrend confirmed Graphic: Thumbs Up Color : Green or Dk Green Condition : cond:= Zig(CLOSE ,10 ,% ) > Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1; Cross(cond,0.5) Name: DownTrend confirmed Graphic: Thumbs Down Color : Red Condition : cond:= Zig(CLOSE ,10 ,% ) < Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1; Cross(cond,0.5) -----------------------------------------------------Alerts (there are 3 alerts using the same code as the Symbols section) Name: Zig invalid Alert : Zig is invalid here Condition: Cross(0.5,Fml("ZigZag validity")) Name: UpTrend confirmed Alert : Up trend confirmed Condition : cond:=

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Zig(CLOSE ,10 ,% ) > Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1; Cross(cond,0.5) Name: DownTrend confirmed Alert : Down trend confirmed Condition : cond:= Zig(CLOSE ,10 ,% ) < Ref(Zig(CLOSE ,10 ,% ),-1) AND Fml("ZigZag validity") = 1; Cross(cond,0.5) -----------------------------------------------------Commentary <expert> by Spyros Raftopoulos Review of <name> (<symbol>) <date> -----------------------------------------Zig(Close,10,% ): writeval(Zig(Close,10,% ),8.2) writeif(Zig(Close,10,% )>ref(Zig(Close,10,% ),-1), "The ZigZag indicator is ascending which means that prices are moving up.", "Prices move downward as shown by the descending ZigZag indicator. ") writeif(fml("ZigZag validity")=1, "This trend is confirmed by the ZigZag validity indicator. Zig Zag has been valid for writeval(barssince(cross(fml("ZigZag validity"),0.5)), 3.0) bars.", "However, the trend is not confirmed yet. Zig Zag has been invalid for writeval(barssince(cross(0.5,fml("ZigZag validity"))), 3.0) bars.") ___________________________________________ The above tools are very similar: Alerts coincide with Symbols and Highlights coincide with Trends. Therefore you may not need all of them at the same time. Remember that, at any time, you can activate or deactivate any of the above by clicking on the corresponding check box(es). I hope this helps. In any case please drop me a note. If there are any more problems also let me know. Cheers Spyros ____________________________________________

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A number of small changes have been incorporated in the following indicators, and the version numbers have been adjusted accordingly. Most changes relate to the handling of intra-day trades. Several restrictions now limit the execution of intra-day trades, and these are really just a matter of common sense. TE will inhibit intra-day trades, i.e. not currently in a trade and receives concurrent entry and exit signals, when; 1. entry option =2 (enter on close) 2. exit option =1 (exit on open) 3. entry and exit options are the same but neither =5 TS will enforce similar restrictions, and it can also terminate a trade intra-day if either target price is met. The exit on next open timing option is precluded when using price exit signals (exit option =5). Indicators Trade Equity LE V2.7 Trade Equity LE V3.3 Trade Equity SE V2.7 Trade Equity SE V3.3 Trade Stop LE V3.3 Trade Stop SE V3.3 From my perspective the TE v2.7 indicators are close to bullet proof, and the TE v3.3 indicators almost as robust. The TS indicators are less robust but I would still expect them to be very accurate under normal usage (whatever that is). By providing a wide range of user options I have also greatly increased the number of things that can go wrong. I would really appreciate any feedback that anyone can offer (Im not looking for bouquets but problems with usage or function). {Trade Equity LE} {V2.7 long side only} {* user default settings *} No:=Input("Enter 1=O 2=C 3=H 4=L 5=Stop",1,5,2); Xo:=Input(" Exit 1=O 2=C 3=H 4=L 5=Stop",1,5,2); Nd:=Input("Entry Delay",0,3,0); Xd:=Input(" Exit Delay",0,3,0); Cp:=10000; {* trade capital *} Cn:=Input("Entry Commission $",0,99,30); Cx:=Input(" Exit Commission $",0,99,30); {For % commission use this and (*) code} {Cn:=Input("Entry Commission %",0,3,0.5)*Cp/100; Cx:=Input(" Exit Commission %",0,3,0.5)/100;} N:= Fml("PS Fractal Entry")>0; Ns:=Fml("PS Fractal Entry"); X:= Fml("PS Fractal Exit")>0; Xs:=0 {Fml("Trade Stop LE")}; {* end of user area *} Ns:=If(No=5,Ns,0); Np:=If(Ns>0,Ns,If(No=1,O,If(No=3,H,If(No=4,L,C)))); N:=N AND Alert(N=0,2); X:=X AND Alert(X=0,2); N:=If(Nd=0,N,Alert(N,Nd+1) AND Alert(N,Nd)=0); N:=If(No=5 AND Ns>0,1,If(No<5,N,0)); Xp:=If(Xs>0,Min(H,Max(L,Xs)),If(Xo=1,O,If(Xo=3,H,If(Xo=4,L,C)))); X:=If(Xd=0,X,Alert(X,Xd+1) AND Alert(X,Xd)=0); X:=If(Xs>0,1,X); Xp:=If(Xo<5 AND No=5 AND X=0,C,Xp); Xp:=If(Xs>0 AND N AND X,Xs,Xp);

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Xp:=If(Ref(N AND X,-1),Ref(Xp,-1),Xp); I:=Cum((N+Ns+X+Xs)>-1)=1; Tr:=BarsSince(I OR N)<BarsSince(I OR X); Tr:=If(N+X>1 AND (Alert(Tr,2) OR (Nd+Xd<1 AND No<>2 AND Xo>1 AND (Max(No,Xo)>4 OR No<>Xo))),1, Tr); Np:=If(I AND N=0,C,Np); En:=(Tr AND Alert(Tr=0,2)) OR I; Ex:=Tr=0 AND Alert(Tr,2); Lb:=(Alert(Tr,2)) AND LastValue(Cum(1)-0)=Cum(1); Ea:=ValueWhen(1,En,If(No=5 AND N AND X,Np,Max(O,Np))); Ea:=If(No<5,ValueWhen(1,En,Np),Ea); En:=Tr AND Alert(Tr=0,2); N:=If(Ex OR Lb,(Cp-Cn)*(Xp/Ea)-Cp-If(Ex,Cx,0),0); {*}{N:=If(Ex OR Lb,(Cp-Cn)*(Xp/Ea)-Cp -If(Ex,Cx*(Cp -Cn)*(Xp/Ea),0),0);} Bt:=If(Alert(Tr,2),1+BarsSince(En OR I),0); Xs:=If(Alert(Tr,2),(Cp-Cn)*(Xp/Ea)-Cp-If(Ex,Cx,0),0); {*}{Xs:=If(Alert(Tr,2),(Cp-Cn)*(Xp/Ea)-Cp-If(Ex,Cx*(Cp-Cn)*(Xp/Ea),0),0);} Nd:=LowestSince(1,I,Xs); Ns:=HighestSince(1,I,Xs); X:=Cum(If((Ex OR Lb) AND N> 0,Bt,0)); Xd:=Cum(If((Ex OR Lb) AND N<=0,Bt,0)); Cum(N)+If(Tr AND Lb=0,(Cp-Cn)*(Xp/Ea),Cp); {Trade Equity LE} {V3.3 long side only} {* user default settings *} No:=Input("Entry and exit prices, 1=O 2=C 3=H 4=L 5=Price, ##",11,55,22); Cp:=Input("Position size, entry and exit delays, $ ## ",0,100033,10000); Cm:=Input("Entry and exit costs, $$",0,9999,3030); N:= Fml("PS Fractal Entry")>0; Ns:=Fml("PS Fractal Entry"); X:= Fml("PS Fractal Exit")>0; Xs:=0 {Fml("Trade Stop LE")}; {* end of user area *} Nd:=LastValue(Int(Frac(Cp/99)*10)); Xd:=LastValue(Cp-Int(Cp/10)*10); Cp:=Int(Cp/100)*100; Xo:=No-10*Int(No/10); No:=Int(No/10); Cx:=Cm-100*Int(Cm/100); Cm:=Int(Cm/100); Ns:=If(No=5,Ns,0); Np:=If(Ns>0,Ns,If(No=1,O,If(No=3,H,If(No=4,L,C)))); N:=N AND Alert(N=0,2); X:=X AND Alert(X=0,2); N:=If(Nd=0,N,Alert(N,Nd+1) AND Alert(N,Nd)=0); N:=If(No=5 AND Ns>0,1,If(No<5,N,0)); Xp:=If(Xs>0,Min(H,Max(L,Xs)),If(Xo=1,O,If(Xo=3,H,If(Xo=4,L,C)))); X:=If(Xd=0,X,Alert(X,Xd+1) AND Alert(X,Xd)=0); X:=If(Xs>0,1,X); Xp:=If(Xo<5 AND No=5 AND X=0,C,Xp); Xp:=If(Xs>0 AND N AND X,Xs,Xp); Xp:=If(Ref(N AND X,-1),Ref(Xp,-1),Xp); I:=Cum((N+Ns+X+Xs)>-1)=1; Tr:=BarsSince(I OR N)<BarsSince(I OR X); Tr:=If(N+X>1 AND (Alert(Tr,2) OR (Nd+Xd<1 AND No<>2 AND Xo>1 AND (Max(No,Xo)>4 OR No<>Xo))),1, Tr); Np:=If(I AND N=0,C,Np); En:=(Tr AND Alert(Tr=0,2)) OR I; Ex:=Tr=0 AND Alert(Tr,2); Lb:=(Alert(Tr,2)) AND LastValue(Cum(1)-0)=Cum(1); Ea:=ValueWhen(1,En,If(No=5 AND N AND X,Np,Max(O,Np))); Ea:=If(No<5,ValueWhen(1,En,Np),Ea); En:=Tr AND Alert(Tr=0,2);

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N:=If(Ex OR Lb,(Cp-Cm)*(Xp/Ea)-Cp -If(Ex,Cx,0),0); Bt:=If(Alert(Tr,2),1+BarsSince(En OR I),0); Xs:=If(Alert(Tr,2),(Cp-Cm)*(Xp/Ea)-Cp-If(Ex,Cx,0),0); Nd:=LowestSince(1,I,Xs); Ns:=HighestSince(1,I,Xs); X:=Cum(If((Ex OR Lb) AND N>0,Bt,0)); Xd:=Cum(If((Ex OR Lb) AND N<=0,Bt,0)); Cum(N)+If(Tr AND Lb=0,(Cp-Cm)*(Xp/Ea),Cp); {Trade Equity SE} {V2.7 short side only} {* user default settings *} No:=Input("Enter 1=O 2=C 3=H 4=L 5=Stop",1,5,2); Xo:=Input(" Exit 1=O 2=C 3=H 4=L 5=Stop",1,5,2); Nd:=Input("Entry Delay",0,3,0); Xd:=Input(" Exit Delay",0,3,0); Cp:=10000; {* trade capital *} Cn:=Input("Entry Commission $",0,99,30); Cx:=Input(" Exit Commission $",0,99,30); N:= Fml("PS Fractal Exit")>0; Ns:=Fml("PS Fractal Exit"); X:= Fml("PS Fractal Entry")>0; Xs:=0 {Fml("Trade Stop SE")}; {* end of user area *} Ns:=If(No=5,Ns,0); Np:=If(Ns>0,Ns,If(No=1,O,If(No=3,H,If(No=4,L,C)))); N:=N AND Alert(N=0,2); X:=X AND Alert(X=0,2); N:=If(Nd=0,N,Alert(N,Nd+1) AND Alert(N,Nd)=0); N:=If(No=5 AND Ns>0,1,If(No<5,N,0)); Xp:=If(Xs>0,Min(H,Max(L,Xs)), If(Xo=1,O,If(Xo=3,H,If(Xo=4,L,C)))); X:=If(Xd=0,X,Alert(X,Xd+1) AND Alert(X,Xd)=0); X:=If(Xs>0,1,X); Xp:=If(Xo<5 AND No=5 AND X=0,C,Xp); Xp:=If(Xs>0 AND N AND X,Xs,Xp); Xp:=If(Ref(N AND X,-1),Ref(Xp,-1),Xp); I:=Cum((N+Ns+X+Ns)>-1)=1; Tr:=BarsSince(I OR N)<BarsSince(I OR X); Tr:=If(N+X>1 AND (Alert(Tr,2) OR (Nd+Xd<1 AND No<>2 AND Xo>1 AND (Max(No,Xo)>4 OR No<>Xo))),1, Tr); Np:=If(I AND N=0,C,Np); En:=(Tr AND Alert(Tr=0,2)) OR I; Ex:=Tr=0 AND Alert(Tr,2); Lb:=(Alert(Tr,2)) AND LastValue(Cum(1)-0)=Cum(1); Ea:=ValueWhen(1,En,If(No=5 AND N AND X,Np,Min(O,Np))); Ea:=If(No<5,ValueWhen(1,En,Np),Ea); En:=Tr AND Alert(Tr=0,2); N:=If(Ex OR Lb,(Cp-Cn)*((Ea-Xp)/Ea)-Cn- If(Ex,Cx,0),0); Bt:=If(Alert(Tr,2),1+BarsSince(En OR I),0); Xs:=If(Alert(Tr,2),(Cp-Cn)*((Ea-Xp)/Ea)-Cn-If(Ex,Cx,0),0); Nd:=LowestSince(1,I,Xs); Ns:=HighestSince(1,I,Xs); X:=Cum(If((Ex OR Lb) AND N> 0,Bt,0)); Xd:=Cum(If((Ex OR Lb) AND N<=0,Bt,0)); Cum(N)+If(Tr AND Lb=0,Cp-Cn+(Cp-Cn)*((Ea-Xp)/Ea),Cp); {Trade Equity SE} {V3.3 short side only} {* user default settings *} No:=Input("Entry and exit prices, 1=O 2=C 3=H 4=L 5=Price, ##",11,55,22); Cp:=Input("Position size, entry and exit delays, $ ## ",0,100033,10000); Cn:=Input("Entry and exit costs, $$",0,9999,3030); N:= Fml("PS Fractal Exit")>0;

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Ns:=Fml("PS Fractal Exit"); X:= Fml("PS Fractal Entry")>0; Xs:=0 {Fml("Trade Stop SE")}; {* end of user area *} Nd:=LastValue(Int(Frac(Cp/99)*10)); Xd:=LastValue(Cp-Int(Cp/10)*10); Cp:=Int(Cp/100)*100; Xo:=No-10*Int(No/10); No:=Int(No/10); Cx:=Cn-100*Int(Cn/100); Cn:=Int(Cn/100); Ns:=If(No=5,Ns,0); Np:=If(Ns>0,Ns,If(No=1,O,If(No=3,H,If(No=4,L,C)))); N:=N AND Alert(N=0,2); X:=X AND Alert(X=0,2); N:=If(Nd=0,N,Alert(N,Nd+1) AND Alert(N,Nd)=0); N:=If(No=5 AND Ns>0,1,If(No<5,N,0)); Xp:=If(Xs>0,Min(H,Max(L,Xs)), If(Xo=1,O,If(Xo=3,H,If(Xo=4,L,C)))); X:=If(Xd=0,X,Alert(X,Xd+1) AND Alert(X,Xd)=0); X:=If(Xs>0,1,X); Xp:=If(Xo<5 AND No=5 AND X=0,C,Xp); Xp:=If(Xs>0 AND N AND X,Xs,Xp); Xp:=If(Ref(N AND X,-1),Ref(Xp,-1),Xp); I:=Cum((N+Ns+X+Ns)>-1)=1; Tr:=BarsSince(I OR N)<BarsSince(I OR X); Tr:=If(N+X>1 AND (Alert(Tr,2) OR (Nd+Xd<1 AND No<>2 AND Xo>1 AND (Max(No,Xo)>4 OR No<>Xo))),1, Tr); Np:=If(I AND N=0,C,Np); En:=(Tr AND Alert(Tr=0,2)) OR I; Ex:=Tr=0 AND Alert(Tr,2); Lb:=(Alert(Tr,2)) AND LastValue(Cum(1)-0)=Cum(1); Ea:=ValueWhen(1,En,If(No=5 AND N AND X,Np,Min(O,Np))); Ea:=If(No<5,ValueWhen(1,En,Np),Ea); En:=Tr AND Alert(Tr=0,2); N:=If(Ex OR Lb,(Cp-Cn)*((Ea-Xp)/Ea)-Cn- If(Ex,Cx,0),0); Bt:=If(Alert(Tr,2),1+BarsSince(En OR I),0); Xs:=If(Alert(Tr,2),(Cp-Cn)*((Ea-Xp)/Ea)-Cn-If(Ex,Cx,0),0); Nd:=LowestSince(1,I,Xs); Ns:=HighestSince(1,I,Xs); X:=Cum(If((Ex OR Lb) AND N> 0,Bt,0)); Xd:=Cum(If((Ex OR Lb) AND N<=0,Bt,0)); Cum(N)+If(Tr AND Lb=0,Cp-Cn+(Cp-Cn)*((Ea-Xp)/Ea),Cp); {Trade Stop LE} {V3.3} No:=Input("Entry - exit price 1=O 2=C 3=H 4=L 5=Price ##",11,55,22); Cp:=Input("Capital, entry - exit delays $ ## ",0,100033,10000); Cm:=Input("Entry - exit costs $$",0,9999,3030); Xa:=Input("Stop timing 1=C/O+ 2=C/C 3=Stop/C 4=Stop ##" ,11,44,22); Pt:=Input("Targets, profit - loss 99=N/A %%",0,9999,2010); Pd:=Input("Timed exit 99=N/A ##",1,99,99); N:= Fml("PS Fractal Entry")>0; Ns:=Fml("PS Fractal Entry"); X:= Fml("PS Fractal Exit")>0; Xs:=Fml("PS Fractal Exit"); Xo:=No-10*Int(No/10);No:=Int(No/10); Xc:=Xa-10*Int(Xa/10);Xa:=Int(Xa/10); Nd:=LastValue(Int(Frac(Cp/99)*10)); Xd:=LastValue(Cp-Int(Cp/10)*10); Cx:=Cm-100*Int(Cm/100);Cm:=Int(Cm/100);Cp:=Int(Cp/100)*100; Ls:=Frac(Pt/100);Pt:=Int(Pt/100)/100; N:=N AND Alert(N=0,2);X:=X AND Alert(X=0,2); N:=If(Nd=0,N,Alert(N,Nd+1) AND Alert(N,Nd)=0); N:=If(N>0,If(No=1,O,If(No=3,H,If(No=4,L,C))),0);

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N:=If(No=5,If(Ns>0,Max(L,Ns),0),N); X:=If(Xd=0,X,Alert(X,Xd+1) AND Alert(X,Xd)=0); X:=If(X>0,If(Xo=1,O,If(Xo=3,H,If(Xo=4,L,C))),0); X:=If(Xs>0 AND Xo=5,Max(L,Xs),X); Pf:=(Cp*(1+Pt)+Cx)/(Cp-Cm); Lf:=Min(1,(Cp*(1-Ls)+Cx)/(Cp-Cm)); Tr:=If(PREV=0,If(N>0 AND X=0 AND (No=2 OR (If(Xa<3,C,H)<Pf*N AND If(Xc<3,C,L)>Lf*N)),N,0), If(X>0 OR (BarsSince(PREV=0)=Pd AND Pd<>99) OR (If(Xa<3,C,H)>=Pf*PREV AND Pt<>.99) OR (If(Xc<3,C,L)<=Lf*PREV AND Ls<>.99),0,PREV)); Tr:=If(Alert(Tr>0,2)=0 AND N>0 AND (((If(Xa<3,C,H)>=Pf*N OR If(Xc<3,C,L)<=Lf*N) AND No<>2) OR (X>0 AND Nd+Xd<1 AND No<>2 AND Xo>1 AND (Max(No,Xo)>4 OR No<>Xo))),-N,Tr); Xb:=(Tr=0 AND Alert(Tr>0,2)) OR (Tr<0 AND Alert(Tr=0,2)); Cx:=ValueWhen(1,Cum((N+Ns+X+Xs)>-1)=1 OR Tr<>0,Abs(Tr)); Cp:=If(Xb,If(Xa<3 AND C>=Cx*Pf,C,If(Xa>2 AND H>=Cx*Pf,Cx*Pf,0)),0); Cp:=If(Cp>0,If(Cp>=.5,PREC(Cp,2),If(Cp<.1,PREC(Cp,3),PREC(Cp*2,2)/2)),0); Cp:=If(Xa=4 AND Cp>0,If(Tr<0,Cp,Max(O,Cp)),Cp); Cp:=If(Xa=3 AND Cp>0,C,If(Xa=1 AND Xo<5,Ref(Cp,-1),Cp)); Cp:=If(Xa=1 AND Cp>0 AND Xo<5,O,Cp); Cm:=If(Xb,If(Xc<3 AND C<=Cx*Lf,C,If(Xc>2 AND L<=Cx*Lf,Cx*Lf,0)),0); Cm:=If(Cm>0,If(Cm>=.5,PREC(Cm,2),If(Cm<.1,PREC(Cm,3),PREC(Cm*2,2)/2)),0); Cm:=If(Xc=4 AND Cm>0,Max(L,Min(If(Tr<0,H,O),Cm)),Cm); Cm:=If(Xc=3 AND Cm>0,C,If(Xc=1 AND Xo<5,Ref(Cm,-1),Cm)); Cm:=If(Xc=1 AND Cm>0 AND Xo<5,O,Cm); Pd:=Pd<99 AND Xb AND BarsSince(Ref(Tr,-1)=0)=Pd; Cx*Alert(Tr<>0,2);Cx*Pf*Alert(Tr<>0,2);Cx*Lf*Alert(Tr<>0,2); If(Cm>0,Cm,If(Cp>0,Cp,If(Xs>0 AND Xo=5,X,If(Pd>0,C,0)))); {Trade Stop SE} {V3.3} No:=Input("Entry - exit price 1=O 2=C 3=H 4=L 5=Price ##",11,55,22); Cp:=Input("Capital, entry - exit delays $ ## ",0,100033,10000); Cm:=Input("Entry - exit costs $$",0,9999,3030); Xc:=Input("Stop timing 1=C/O+ 2=C/C 3=Stop/C 4=Stop ##" ,11,44,22); Ls:=Input("Targets, profit - loss 99=N/A %%",0,9999,2010); Pd:=Input("Timed exit 99=N/A ##",1,99,98); N:= Fml("PS Fractal Exit")>0; Ns:=Fml("PS Fractal Exit"); X:= Fml("PS Fractal Entry")>0; Xs:=Fml("PS Fractal Entry"); Xo:=No-10*Int(No/10);No:=Int(No/10); Xa:=Xc-10*Int(Xc/10);Xc:=Int(Xc/10); Nd:=LastValue(Int(0.1+Frac(Cp/100)*10)); Xd:=LastValue(Cp-Int(Cp/10)*10); Cx:=Cm-100*Int(Cm/100);Cm:=Int(Cm/100);Cp:=Int(Cp/100)*100; Pt:=Frac(Ls/100);Ls:=Int(Ls/100)/100; N:=N AND Alert(N=0,2);X:=X AND Alert(X=0,2); N:=If(Nd=0,N,Alert(N,Nd+1) AND Alert(N,Nd)=0); N:=If(N>0,If(No=1,O,If(No=3,H,If(No=4,L,C))),0); N:=If(No=5,If(Ns>0,Min(H,Ns),0),N); X:=If(Xd=0,X,Alert(X,Xd+1) AND Alert(X,Xd)=0); X:=If(X>0,If(Xo=1,O,If(Xo=3,H,If(Xo=4,L,C))),0); X:=If(Xs>0 AND Xo=5,Min(H,Xs),X); Pf:=1-((Cp*Ls+Cm+Cx)/(Cp-Cm)); Lf:=Max(1,1+((Cp*Pt-Cm-Cx)/(Cp-Cm))); Tr:=If(PREV=0,If(N>0 AND X=0 AND (No=2 OR (If(Xa<3,C,H)<Lf*N AND If(Xc<3,C,L)>Pf*N)),N,0), If(X>0 OR (BarsSince(PREV=0)=Pd AND Pd<>99) OR

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(If(Xa<3,C,H)>=Lf*PREV AND Ls<>.99) OR (If(Xc<3,C,L)<=Pf*PREV AND Pt<>.99),0,PREV)); Tr:=If(Alert(Tr>0,2)=0 AND N>0 AND (((If(Xa<3,C,H)>=Lf*N OR If(Xc<3,C,L)<=Pf*N) AND No<>2) OR (X>0 AND Nd+Xd<1 AND No<>2 AND Xo>1 AND (Max(No,Xo)>4 OR No<>Xo))),-N,Tr); Xb:=(Tr=0 AND Alert(Tr>0,2)) OR (Tr<0 AND Alert(Tr=0,2)); Cx:=ValueWhen(1,Cum((N+Ns+X+Xs)>-1)=1 OR Tr<>0,Abs(Tr)); Cp:=If(Xb,If(Xa<3 AND C>=Cx*Lf,C, If(Xa>2 AND H>=Cx*Lf,Cx*Lf,0)),0); Cp:=If(Cp>0,If(Cp>=.5,.01+PREC(Cp,2),If(Cp<.1, .001+PREC(Cp,3),.005+PREC(Cp*2,2)/2)),Cp); Cp:=If(Xc=4 AND Cp>0,Min(H,Max(If(Tr<0,L,O),Cp)),Cp); Cp:=If(Xa=3 AND Cp>0,C,If(Xa=1 AND Xo<5,Ref(Cp,-1),Cp)); Cp:=If(Xa=1 AND Cp>0 AND Xo<5,O,Cp); Cm:=If(Xb,If(Xc<3 AND C<=Cx*Pf,C,If(Xc>2 AND L<=Cx*Pf,Cx*Pf,0)),0); Cm:=If(Cm>0,If(Cm>=.5,.01+PREC(Cm,2),If(Cm<.1, .001+PREC(Cm,3),.005+PREC(Cm*2,2)/2)),Cm); Cm:=If(Xa=4 AND Cm>0,If(Tr<0,Cm,Min(O,Cm)),Cm); Cm:=If(Xc=3 AND Cm>0,C,If(Xc=1 AND Xo<5,Ref(Cm,-1),Cm)); Cm:=If(Xc=1 AND Cm>0 AND Xo<5,O,Cm); Pd:=Pd<99 AND Xb AND BarsSince(Ref(Tr,-1)=0)=Pd; Cx*Alert(Tr<>0,2);Cx*Pf*Alert(Tr<>0,2);Cx*Lf*Alert(Tr<>0,2); If(Cm>0,Cm,If(Cp>0,Cp,If(Xs>0 AND Xo=5,Xs,If(Pd>0,C,0))));

So much for quick fixes. My Thanks to David Hobbs for letting me know that my 'Nd' variable fix was also flawed. I'll try again. If you have version 3.X Trade Equity or Trade Stop formulas with an 'Nd' that looks like either of the lines below, Nd:=LastValue(Int(Frac(Cp/100)*10)); or Nd:=LastValue(Int(Frac(Cp/99)*10)); then it should be changed to Nd:=LastValue(Int(0.1+Frac(Cp/100)*10)); Hopefully this will fix the problem once-and-for-all.

LATCHES Using latches (or flags as I prefer to call them) in MetaStock is a simple, convenient and accurate way of remembering certain conditions or events. Many MS users find these concepts are difficult to grasp and apply to their own formulas. This post is an attempt to explain the various uses and nuances of latches, but it is by no means all there is to say on the matter.

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A latch is a device that stores and holds, or remembers, a particular event or condition. A binary latch can be set to one of two values (normally zero and one but not necessarily), while a price latch can be set to virtually any value one could think of. Each has its own advantages and disadvantages as we shall discover. In the following discussion one is interchangeable with true on, and zero with false or off. Binary Latch Description Example 1 is the simplest form of a latch. It requires two different signals to operate a set signal, and a reset signal. You could think of these signals as the on switch and the off switch. By using the BarsSince() function we are able to decide which signal occurred most recently, and therefore whether the current state of the latch should be on or off. MetaStock processes a chart from the first bar on the left to the last bar on the right. And this means that the latch condition is checked and updated as each new bar is processed. {Example 1} N:=Fml("set signal"); X:=Fml("reset signal"); BarsSince(N)<BarsSince(X); One problem to be overcome with this simple code is that the output line (using BarsSince) can have an extended invalid signal period. In other words it will return N/A instead of a legitimate value. This N/A period will extend until the set signal is true and the reset signal is valid. The extended N/A problem can be addressed by adding an initialized variable into the output line. I normally use I to name this variable, and its purpose is to inform any code after N and X that the set and reset signals are valid i.e. are not returning N/A. In a latch configuration it also serves to provide fake set and reset signals that provide a specific start-of-signal bar for the latch. It is also convenient to name the output line variable since additional code usually follows. Example 2 is a complete binary latch and as such it can store only two values zero and one. {Example 2} N:=Fml("set signal"); X:=Fml("reset signal"); I:=Cum(N+X>-1)=1; Tr:=BarsSince(I OR N)<BarsSince(I OR X); Tr; The I variable confuses many people. It will be true (one) for the first bar when both set and reset signals are valid, and false (zero) for every bar thereafter. Until both set and reset signals are valid it will be invalid too, and return N/A. I being true for one bar provides the fake set and reset signals used to kick the latch into action. Notice that the construction if I is not concerned with actual values, but whether or not N and X are VALID. The sum of the two cannot be tested as being greater than 1

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until both return a value of at least zero (hence both are valid). Since N and X are binary signals (zero or one), by definition they will never be less than zero. The Cum() count equal to one ensures that this signal is true for the first valid bar only, and false after that. It is possible to assign values other than zero and one to the latch output, but be warned that this latch cant be used to store prices. The reason is that multiple set signals will allow the stored price to change. However the If() function can be used to select the two values that that latch can swing between. {Example 3} N:=Fml("set signal"); X:=Fml("reset signal"); I:=Cum(N+X>-1)=1; Tr:=If(BarsSince(I OR N)<BarsSince(I OR X),1,0); Tr; Now that we are able to assign different values to the Tr variable one needs to be aware that not all methods of making Tr are equal. Tr:=If(BarsSince(I OR N)<BarsSince(I OR X),1,0); Is functionally identical to Tr:=If(BarsSince(I OR N)>=BarsSince(I OR X),0,1); But neither is the same as Tr:=If(BarsSince(I OR N)>BarsSince(I OR X),0,1); The difference is in the use of = with > or < symbols. Written the wrong way the section of the flag prior to the first set signal will be true instead of false. This may be only a small point but to my mind it is still the difference between right and wrong. Typical Signal Timing for Binary Latch. High is one, low is zero, __ _ __/ \_____/\_______________/ \__ set (N) __ N/A ___/\____________/ \________ reset (X) N/A \____________________________ Initialization (I) _________ ____ N/A _______/ \______/ latch (Tr)

Price Latch Description A PREV version of the latch offers more options for MS coding because it can remember a user determined value. This value can then be accessed from within the

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latch to manage a number of resets that could be related to set timing. The one down side to using PREV is that it is resource hungry and it will significantly slow the execution time of any code using it. Each additional PREV increases the resource burden. {Example 4} N:=Fml("set signal"); X:=Fml("reset signal"); Tr:=If(N,1,If(X,0,PREV)); Tr; Example 4 is the simplest form of a PREV based latch, and here it is still being used to give a binary result because it has no way of discriminating between the first and subsequent set signals. By also checking the previous state of Tr we can ensure that only the FIRST entry signal and bar is used to decide what value to store in the latch. Notice that the I variable is not used here. It is not needed to provide a starting point, and neither is there any problem (other than lack of skill) in setting the correct polarity of the output signal Tr. I suggest that all PREV variables be named I have had some unpredictable results when using PREV as an unnamed output line. {Example 5} N:=Fml("set signal"); X:=Fml("reset signal"); Tr:=If(PREV=0,If(N,CLOSE,0),If(X,0,PREV)); Tr; Example 5 has expanded the role of the latch to that of a true price latch, and here it is storing the CLOSE from the initial set bar. The only time the latch will set to something other than zero is when the previous bar of the latch was zero (latch not active) and the N variable (set) is active for the current bar. When these conditions are not both met the latch can either retain its previous value, or it can reset to zero when the X variable is active. From here it is an easy step to creating a latch that can monitor its own value and be self-resetting when specific latch-set related criteria is met. Example 6 shows how to rest the latch when the closing price rises to 20% above that when the latch was set. Notice in this example that the reset signal is Ored with the price condition to reset the latch (reset signal OR price condition). Either condition true will force a reset. {Example 6} N:=Fml("set signal"); X:=Fml("reset signal"); Tr:=If(PREV=0,If(N,CLOSE,0),If(X OR C>=PREV*1.2,0,PREV)); Tr; The independent reset signal may well be unnecessary with this type of latch when both positive and negative movements can be checked against the stored value, as in Example 7 below.

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{Example 7} N:=Fml("set signal"); Tr:=If(PREV=0,If(N,CLOSE,0),If(C>=PREV*1.2 OR C<=Prev*0.9,0,PREV)); Tr; I hope this explanation has cleared away some of the mystery regarding the construction and potential use of binary and price latches. A binary latch forms the heart of all my Trade Equity indicators, and a price latch fills a very similar role in all of my Trade Stop indicators. Roy Larsen rlarsen@man.quik.co.nz

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TradeStation Code

SLOWKCLASSIC as some don't seem to have the function SlowKClassic, which is referenced by the DivFinder i posted yesterday, here it is. {********************************************************} {******************************************************************* Description : This Function returns Slow Stochastic %K Classic Provided By : Omega Research, Inc. (c) Copyright 1999 ********************************************************************} Inputs: FastKLen(NumericSimple), Length(NumericSimple); SlowKClassic = Average(FastK(FastKLen), Length); {************************************************************}

MACD HISTOGRAM ------------------------------------------{MACD red/green Hist edited from TS4} {MaxBarsBack set to 1} inputs: FastMA(12),SlowMA(26),MacdMA(9); Plot1(MACD(Close,FastMA,SlowMA),"MACD"); {green line} Plot2(XAverage(MACD(Close,FastMA,SlowMA),MacdMA),"MACDAvg"); {red line} plot3(0,"MA up"); {green hist} plot4(0,"MA dn"); {red hist <======reset plot values to 0 before plotting the MACDD values (erases last bar value)} value1=MACD(Close,FastMA,SlowMA)(XAverage(MACD(Close,FastMA,SlowMA),MacdMA)); {Note that the MACD calculation here is not optimized for speed. It should be... } if value1>value1[1] then begin plot3(value1,"MA up"); { <=========plots according to MACD climbing} 302

end else begin plot4(value1,"MA dn"); { <=========plots according to MACD falling} end;

HIGH OF TODAY Hi Try this : value1 = highd(0) ; value2 = lowd(0) ; value3 = (value1 + value2)/2 ; plot1(value1,"HIGH"); plot2(value2,"LOW") ; plot3(value3,"MID") ; ensure plot type set to point Cheers Stuart

From: kjh129@runbox.com To: omega-list@eskimo.com Subject: EL help please. Date: Tue, 24 Apr 2001 21:08:29 GMT Good day all.. I am trying to create this indicator in TS4 for the currentsession only. For some reason, my code is not working. I have written it as follows. plot1(TrueHigh, "HighofToday"); Plot2(((High+low) /2), "Mid"); Plot3(TrueLow, "LowofToday"); I am simply looking to Plot the HighOfToday, the LowofToday, and the midpoint between the high and the low of today. Would appreciate someone's advice as i have gone through the manual already to no avail.. thankyou. KJH

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MACD CROSSOVER CHART The following code was used to produce the two indicator lines shown in the MACD crossover chart. The trades shown on the chart were generated at the moment the two indicator lines crossed. The default input parameters have been replaced with an asterisk (*). We encourage you to find parameter values that best suits your particular trading needs. Note: FOR Supercharts 4 and TradeStation 4 .... ----------------------------------------------------------------Input: series(close), len1(*), phase1(*), len2(*), phase2(*), len3(*), phase3(*); value1 = JRC.JMA.MACD ( series, len1, phase1, len2, phase2 ) ; value2 = jrc.jma.flex ( value1, len3, phase3 ) ; plot1 ( value1, "" ) ; plot2 ( value2, "" ) ; -----------------------------------------------------------------

Note: FOR TradeStation 2000 and ProSuite 2000 .... ----------------------------------------------------------------Input: series(close), len1(*), phase1(*), len2(*), phase2(*), len3(*), phase3(*); value1 = JRC.JMA.MACD.2k ( series, len1, phase1, len2, phase2 ) ; value2 = jrc.jma.flex.2k ( value1, len3, phase3 ) ; plot1 ( value1, "" ) ; plot2 ( value2, "" ) ; ----------------------------------------------------------------COLESS RANGE Indicator Cole's Pivot Daily

{ Uses yesterdays prices to plot todays Support - Resistance levels using Daily Data } Vars: Pivot(0); Pivot = ((H+L+C)/3); Plot1(Pivot[1],"Cole'sPivot"); *********************************

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INDICATOR COLE'S RANGE DAILY { Indicator Cole's Range Daily } Vars: CalcR2(0), CalcR1(0), CalcS1(0), CalcS2(0); CalcR2 = ((H+L+C)/3) + (High - Low); CalcR1 = ((H+L+C)/3) + (((H+L+C)/3) - Low); CalcS1 = ((H+L+C)/3) - (High - ((H+L+C)/3)); CalcS2 = ((H+L+C)/3) - (High - Low); Plot1(CalcR2[1],"R2"); Plot2(CalcR1[1],"R1"); Plot3(CalcS1[1],"S1"); Plot4(CalcS2[1],"S2"); ************************

var: median8(0); median8 = (highest(H,8) + lowest(L,8))*.5; plot1(median8,"median8); > I am looking for coding help. I want to calculate the 8 Period Donchian > Channel Mid-point line.

INDICATOR SUPP-RESIS DAILY { Indicator Supp-Resis Daily } { Uses yesterdays prices to plot todays Support - Resistance levels for Daily Data } { Pivot = Daily (High plus Low plus Close) divided by 3 Supp1 = (Two times Pivot) minus daily high Supp2 = Pivot minus (Resis1 minus Supp1) Resis1 =(Two times Pivot) minus daily Low Resis2 = Pivot plus (Resis1 minus Supp1) } Vars: Supp1(0), Supp2(0), Resis1(0), Resis2(0); Resis2=((H+L+C)/3)+(((2*((H+L+C)/3))-Low)-((2*((H+L+C)/3))-High)); Resis1=((2*((H+L+C)/3))-Low); Supp1=((2*((H+L+C)/3))-High); Supp2=((H+L+C)/3)-(((2*((H+L+C)/3))-Low)-((2*((H+L+C)/3))-High)); Plot1(Resis2[1],"R2"); Plot2(Resis1[1],"R1"); Plot3(Supp1[1],"S1"); 305

Plot4(Supp2[1],"S2"); Indicator Supp-ResisPivotDaily { Indicator Supp-ResisPivotDaily } Vars: Pivot(0); Pivot = ((H+L+C)/3); Plot1(Pivot[1],"S-Rpivot"); Undefined Value1 = Close + 0.088*Value1[6]; Value2 = Value1 - Value1[6] + 1.2*Value2[6] - 0.7*Value2[12]; D = Value2[12] - 2*Value2[6] + Value2; Plot1(D,"D"); Undefined 2 Inputs: Stp1(0.14); Vars: Top(0), Bot(0); Top = High + Stp1; Bot = Low - Stp1; Condition1 = wspr(d1d3) > cotmom(2,5); Condition2 = wspr(d1d3) < cotmom(2,5); {......go short......} Condition3 = cotmom(2,5) crosses above wspr(d1d3); {......go long.......} Condition4 = cotmom(2,5) crosses below wspr(d1d3); Condition5 = cotmom(2,5) crosses above 0; Condition6 = cotmom(2,5) crosses below 0; Condition7 = Condition5 = True or Condition6 = True; If Condition4 then begin {......go long.......} Value1 = Bot; If Condition7 then Value1 = Bot; If Condition3 then Value1 = Top; end; If Condition3 then begin {......go short.......} Value1 = Top; If Condition7 then Value1 = Top; If Condition4 then Value1 = Bot; end; If Condition1 then Plot1(Value1,"exitlong") {one colour} else Plot2(Value1,"exitshort"); {different colour}

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ANDREWS PITCHFORK

input: ABACline(true), Median(false), TL_Thick(1); { ====================================== This is my implementation of some aspects of Andrews Pitchforks. You are welcome to use this code freely. You may redistribute it provided you include this comment block, plus a description of any changes you make. If you extend it, or adapt it to other uses, I'd appreciate a look at what you've done. Thanks. Gregory Wood SwissFranc@worldnet.att.net 12/18/96 v1.0 - Initial distribution 01/08/96 v1.1 - Added median lines 01/15/96 v1.2 - Added TL_Thick, user-customizable colors (see "SET COLORS HERE") 01/16/96 v1.3 - Removed projections to make room for up to 7 pitchforks 01/23/01 v1.3a- Fixed search algorithm -- would miss at times. Drew missing Bar and got rid of extra length on one projection. Made it work on upper or lower case. Clyde Lee 03/09/01 v1.3b- Add Option to not plot AB and AC Lines. ========================================} { SETUP Set Plot1 and Plot2 to be large points. Note that the trendlines use the default trendline settings USAGE Use the text tool to label swing high/lows with "A", "B" and "C", then refresh the indicator (clicking "Status" twice causes the indicator to recalculate). Be sure to put the label above the bar's high for a swing high, and below the low for a swing low. You can display other groups of points by using labels "Ax", "Bx" and "Cx", where 'x' is 1, 2, or 3, e.g. "A3", "B3", "C3". Note that you can use the pointer tool to move the points anytime. Then to view the new Pitchfork, refresh the indicator.

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Set MyColor (below) to be the colors for each Pitchfork } if currentbar = 1 then begin { initialize control arrays } array:abc[3](""); { The basic point labels } abc[0] = "A"; abc[1] = "B"; abc[2] = "C"; array:nums[7](""); { The way to distinguish one series of points from another, A-BC, A1-B1-C1, etc } nums[0] = ""; nums[1] = "1"; nums[2] = "2"; nums[3] = "3"; nums[4] = "4"; nums[5] = "5"; nums[6] = "6"; var: inums(7); array: MyColor[7](0); MyColor[0] = tool_blue; { <=========== SET COLORS HERE } MyColor[1] = tool_red; MyColor[2] = tool_yellow; MyColor[3] = tool_cyan; MyColor[4] = tool_green; MyColor[5] = tool_white; MyColor[6] = tool_magenta; end; array:dd[3,7](0),tt[3,7](0),vv[3,7](0),bb[3,7](0),hh[3,7](0); array:fb[7,4](0),fv[7,4](0); var: tft(0), fdd(0), fvv(0), ptt(0), pdd(0), pvv(0), fbb(0), pbb(0), pvv2(0); var: ii(0), jj(0), mm(0); var: handl(0), handlA(0), handlB(0), handlC(0), handlB1(0), handlC1(0), handlB2(0), handlC2(0); var: ss(""); var: y1(0), y2(0); if currentbar = 1 then begin { examine all the text strings and save some info about the ones we recognize } handl = text_getfirst(2); while handl >= 0 begin ss = text_getstring(handl); ss = UpperStr(ss); for ii = 0 to inums - 1 begin for jj = 0 to 2 begin { look for well-formed strings }

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if ss = abc[jj] + nums[ii] then begin { save the item's date, time, value and handle } tt[jj,ii] = text_gettime(handl); dd[jj,ii] = text_getdate(handl); vv[jj,ii] = text_getvalue(handl); hh[jj,ii] = handl; end; end; end; handl = text_getnext(handl,2); missing! } end; end;

for ii = 0 to inums - 1 begin { check each series... } for jj = 0 to 2 begin { check each point } if time = tt[jj,ii] and date = dd[jj,ii] then begin { we've found a selected point } bb[jj,ii] = currentbar; { remember where we found it } if vv[jj,ii] > c then begin { move the label above the bar and center it } vv[jj,ii] = h; Text_SetLocation(hh[jj,ii],text_GetDate(hh[jj,ii]),text_GetTime(hh[jj,ii]),h); Text_SetStyle(hh[jj,ii],2,1); end else begin { move the label below the bar and center it } vv[jj,ii] = l; Text_SetLocation(hh[jj,ii],text_GetDate(hh[jj,ii]),text_GetTime(hh[jj,ii]),l); Text_SetStyle(hh[jj,ii],2,0); end; plot1(vv[jj,ii],"Selection"); { show the user which point we used for the calculations } if jj = 2 then begin { we're at the third point, generally the Cx } If ABACline then begin handl = TL_New(dd[0,ii],tt[0,ii],vv[0,ii],dd[1,ii],tt[1,ii],vv[1,ii]); TL_SetExtLeft(handl,false); TL_SetExtRight(handl,false); TL_SetColor(handl,MyColor[ii]); TL_SetSize (handl,TL_Thick+1);

handl = TL_New(dd[0,ii],tt[0,ii],vv[0,ii],dd[2,ii],tt[2,ii],vv[2,ii]); TL_SetExtLeft(handl,false); TL_SetExtRight(handl,false); TL_SetColor(handl,MyColor[ii]); TL_SetSize (handl,TL_Thick+1); End; fbb = bb[1,ii] / 2 + bb[2,ii] / 2; fvv = vv[1,ii] / 2 + vv[2,ii] / 2; pvv = TLValue(vv[0,ii],bb[0,ii],fvv,fbb,currentbar);

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{ show the related trident channel } pvv = TLValue(vv[1,ii],bb[1,ii],fvv+vv[1,ii]-vv[0,ii],fbb+bb[1,ii]bb[0,ii],currentbar); handlB = TL_New(dd[1,ii],tt[1,ii],vv[1,ii],date,time,pvv); TL_SetExtRight(handlB,true); TL_SetColor(handlB, MyColor[ii]); TL_SetSize(handlB, TL_Thick); if Median then begin { save for later } handlB1 = TL_New(dd[1,ii],tt[1,ii],vv[1,ii],date,time,pvv); TL_SetExtRight(handlB1,true); TL_SetColor(handlB1, MyColor[ii]); TL_SetSize(handlB1, TL_Thick); handlB2 = TL_New(dd[1,ii],tt[1,ii],vv[1,ii],date,time,pvv); TL_SetExtRight(handlB2,true); TL_SetColor(handlB2, MyColor[ii]); TL_SetSize(handlB2, TL_Thick); end; pvv = TLValue(vv[0,ii]-(fvv-vv[2,ii]),bb[0,ii]+(bb[2,ii]fbb),vv[2,ii],bb[2,ii],bb[1,ii]); handlC = TL_New(dd[1,ii],tt[1,ii],pvv,date,time,vv[2,ii]); TL_SetExtRight(handlC,true); TL_SetColor(handlC, MyColor[ii]); TL_SetSize(handlC, TL_Thick); value99=TL_New(dd[1,ii],tt[1,ii],vv[1,ii],dd[2,ii],tt[2,ii],vv[2,ii]); TL_SetExtLeft(Value99,false); TL_SetExtRight(Value99,false); TL_SetColor(Value99,MyColor[ii]); TL_SetSize (Value99, TL_Thick+1); if Median then begin { save for later } handlC1 = TL_New(dd[1,ii],tt[1,ii],pvv,date,time,vv[2,ii]); TL_SetExtRight(handlC1,true); TL_SetColor(handlC1, MyColor[ii]); TL_SetSize(handlC1, TL_Thick); handlC2 = TL_New(dd[1,ii],tt[1,ii],pvv,date,time,vv[2,ii]); TL_SetExtRight(handlC2,true); TL_SetColor(handlC2, MyColor[ii]); TL_SetSize(handlC2, TL_Thick); end;

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if Median then begin { sorry these are hard-coded... you know what they say about quick + dirty! } { show the median lines } y1 = TL_GetValue(handlB, dd[1,ii], tt[1,ii]); y2 = TL_GetValue(handlA, dd[1,ii], tt[1,ii]); TL_SetBegin(handlB1, dd[1,ii], tt[1,ii], (y1 + y2) / 2); y1 = TL_GetValue(handlB, dd[2,ii], tt[2,ii]); y2 = TL_GetValue(handlA, dd[2,ii], tt[2,ii]); TL_SetEnd(handlB1, dd[2,ii], tt[2,ii], (y1 + y2) / 2); y1 = TL_GetValue(handlB, dd[1,ii], tt[1,ii]); y2 = TL_GetValue(handlA, dd[1,ii], tt[1,ii]); TL_SetBegin(handlB2, dd[1,ii], tt[1,ii], y1 + y1- (y1 + y2) / 2); y1 = TL_GetValue(handlB, dd[2,ii], tt[2,ii]); y2 = TL_GetValue(handlA, dd[2,ii], tt[2,ii]); TL_SetEnd(handlB2, dd[2,ii], tt[2,ii], y1 + y1 - (y1 + y2) / 2); y1 = TL_GetValue(handlC, dd[1,ii], tt[1,ii]); y2 = TL_GetValue(handlA, dd[1,ii], tt[1,ii]); TL_SetBegin(handlC1, dd[1,ii], tt[1,ii], (y1 + y2) / 2); y1 = TL_GetValue(handlC, dd[2,ii], tt[2,ii]); y2 = TL_GetValue(handlA, dd[2,ii], tt[2,ii]); TL_SetEnd(handlC1, dd[2,ii], tt[2,ii], (y1 + y2) / 2); y1 = TL_GetValue(handlC, dd[1,ii], tt[1,ii]); y2 = TL_GetValue(handlA, dd[1,ii], tt[1,ii]); TL_SetBegin(handlC2, dd[1,ii], tt[1,ii], y1 + y1 - (y1 + y2) / 2); y1 = TL_GetValue(handlC, dd[2,ii], tt[2,ii]); y2 = TL_GetValue(handlA, dd[2,ii], tt[2,ii]); TL_SetEnd(handlC2, dd[2,ii], tt[2,ii], y1 + y1 - (y1 + y2) / 2); end; end; end; end; end;

{ EasyEmini A simple short-term e-mini breakout system to illustrate the use of Monte Carlo simulation for position sizing. System: Buy at a fraction of yesterday's range from yesterday's high. Hold 1 day then look to exit on the first profitable open. Use a fixed money management stop (nominally $1000 in the e-mini). WARNING: This system looks ahead one day to the next day's open to decide whether to exit the

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open position. Consequently, the system never executes on the last bar of data on the chart. This means that the entry order for the next day will not appear in the TradeStation Tracking Center. ATTENTION TRADESTATION 2000i USERS This system includes a call to function MonteCarlo, which performs Monte Carlo simulation for position sizing. MonteCarlo only works in TradeStation 2000i because it uses built-in function Random, which is new to 2000i. I have commented out the call to MonteCarlo so that this system will work properly for TradeStation 4.0 users. If you are a TradeStation 2000i user, you can download function MonteCarlo for free from my web site (address below). Remove the comment braces {..} from the call to the line below that begins "Value1 = ...". This will enable the call to MonteCarlo. The MonteCarlo code records the profits and losses from the trading system and generates random sequences of the trades. For each sequence, it calculates the return and drawdown assuming a fixed percent of the account is risked on each trade. The output is the probability that with a given account size and risk percentage you can meet given rate of return and drawdown goals. For example, it might calculate the probability that you can achieve a rate of return of 50% with 30% drawdown by risking 10% on each trade. I have developed a version of MonteCarlo with additional functionality and several input and output options that will work with either TradeStation 2000i or 4.0. This version can be purchased on my web site. Copyright 2001 Breakout Future www.BreakoutFutures.com mrb@BreakoutFutures.com } Input: ASize (30000), { account size, $ } RetGoal (50), { rate of return goal, %} DDGoal (30), { max closed out trade drawdown, % } RiskPer (10), { percentage risk per trade } EntFrac (0.75), { multiple of prior day's range for entering } MMStop (1000), { money management stop, $ } NRand (1000); { number of random sequences } Var: EntPr (0), { Entry target price } XitPr (0), { mm stop exit price } TrRisk (0); { trade risk, $ } TrRisk = MMStop; { Entry conditions } EntPr = H + EntFrac * (H - L); If C C[1] then Buy next bar at EntPr Stop; { Exit conditions } Exitlong("MMStop") next bar at EntryPrice - MMStop/BigPointValue stop; If BarsSinceEntry = 1 and open of next bar EntryPrice then ExitLong("ProfOpen") next bar at market; { Perform Monte Carlo analysis: MonteCarlo only works in TradeStation 2000i } {Value1 = MonteCarlo(ASize, RetGoal, DDGoal, RiskPer, TrRisk, NRand); } Monte Carlo Function { User function: MonteCarlo Monte Carlo simulation for position sizing. This function records the profits and losses from the trading system that calls it and generates random sequences of the trades. For each sequence, it calculates the return and drawdown assuming a fixed percent of the account is risked on each trade. The result is the probability that with a given account size and risk percentage you can meet given rate of return and drawdown goals. For example, it might calculate the probability that you can achieve a rate of return of 50% with 30% drawdown by risking 10% on each trade. ATTENTION TRADESTATION 4.0 USERS Because this function calls the built-in function Random, which is new to TradeStation 2000i, this function will not work in TradeStation 4.0. I have developed a version of MonteCarlo with additional functionality and several input and output options that will work with either TradeStation 2000i or 4.0. This version can be purchased on my web site. Copyright 2001 Breakout Future www.BreakoutFutures.com mrb@BreakoutFutures.com } Input: ASize (NumericSimple), { account size, $ } RetGoal (NumericSimple), { rate of return goal, %} DDGoal (NumericSimple), {

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max closed out trade drawdown, % } RiskPer (NumericSimple), { percentage risk per trade } TrRisk (NumericSeries), { risk for current trade, $ } NRand (NumericSimple); { number of random sequences } Array: Trades[200](0), { Trades, $ (win +; loss -) } TrRisks[200](0), { trade risks, $ (+) } RandNums[200](0), { array of random numbers } RandIndx[200](-1); { randomly chosen indices for trade array } Var: NTrades (0), { Number of trades } iSeq (0), { sequence number } MaxNum (0), { max number left in random number array RandNums } iMax (0), { index (location) of MaxNum in array RandNums } NCon (0), { number of contracts } Equity (0), { account equity } NewEquity (0), { account equity } EqtyHigh (0), { highest equity } DD (0), { closed trade drawdown } DDmax (0), { worst case closed trade drawdown } PReturn (0), { percent return } AveRet (0), { average percent return } ProbRet (0), { probability of return goal } ProbDD (0), { probability of drawdown goal } ProbComb(0), { probability of return & DD goals } ii (0), { loop counter } jj (0), { loop counter } k (0); { loop counter } { Collect profit/loss and risk } If TotalTrades NTrades then Begin If TotalTrades - NTrades MaxNum then Begin MaxNum = RandNums[jj]; iMax = jj; end; end; RandIndx[ii] = iMax; { record location of max number } RandNums[iMax] = -1; { "remove" max number from array } end; { Calculate account balance and drawdown for current sequence of trades } Equity = ASize; EqtyHigh = Equity; DDmax = 0; For ii = 0 to NTrades - 1 Begin NCon = IntPortion(RiskPer/100 * Equity/TrRisks[RandIndx[ii]]); NewEquity = Equity + NCon * Trades[RandIndx[ii]]; { Calculate closed trade percent drawdown } If (NewEquity EqtyHigh) then EqtyHigh = NewEquity else Begin DD = 100 * (EqtyHigh - NewEquity)/EqtyHigh; if (DD DDmax) then DDmax = DD; end; Equity = NewEquity; end; { for ii } PReturn = 100 * (Equity - ASize)/ASize; { Accumulate results for probability calculations } AveRet = AveRet + PReturn; if (PReturn = RetGoal) then ProbRet = ProbRet + 1; if (DDmax <= DDGoal) then ProbDD = ProbDD + 1; if (PReturn = RetGoal and DDmax <= DDGoal) then ProbComb = ProbComb + 1; End; { for iSeq } { Calculate probabilities by dividing sums by number of sequences } AveRet = AveRet/NRand; ProbRet = 100 * ProbRet/NRand; ProbDD = 100 * ProbDD/NRand; ProbComb = 100 * ProbComb/NRand; MessageLog("RiskPer=", RiskPer:5:1," RetGoal=", RetGoal:5:1," DDGoal=", DDGoal:5:1, " ProbRet=",ProbRet:5:1," ProbDD=",ProbDD:5:1," ProbComb=", ProbComb:5:1); MessageLog("Average Return = ", AveRet:6:2); end; MonteCarlo = 1;

HURST EXPONENT { ********************************************************************* ** Function : Hurst Last Edit : 3/3/01 Provided By : Bob Fulks Description : Calculates the Hurst Coefficient based upon the paper

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by J. Orlin Grabbe at <http://www.aci.net/kalliste/chaos7.htm> ********************************************************************* ***} Inputs: Len(Numeric); Vars: Mean(0), j(0), k(1.253314), SumSqr(0), Scale(0), MaxY(0), MinY(0), Rng(0); Arrays: X[100](0), Y[100](0); Mean = Average(C, Len); SumSqr = 0; for j = 0 to Len - 1 begin X[j] = C[j] - Mean; SumSqr = SumSqr + X[j] * X[j]; end; Scale = SquareRoot(SumSqr / Len); Y[0] = X[0]; MaxY = X[0]; MinY = X[0]; for j = 1 to Len - 1 begin Y[j] = Y[j - 1] + X[j]; if Y[j] > MaxY then MaxY = Y[j]; if Y[j] < MinY then MinY = Y[j]; end; Rng = MaxY - MinY; Hurst = Log(Rng/(k * Scale)) / Log(Len);

ERGOTIC CSI {Format: Ergotic_CSI(r) SinglaLine(r); } Inputs: r(32), Zeroline(0); Value1 = CSI(r, 5, 1); Value2 = XAverage(CSI(r, 5, 1), 5);

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ERGOTIC MACD {Format: Ergotic_MACD(r) SignalLine(r) } Inputs: r(32), ZeroLine(0); Value1 = MACD(Close, r, 5); Value2 = XAverage(MACD(Close, r, 5), 5); Plot1(Value1, "ErgMACD"); Plot2(Value2, "SigLin"); Plot3(ZeroLine, "Zero");

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ENTRY & EXIT

Next, there are days where the exit combination will not properly work. NOTE: This applies only to those entry days where the entry AND exit happen on the same day. In other words, where the date of entry is an outside day. As an example, take a look at IBM on 8/05/99. You have no idea whether your entry was triggered first and then the stock fell and triggered your stop loss and then went up again, OR it fell first before you got in, then went up and triggered your entry and then just stayed up without triggering your the stop loss. NOTE AGAIN: This applies to the entry day ONLY. SIDE NOTE: Don't pay attention to the Entry Date and Exit Date columns of the backtest report under "Positions". Entry Date shows 1 day ahead of actual entry date, and Exit Date shows 2 days ahead of actual exit date.

!!======================================================== Allworks if setdate(1) and (put your final rule here) and resetdate() and entrytrigger. entrytrigger if [high] >= val([high],1) + 0.125. entryprice is max(val([high],2) + 0.125, val([open],1)). exittrigger if setdate(1) and [low] <= val([low],1) - 0.125 and resetdate(). exitprice is min(val([low],3) - 0.125 , val([open],2)). !!======================================================== Point & Figure Another helpful idea is to double click on the P&F indicator and change the colors. I have mine set to upside black and down side dayglo green. Much easier to see. Try several colors and find the ones you like.

Vance Try setting your printer to draft and black print > only and after "Z ing" the > P$F print. It is much more legible then > > Vance

To: <aiq@yahoogroups.com> Sent: Friday, April 13, 2001 8:16 PM Subject: [aiq] Another Point & Figure Question

> I have used the "Z" zoom feature to view point & > figure formations. However, in many cases, this is > still too small. Is there a way to zoom in even more > since I am really interested in the most recent 5 or > 10 columns, not the entire 30 to 50 column view? Or > is there a way to spread out the point & figure > information like you can do on the price chart > information? > > Thanks, Joe > STOPS IN EDS I made some assumptions since you didn't specify how much higher or lower should the stops be placed for entry and exit. So I assumed a 1/8 point entry/exit stop. You can change this number to your liking. Next, there are days where the exit combination will not properly work. NOTE: This applies only to those entry days where the entry AND exit happen on the same day. In other words, where the date of entry is an outside day. As an example, take a look at IBM on 8/05/99. You have no idea whether your entry was triggered first and then the stock fell and triggered your stop loss and then went up again, OR it fell first before you got in, then went up and triggered your entry and then just stayed up without triggering your the stop loss. NOTE AGAIN: This applies to the entry day ONLY. SIDE NOTE: Don't pay attention to the Entry Date and Exit Date columns of the backtest report under "Positions". Entry Date shows 1 day ahead of actual entry date, and Exit Date shows 2 days ahead of actual exit date. !!======================================================== Allworks if setdate(1) and (put your final rule here) and resetdate() and entrytrigger. entrytrigger if [high] >= val([high],1) + 0.125. entryprice is max(val([high],2) + 0.125, val([open],1)). exittrigger if setdate(1) and [low] <= val([low],1) - 0.125 and resetdate(). exitprice is min(val([low],3) - 0.125 , val([open],2)). !!======================================================== Bill S.

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The basic coding for triggers based on entry prices is... profittriger if [high] > {Position Entry Price} * 1.2. profitprice is {Position Entry Price} * 1.2. You can combine many exit triggers with the logic OR function, eg, with the triggers from our previous stop-loss thread. > Bill S.

COUNT OF

! define the thing to look for MacdCrossOver if ([MACD Osc] > 0 ) and ( Val([MACD Osc],1) < 0 ). ! see when it occurred occurredOn is ScanAny( MacDcrossOver, 20 ). didOccur if occurredOn <> NoDate(). numDaysAgo is occurredOn then OffSetToDate(month(),Day(),Year()). ! define the second thing to look for UpDay if [Close] > [Open]. ! count the number of times the 2nd thing happened, since the 1st thing occurred. count is CountOf( UpDay, ^numDaysAgo + 1,0 ). ===================================================== COMPARE TWO INDICES

Stan, You will need to use TickerRule or TickerUDF functions for DnRule1 to ever fire. Each ticker in the list of symbols is processed one at a time. This means NDXMKT was processed in one pass and DJIA was processed in a different pass. Therefore, both rules will never be TRUE at one time. A symbol can not both be DJIA and NDXMKT as the same time. Try adding a rule: MyRule3 if TickerRule("DJIA",DojiAprox). DnRule1 if MyRule1 and MyRule3. Thanks, 318

Ron > -----Original Message----> From: sjsolak@email.msn.com [mailto:sjsolak@email.msn.com] > Sent: Thursday, May 03, 2001 3:13 PM > To: aiq-eds@yahoogroups.com > Subject: [aiq-eds] Signal based on two index > > > I am trying to build an EDS that will give me a buy (or sell) signal > when two indexs form a Doji on the same day. > > -------------------> MyRule1 if DojiAprox and symbol()="NDXMKT". > MyRule2 if DojiAprox and symbol()="DJIA". > DnRule1 if MyRule1 and MyRule2. > ---------------------> > I set three tabs, MyRule1, MyRule2 and DnRule1. I did a report on > all with a summary for March 30, 2001. > Got a Passed for DJIA in MyRule2 and a Passed for NDXMKT in MyRule1. > But did not get anything in DnRule1. > > Maybe what I am trying to do is not possible. Can anyone help? > Thanks. > Stan

COLOUR STUDIES

first, make sure you're on version 6.0 then from charts, click the 'define studies' icon then 'on the top of the color studies window, type in the name of your eds file then hit the 'create new color study' button pick either 'price plot' or 'indicator' then cilck next keep following the prompts on the subsequent panels make sure you uncheck the 'dont show color studies' box on the first panel , i think the default is to have this checked on, disabling the color studies

Colour chart

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This is how I did my color studies: Enter if (val([st esa],1) < val([it esa],1)) and [st esa] > [it esa]. Exit if (val([st esa],1) > val([it esa],1)) and [st esa] < [it esa].

Put the rules in an EDS file and save it. Open Chart. Click on the multicolor icon and choose the saved EDS file. Click create new color study. Click radio button next to Price Plot (if this is what you want). Click next and follow the instructions. You should not be experiencing what you are describing unless equal exists. In this case it will be the default color being displayed.

SetDate Note that WMR must be a UDF and not a rule (because rules don't have values like 90-they are true or false) to use it the way you describe, eg WMR is [stochastic]. Alert if WMR<90 and setdate(1) and WMR>90 and resetdate(). If you want WMR to be a rule, then WMR if [stochastic]>90. Alert if not WMR and setdate(1) and WMR and resetdate().

RECURSION ! EDS file to demonstate the various methods of computing a simple ESA. ! This file shows how NOT to crash EDS using recursive functions. ! you will also notice the results of all 3 esa calculations will be different. This is an inherent problem with ! the calculation since it is dependent on where you start, and it is not a problem with AIQ or EDS. define UserDays 28. close is [close]. alpha is 2/(1+UserDays). beta is 1-alpha. !This esa will crash EDS as it is recursive. However, it is the standard way of computing many Indicators. ! Do not add this as a column UNLESS you want EDS to crash.

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esacrash is (alpha * [close]) + (beta * valresult(esacrash,1)). ! This method will allow the recursion and not crash EDS. It will go back 240 days ! and start calculating the current days ESA value from there. DaysInto is ReportDate() - RuleDate(). Stop if DaysInto >365. ! to stop the recursion we just return the value of [close] after we have looped 240 times into this routine. stopesa is iff(stop,[close], myesa). myesa is alpha * [close] + beta * valresult( stopesa, 1 ). ! Just a test of what the internal ESA function comes up with. ExpAvg is ExpAvg(close,UserDays). everything if 1.

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MetaStock How Tos CLEANING OUT UNWANTED STOCKS FROM METASTOCK A fast method to clean out unwanted stocks from Metastock and also save them for future viewing. On your hard drive, create a series of folders and sub folders like your present Metastock data system. In my case OLD_META_DATA/ALL01/A01,B01,C01 etc to Z01. (Be sure no more than 450 stocks go in each folder when you do copy/deletions) Open METASTOCK/Tools/DOWNLOADER and once in DOWNLOADER open Tools/Copy . Browse to the folder you wish to make deletions from. In the "Copy Securities" window make sure you can read the Last Date column with the Name column showing. If not,do not use the scroll bar but place the cursor in the Name box at its RH end almost in the Symbol box and when your cursor turns into a cross hold down the LH button on the mouse and drag it left thereby narrowing the Name column till the Last Date column is visible.( This is also a good tip when printing out Metastock reports that do not fit on the width of an A4 page, just reduce the width of a column or eliminate it completely if it is not wanted on the print out.) Hold down the Control key and highlight each Name you wish to delete. I go on the Last Date column to find useless stocks. If you use the scroll bar to go down the list be sure not to let go of the control key as you will lose all your previous selections. When finished highlighting let go of control key and press copy. Browse to the new folder you created, tick the "Delete Source Security" box and press OK. Old securities gone out of current data base and saved for future reference. You can do hundreds in a matter of minutes. If you want to ever see the old securities just alter the lead folders names in explorer. From Basil Holloway

LINKING METASTOCK UPDATES TO EXCEL FILES As I understand your desire, it's to take data from a MetaStock file and use it to update an Excel file. The way to have this update-process automatically done requires for you to have an OLE-link capable object (chart or indicator) to be present. In MetaStock this can be easy established by creating separate Charts for each security. Follow and execute these steps below. Here I am using a single daily closing price as object, for a simplified use of the Win 95's OLE program. 1. First make a new indicator Close Only : -Start MetaStock and click the button for the Indicator Builder -In Indicator Builder create a custom indicator named "Close Only" (without the quotations) and in the formula field type CLOSE and click OK 2. To create a Close Only Template : -Start the Win95-Explorer and create a new folder named OLE(which folder will hold your Template and Charts used for this OLE) below your working folder(that is holding your metastock files dat/dop/master/emaster etc.) -Then switch back to MetaStock -Open the by you desired security using Smart Charts as type

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-Delete all other charts and all inner windows and all indicators that are open in the current screen(=layout) except for the base securities' Price indicator (the bar, line, sticks) -Drag the newly created Close Only indicator down from the IB-Quick List (from the small window in the middle at the top) and release it to have the newly created indicator displayed in its own inner-window -Now SAVE AS the current screen (with Template as the file type) using the CloseOnly name(without a space) as the Template's name("CloseOnly.mwt") -Close down MetaStock + Win95-Explorer 3. To create the separate Charts used for OLE : -Start MetaStock (fresh again) and click New|Chart or click Open -Click Apply Template (this action is always required prior to selecting a security) and scroll to the OLE folder to apply the newly created CloseOnly Template -On Opening of this New Chart the above mentioned Template's layout containing the Price and the Close Only indicators will be displayed -Now SAVE AS the current screen (with Chart as the file type) using the security's name as the Charts' pointer name("SecurityX.mwc") to the newly created OLE-folder -Close Metastock 4. To create the OLE link from Metastock to an Excel spreadsheet : -Start MetaStock (fresh again) and click Open -Open the required security in the newly created OLE-folder -Right-click to Select and click Copy to have the security's CloseOnly indicator copied to the Clipboard -Start Excel and check that the first cell at the top-left is been selected(=black line bordered rectangle) -Select the required cells by placing the mouse-pointer at the right corner of the selected rectangle and click and press down the Left-mouse button and whilst at the same time holding the mouse-button down, drag down this first column(A) and release button until you have reached record row #999 and all of the selected cells will be colered black(Note that this selection made, has to be done in one(1) straight firm move down the column, eg a one single selection has been made) -Now let the mouse-pointer float on this blackened selection and Right-click to choose Paste Special -In the Paste Special's Dialog Window click the Paste Link radio-button and choose CSV as file-type -With plenty of system memory on board it will not take that long before the Special Linked data is calculated and displayed (as the cell's contents), and that the Link has been made -Close and Save As the Excel file to the OLE folder(with standard XLS as file type) with the security's name as the pointer name -Each time now, that you Open this XLS-file again, automatically the Excel program will have you prompted if you would to update the Link. Within the Excel program's options (Tools|Options|Calculations or Edit|Link|Manual) you can pre-set this to "manual" as well, but then you will have to click Edit|Link|Update Now to update once the spreadsheet's above Linked cell selection entirely

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A. Note here that the more history is stored in your 'original' Metastock files, eg the files the Chart uses as its base, the longer the column contents(displayed cells), the longer it will take to calculate and also the more memory is being used, so you will have to keep this 'history' as short as what can be possible for any fast results. B. Note here too that you can then apply the special instructions (mailed in a previous mail to the List) to have the Linked cells' contents SPLIT UP over more cells in the spreadsheet(s), so as to enable you to make calculations in Excel, eg using Excel's cell linking(referencing) and formula language(the tiny editor) capabilities and/or apply any of the other Excel program's features. C. Note here also that the above applies for MS6.x and Excel8.0(OfficePro97). D. To reverse this OLE linkage back into MetaStock , do not forget to create an empty Inner Window first, prior to creating the Link. In MS click Window|New Inner Window and then Right-click in this Inner Window and choose Paste Special|Paste Link (with CSV as file type). See MS-Help or MS-Manual or Equis' Customer|Support Website for more detailed instructions. suggested by Ton Maas, ms-irb@wxs.nl

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You can try something like this. Create an indicator that computes the 14 > period RSI of 10 bars ago. The two ways of doing this are to put the [10] > inside the function or outside the function. If they were the same the > difference should be zero. Plot the following code in an indicator and > look at the results in the debug window. You will see that early on, the > difference is not zero but gets smaller over time. If you use TS4.0, you > cannot use the Cleardebug function. > > if barnumber = 1 then cleardebug; > Print( d:6:0, RSI(C[10],14) - RSI(C,14)[10]:5:5);

You are right, the 2 different calls give different results. This is because the code uses an exponential moving average and the 2 different calls start calculating on different bars; RSI(C[10],14) gives results 10 bars before RSI(C,14)[10]. The difference in this case seems acceptable to me, but who knows what issues lurk in other functions. So I agree that back references should always be placed outside the arguments of the function call.

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Vance, Excellent! I must admit, I've used AIQ for 3-4 years and have never worked with that particular report before. But it seems to be a really good one to use for short-term trading. One good feature is that, with two mouse-clicks, you can generate a list of stock on the report and easily scroll through their daily charts in AIQ, looking for good setups. Thanks for bringing this to my attention. I'm attaching a copy of today's report for anyone not using AIQ and interested in seeing how this feature works. Bill

Vance Swindell wrote: > I have been doing fair by selecting stocks from the Stock Reports = > Signal Review upside. This signal has a fairly good record with some > stocks reaching 83% in a few days, of course there losers too, but I > watch moving averages and cut my loses quick and ride the ones that > stay above my moving average. This report uses the ER signal and then > posts a date when it has signal a buy using a price phase direction > change. The report keeps 2 weeks info and one can track the results by > scrolling down. Works so far for me. And it requires minimal > studying and work, as Bill stated, some times I get in my on way and > miss trades, because I'm trying to incorporate too many tech. and > fundamentals. Vance

Here is research dept code for the bands that can be adjusted via inputs for other securities. Prosper

Inputs: Pcnt1(1.025),Pcnt2(.975),Offset(1);

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vars:bandup(0),banddn(0),av(0); av=average(c,21); bandup=av*Pcnt1; banddn=av*Pcnt2;var: aa(0),bb(0),cc(0),dd(0); if c > bandup and c[2]<bandup then value1=1; if value1= 1 then begin plot4(H+offset,"break"); aa=aa+1; Print(File("C:\xitami\root\mod\SPBand.txt"),d:6:0,", ",c:3:2,", C>UpperBand",", ","L>MiddleBand, ",aa:0," Days"); print(d:6:0,", ",c:3:2,", C>UpperBand",", ","L>MiddleBand, ",aa:0," Days");end; if l<=av then value1=0; if l<=av then aa=0; if c < banddn and c[2]>banddn then value2=1; if value2= 1 then begin plot4(l-offset,"break"); bb=bb+1; Print(File("C:\xitami\root\mod\SPBand.txt"),d:6:0,", ",c:3:2,", C<LowerBand",", ","H<MiddleBand, ",bb:0," Days"); print(d:6:0,", ",c:3:2,", C<LowerBand",", ","H<MiddleBand, ",bb:0," Days");end; if h>=av then value2=0; if h>=av then bb=0; plot1(av,"21MA"); plot2(bandup,"bandup"); plot3(banddn,"banddn");

MARKET PROFILE

Here's a neat Market Profile .ela that stopped working for some strange reason. Worked fine until a couple of days ago on both TS4 and TS2000i... but now... everything is jumbled. You have to set the scale to "screen" or entire data series when using it (unless some ela wizard can correct it, too). input:compress(1),len(30),letter1(1),txtcolr(7),opncol(6),closcol(6),lastcol(6),VAprcnt

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(.70),Valcol(5), Valsize(3),Stime(Sess1StartTime); vars:lett("ABCDEFGHIJKLMNOPQRSTUVWXYZabcdefghijklmnopqrstuvwxyz"),t 1(0),vsize(0),cpt(0),dl(0), lcount(1),fp(0),daynum(0),d0(0),mid(0),dlo(0),pc(0),pc2(0),skp(0),labl(0),vala(0),vap (0),cp(0),t0(0),nuflag(0), hh(0),ll(0),x(0),et(0), clet(""),curtxt(""),th(0),tl(0),tpstr("00"),tot(0),va(0),d2p(0),oldclet(""), barhi(0),barlo(0),mintick(0),xpts(0),price(0),up(0),dn(0),oldup(0),olddn(0),flag(0),fla g2(0) ; array:pri[1000](0),tpo[1000](0),pristr[1000]("");

nuflag=0; if t0 <= Sess1EndTime and t > Sess1EndTime and Sess2StartTime <> 0 then nuflag=1; if d <> d0 and Sess2StartTime = Sess2EndTime then nuflag=1; if t0=sess1endtime then nuflag=1; if currentbar=1 or nuflag=1 then begin if currentbar=1 then begin if VAprcnt < 0 or VAprcnt >= 1 then vap=0 else vap=VAprcnt; vsize=mod(valsize+7,7); if vsize < 2 then value88=5 else value88=vsize; mintick = 1 point * minmove * compress; xpts=500*mintick; end; lcount=letter1; if lcount < 0 or lcount > 52 then lcount=1; if currentbar > 1 then begin if valcol <> 0 and flag2=0 then begin mid=0;value23=0; cpt=tl;cp=tl + (th-tl)/2; {center of dist.} for x = tl to th begin if pristr[x] <> "" then begin pristr[x]=nutpstr(tpo[x],pristr[x],pri[x]); value23=value23 + tpo[x]; {total tpo count} if tpo[x]=mid and x <= cp then cpt=x; if tpo[x]=mid and x>cp and(x-cp) < AbsValue(cp-cpt) then cpt=x; if tpo[x] > mid then begin cpt=x; mid = tpo[x]; end; end; end; va=value23 * vap; labl= text_new(d2p,t1,dl-mintick,NumToStr(value23,0)+" TPO's"); TEXT_SETSTYLE(labl,0,2); TEXT_SETCOLOR(labl,valcol);

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if va > 0 then begin value61=value19; value19=cpt; x=mid;up=value19+1;dn=value19-1; while x < va begin if tpo[up] = tpo[dn] then begin x=x+tpo[up]; up=up+1; if x < va then begin x=x+tpo[dn]; dn=dn-1; end; end else begin if tpo[up] > tpo[dn] then begin x=x+tpo[up]; up=up+1; end else begin x=x+tpo[dn]; dn=dn-1; end; end; end; up= fp+((up-1-500)*mintick); dn=fp+((dn+1-500)*mintick); vala=TL_New(D2p,t1,up,D2p,t1,dn); TL_SetColor(vala,valcol); TL_SetSize(vala,vsize); value62=fp+((value19-500)*mintick); value60=TL_New(D2p,t1,value62+mintick/15,D2p,t1,value62-mintick/15); TL_SetColor(value60,valcol); TL_SetSize(value60,value88); end; end; pc2=0; for value4=tl to th begin price=fp+((value4-500)*mintick) ; if price <= pc then pc2=value4; end; if pc2=0 then pc2=barlo; curtxt=pristr[pc2]; if RightStr(curtxt,1) <> "<" then begin text_setstring(pri[pc2],curtxt+" <"); Text_SetColor(pri[pc2],closcol); end; end; t1=t; d2p=d; labl=0;vala=0; for value1=tl to th begin

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pristr[value1]=""; tpo[value1]=0; end; clet=curletstr(stime,len,letter1); oldclet=clet; dlo=l; fp=o; tpo[500]=1; th=500;tl=500; flag=0; pri[500]= text_new(d,t1,o," >"+clet); pristr[500]=" >"+clet; TEXT_SETSTYLE(pri[500],0,2); TEXT_SETCOLOR(pri[500],opncol); hh=o;ll=o;mid=1;tot=1;value22=currentbar; dl=l; if d= JulianToDate(LastCalcJDate) then flag2=1; end; if t <> t0 then clet=curletstr(stime,len,letter1) ;{this does not work always is true} t0=t;d0=d;pc=c; barhi=intportion((xpts+h-fp+(mintick/10))/mintick); barlo=ceiling((xpts+l-fp-(mintick/10))/mintick); if barhi > th then th=barhi; if barlo < tl then tl=barlo; if l < dl then dl=l; IF datacompression=0 and currentbar > value22 then begin lcount=lcount+1; if lcount=53 then lcount=1; clet=midstr(lett,lcount,1) ; hh=o;ll=o;flag=flag+1; end; value22=currentbar; IF datacompression = 1 and oldclet <> clet then begin hh=o;ll=o;flag=flag+1; end; {skp=0; if h > hh or l < ll then begin skp=1;} for value4=barlo to barhi begin price=fp+((value4-500)*mintick); curtxt=pristr[value4]; if curtxt = "" then begin tpo[value4]=1; pri[value4]= text_new(d2p,t1,price," "+clet); pristr[value4]=" "+clet; TEXT_SETSTYLE(pri[value4],0,2); TEXT_SETCOLOR(pri[value4],txtcolr); end else begin

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if RightStr(curtxt,1) <> clet then begin text_setstring(pri[value4],curtxt+clet); pristr[value4]=curtxt+clet; tpo[value4]=tpo[value4]+1; end; end; end; if h>hh then hh=h; if l < ll then ll = l; {end;} if valcol <> 0 {and skp =1} and {d= JulianToDate(LastCalcJDate)} lastbaronchart then begin mid=0;value16=0;value23=0; cpt=tl;cp=tl + (th-tl)/2; {center of dist.} for x = tl to th begin if pristr[x] <> "" then begin pristr[x]=nutpstr(tpo[x],pristr[x],pri[x]); value23=value23 + tpo[x]; {total tpo count} if tpo[x]=mid and x <= cp then cpt=x; if tpo[x]=mid and x>cp and(x-cp) < AbsValue(cp-cpt) then cpt=x; if tpo[x] > mid then begin cpt=x; mid = tpo[x]; end; end; end; va=value23 * vap; if l < dlo then begin dlo=l; price=fp+((tl-501)*mintick); if labl <> 0 then Text_SetLocation(labl,d2p,t1,price); end; if labl =0 then begin price=fp+((tl-501)*mintick); labl= text_new(d2p,t1,price,"-"); TEXT_SETSTYLE(labl,0,2); TEXT_SETCOLOR(labl,valcol); end; Text_SetString(labl,NumToStr(value23,0)+" TPO's"); if va <> 0 then begin value61=value19; value19=cpt; x=mid;up=value19+1;dn=value19-1; while x < va begin if tpo[up] = tpo[dn] then begin x=x+tpo[up]; up=up+1; if x < va then begin x=x+tpo[dn];

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dn=dn-1; end; end else begin if tpo[up] > tpo[dn] then begin x=x+tpo[up]; up=up+1; end else begin x=x+tpo[dn]; dn=dn-1; end; end; end; oldup=up; olddn=dn; up= fp+((up-1-500)*mintick); dn=fp+((dn+1-500)*mintick); if flag=1 then value63=t; if up > dn and flag > 1 then begin if vala = 0 then begin vala=TL_New(D2p,t1,up,D2p,t1,dn); TL_SetColor(vala,valcol); TL_SetSize(vala,vsize); value62=fp+((value19-500)*mintick); value60=TL_New(D2p,t1,value62+mintick/15,D2p,t1,value62-mintick/15); TL_SetColor(value60,valcol); TL_SetSize(value60,value88); end else begin if oldup <> up then TL_SetBegin(vala,D2p,t1,up); if olddn <> dn then TL_SetEnd(vala,D2p,t1,dn); end; end; if value61 <> value19 and flag > 1 then begin value62=fp+((value19-500)*mintick); TL_SetBegin(value60,D2p,t1,value62+mintick/15); TL_SetEnd(value60,D2p,t1,value62-mintick/15); end; end; end; if lastcol > 0 and lastcol < 17 then begin if value10 = 0 and currentbar=3 then begin value10=tl_new(value50,value51,c,d,t,c); tl_setcolor(value10,lastcol); tl_setsize(value10,0); TL_SetExtLeft(value10,true); end else if currentbar > 3 and LastBarOnChart then begin {tl_setbegin(value10,value52,value53,c);} tl_setend(value10,d,t,c); tl_setbegin(value10,value52,value53,c);

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plot1(l-mintick,"dummy"); plot2(vala,"dummy");

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T BOND SYSTEM Hi everyone, Here's a simple little EOD system for TBonds which seems to perform well over a wide range of years, has a low DD and reasonably high win/loss and profit factor percentage figures: if range<average(range,9)[1]/2 then buy next bar at high+1 point stop; if marketposition=1 and barssinceentry=1 then exitlong next bar at open; Set a MM stop of $300. You can experiment with the barssinceentry setting - 0, 1, 2 etc - and set the system to close all trades at end of day. Can anyone say what's wrong with this or would you be happy to trade it? Cheers, Ian

HIGHER HIGHS

>here is what i came up with and i would appreciate it if anyone could help me just a little more... when this is put on the chart it works for the first couple of bars but then doesn't "reset" to continue to count the new highs. > >What i'm looking for is an indicator that will count the number of higher highs (a high higher than the prior bar but not necessarily consecutive to the last higher high) in a set number of bars. The attached code is my best guess as to what you are looking for. You still didn't specify "new Highs since when" so I assumed you meant since the beginning of the N-bar interval. A gif picture is attached. This is a pretty brute force method, just searching for new highs from N bars ago. There are faster ways by keeping track of things as you move forward through the bars but they take a lot more code. Bob Fulks { *******************************************************************

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Indicator : NewHighsLows Last Edit : 4/15/01 Provided By : Bob Fulks Description : This indicator plots the number of new highs and new lows in the past "N" bars, as measured from the highs and lows of "N"bars ago. ********************************************************************} Input: N(20); Vars: j(0), HHigh(0), LLow(0), NHigh(0), NLow(0); HHigh = High[N]; LLow = Low[N]; NHigh = 0; NLow = 0; for j = N - 1 downto 0 begin if High[j] > HHigh then begin HHigh = High[j]; NHigh = NHigh + 1; end; if Low[j] < LLow then begin LLow = Low[j]; NLow = NLow + 1; end; end; Plot1(NHigh, "NHigh"); Plot2(-NLow, "NLow"); Plot4(0, "zero");

"

INDICATOR MARKS Does anyone on the list know if one must use a strategy to draw the >up/down arrows used to denote buy and sell signals? Is there a way to

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>code them in an indicator? > >I've checked documentation, but perhaps am not looking in the right >place, and Omega online support is down. > >Any help much appreciated, Try: if Date = XXXXXX and Time = YYYY then Buy; if Date = XXXXXX and Time = YYYY then Sell;

YESTERDAYS HIGH LOW ON AN INTRADAY CHART From: "Sean O'Toole" <sean@kingfieldcapital.com> To: "Omega List" <omega-list@eskimo.com> Subject: EL Question Date: Mon, 9 Apr 2001 16:35:10 -0500 I'm having a mental lapse here. I would like to incorporate yesterday's high and low into an indicator which will be used on today's intraday data. How do I call daily data from an intraday chart?

Use the HighD(1) / LowD(1) functions although make sure you assign them to variables Cheers Stuart

Here asking for help. Would like to create a indicator that has two plots. I would like to count the number of new highs in the last "N" number of bars, which would be plot 1, and plot 2 would be the number of new lows for last "N" number of bars. Would anyone know how to do this? Not sure how to code a "counter" in EL. I would really appreciate anyone's help trying to code this. I can think of a couple of methods off hand. You do not say how you ever reset the new-high level. You probably do not want it to just keep getting higher forever... The following illustrates a couple of ideas. (These are not tested.) See the comments for a description. These do not ever reset the new high level so you will need to decide when you would like to do that.

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Bob Fulks

if High > HHigh then begin HHigh = High; {Save new high level} NHigh = 1; {Save location of new high} end else NHigh = 0; HCount = Summation(NHigh, N); {Count number over past N bars} if ??? then HHigh = ???; ------{Method 2} if High > HHigh then begin HHigh = High; {Save new high level} HCount = HCount + 1 - HCount[N]; {Calculate number over past N bars} end; if ??? then HHigh = ???;

COMMENTARY FUNCTION

The use of commentary together with stop and limit orders for the next bar is not very complicated. Simply insert a comentary function with the comentary you want to have after the stop/limit order. Look at this code for example: If PlaceShort then begin Sell ("Short") next bar at ShortPrice Stop; #BEGINCMTRY; Commentary ("Order (Short) to sell next bar at ",ShortPrice," Stop",NewLine); #END; end; If PlaceLong then begin Buy ("Long") next bar at LongPrice Stop; #BEGINCMTRY;

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Commentary ("Order (Long) to buy next bar at ",LongPrice," Stop",NewLine); #END; end; When you use commetary function the system shows you your active orders. But don't forget that stop/limit orders are active only for the next bar and have to be placed again to remain active.

NO PLOT() STATEMENT << Does anyone have experience with the NoPlot() statement in EasyLanguage? I believe this is new to TS2000i. I was trying to use it this morning to draw an intermittent line, but it doesn't seem to be working correctly. Basically, at times the areas where I used NoPlot come up blank -- as I'd expect. But if I scroll left or right, "sometimes" those areas fill in with a straight line between the points on either side of the gap. Has anyone else experienced this? Found a workaround? Brought it up with Omega? Thanks, Dave >> Dave, I use it frequently. After the frustration resulting from the 'symptoms' you described, I took the easy way out and plotted those 'indicators' for which I was using 'noplot' statements as points rather than lines. This doesn't solve the problem you bring up but it at least gets rid of those 'nasty' lines connecting the 'gaps' you mention. For me this has proved an adequate but not perfect solution to the problem. Lee Scharpen What I discovered is I can achieve the result I want with Trend Lines. It's not ideal, but at least gives the visual effect that I need. Example: IF val1 > 0 AND

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val1[1] > 0 THEN BEGIN VAR: foo(0); foo = TL_New(date[1], TIME[1], val1[1], DATE, TIME, val1); END; If anyone else has ideas, I'd love to hear them. Thanks for your help, Dave At 12:24 PM 4/20/2001 -0400, LScharpen@aol.com wrote: >In a message dated 4/20/01 9:18:46 AM Pacific Daylight Time, >david_wieringa_ml@worldnet.att.net writes: > ><< Does anyone have experience with the NoPlot() statement in EasyLanguage? >I > believe this is new to TS2000i. > > I was trying to use it this morning to draw an intermittent line, but it > doesn't seem to be working correctly. > > Basically, at times the areas where I used NoPlot come up blank -- as I'd > expect. But if I scroll left or right, "sometimes" those areas fill in > with a straight line between the points on either side of the gap. > > Has anyone else experienced this? Found a workaround? Brought it up with > Omega? > > Thanks, > Dave > >> > >Dave, > >I use it frequently. After the frustration resulting from the 'symptoms' you >described, I took the easy way out and plotted those 'indicators' for which I >was using 'noplot' statements as points rather than lines. This doesn't >solve the problem you bring up but it at least gets rid of those 'nasty' >lines connecting the 'gaps' you mention. For me this has proved an adequate >but not perfect solution to the problem. >

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NUMERICAL ACCURACY

There are ways to reduce the errors by a huge order if someone has to use easy lang. I highly recommend those who is into using "deep" exponential moving averages and cumulative "percentage" multiplication in TS to read some introductory text on computational numerical analysis. Most of these text cover some basic techniques in error reduction that can be copied into actual work easily. TRADESTATION: RELATIVE VIGOR INDEX John Ehlers's article "Relative Vigor Index (RVI)" in this issue includes a version of EasyLanguage code for the indicator. That version includes hardcoded implementations of a symmetrically weighted moving average in three places, and also a hardcoded implementation of two summations. We provide an alternative version below that replaces these hardcoded implementations with function calls. This version produces identical results, except for minor initialization differences. The SWMA, also known as a triangular moving average, can be conveniently implemented as a double simple moving average, and this code can be separated out into a function that can than be called from the main body of the code as many times as necessary. TradeStation includes a TriAverage function, but the function required here is a little more generalized, so we call it TriAverage_gen and provide the code for it below, following the main indicator code. Summation is another built-in function in TradeStation, and we use that as is.

Indicator: Relative Vigor Index inputs: Length( 10 ) ; variables: Change( 0 ), MyRange( 0 ), Num( 0 ), Den( 0 ), RVI( 0 ), RVISig( 0 ) ; Change = Close - Open ; MyRange = High - Low ; Value1 = TriAverage_gen( Change, 4 ) ; Value2 = TriAverage_gen( MyRange, 4 ) ; Num = Summation( Value1, Length ) ; Den = Summation( Value2, Length ) ; if Den > 0 then RVI = Num / Den ; RVISig = TriAverage_gen( RVI, 4 ) ; Plot1( RVI, "RVI" ) ; Plot2( RVISig, "Sig" ) ; Function: TriAverage_gen inputs: Price( numericseries ), Length( numericsimple ) ; variables: Length1( 0 ),

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Length2( 0 ) ; Length1 = Floor( ( Length + 1 ) * .5 ) ; Length2 = Ceiling( ( Length + 1 ) * .5 ) ; TriAverage_gen = Average( Average( Price, Length1 ), Length2 ) ;

STOPS

Warning: I'm answering these questions in the context of TS4, which is what I use. I believe TS2k works the same way. > I`ve included a stop loss signal in my strategy, but I noticed > that many of the losing trades were way above that amount. Then I > saw that TS was only looking at the stop loss at the next bar, not > the same bar in which the trade was initiated. Any way to get > stopped out even intrabar? Buy/sell/exit orders are issued at the *end* of the current bar, and are in effect only for the next bar. For stops you manage yourself, you need to issue the order on EVERY bar. But it sounds like you're concerned about getting stopped out in the same bar you entered in. One choice is to use TS's built-in MM stop, which should be in effect immediately after entry. Another choice is to issue the MM stop on the bar BEFORE you enter the trade. I.e. if you have a "buy" order on bar X, which enters on bar X+1, then you should also issue an MM stop order on bar X. That way it will also be in effect on bar X+1. You might want to modify the MM stop after you've entered, since your actual fill might be different than the theoretical fill you anticipated in bar X. > "generate orders for next bar" didn`t make a difference... That's a very badly-named option. It doesn't seem to have any impact on when or whether systems issue orders. It only affects whether the system's orders appear in the STCC, and whether order changes are signalled with the "new/changed/removed orders" dialog boxes. ADAPTIVE STOP

I just happened to be playing in this area. See if this helps. You won't get an specific $ level exit since it is adaptive. It takes into account the current bar. Just fiddle with the hard coded numbers to meet your needs.

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var: xprice(0); if mp <> mp[1] then xprice=0; if NumLosTrades > 0 and OpenPositionProfit < (GrossLoss/NumLosTrades)*3 and xprice=0 then xprice = close; if mp = 1 and xprice<>0 then exitlong("lx1") next bar at xprice - 30 points stop; if mp = -1 and xprice<>0 then exitShort("sx1") next bar at xprice + 30 points stop; if mp=0 then begin exitlong("lx2") next bar at close - TR*2 stop; exitShort("sx2") next bar at close + TR*2 stop; end; LINE THICKNESS WONT RESPOND > I'm using TS2ki (latest) & I've been unable to change the line thickness > (weight) in my indicators no matter which one I select. Is this a bug? > > Michael

Are your bars spaced widely enough to allow the change to occur? Try expanding the width between bars and see it the bar size adjusts.

This one drove me nuts for a month before I finally figured it out, so I'm happy to be able to pass on the answer (one of these days I'll be able to answer someone's question about TRADING...) In TS2Ki, go to the View/Chart Options dialog, General tab, and turn off "Auto-size bar width when bar spacing changes." Voila, line thickness will work again. As far as I'm concerned, this is for sure a bug. According to Help, this is what the option is supposed to do: "Auto-size bar width when bar spacing changes - Controls the width of the individual bars. Selecting this option causes the width of each bar to increase when bar spacing increases and decrease when bar spacing decreases. "

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Indicator #1: Dynamic Arrow to the Right of Closing Price on Chart (@TextCurrentC<=.ela). Nothing new --- I've posted this here before and am reposting it for completeness. Indicator #2: As Above Plus Dynamic Value of Closing Price in Text (@TextCurrentCText.ela) Same as above. In other words, not only does the arrow follow the current close but just to the right of the arrow is the value of the current close in text. For, example, if the current close is 999.50, then immediately to the right of the current close on the chart is <=999.50. Indicator #3: Dynamic Arrow to the Right of Current Indicator Value on Price Chart Plus Dynamic Value of Current Indicator Value in Text (@TextCurrentIndic.ela). Similar to above although with an Indicator on a Price Chart. For example, if the Indicator is a 10-period simple moving average of the Close, the Indicator is plotted on a Price Chart, and the current value of the Indicator is 995.75, then immediately to the right of the end of the Indicator plot is <=995.75. Notes --A. I have not found a way to plot text indicators on anything but a Price Chart, for example, on an Indicator subgraph, such as on Subgraph 2: Indicator below Subgraph 1: Price Chart. One of the consequences of this is that the values plotted by Text Indicators have to be close to those plotted in the Price Chart. For example, not only haven't I found any way to plot a Text Indicator on, for example, an indicator such as a Stochastic in Subgraph 2, the Text Indicator on an indicator such as a Stochastic won't effectively plot even on a Price Chart because of the substantial difference in values between those of the Stochastic (from 0 to 100) and the Price Chart (unless the latter has a range between approximately 0 and 100). It appears that Text Indicators are, in fact, limited to Text ShowMes --- if so, a major limitation to Text Indicators. I hope that I am wrong about this, and that you'll tell me so --- or, if I'm right, that some of you have found work-arounds to these limitations and would be willing to share them. B. For these indicators to plot dynamically, check "Update Every Tick". C. To plot these indicators effectively, set "Bars to the Right" > 0 --- I suggest, for example, 10. D. These indicators plot effectively only with minute-based charts --they can produce artifacts on tick-based charts, especially when Ticks/Minute > Ticks/Bar. Try it on something like a 5-Tick ES chart and see for yourself. The arrow's location progresses to the right in time only upon the next decrement in TS time, ie, minute, so as bars are produced following the last time decrement, they start to overlap the

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arrow. One work-around for this would be to set "Bars to the Right" to an appropriately large number. E. There's no "magic" in my choice of the combined symbols "<" and "=" to make a left-pointing arrow. Try some others at your discretion. Furthermore, you have some control over its location, as well as its color (but apparently not its strength), under the ELA rules. (Its strength appears to be set by your choice of Price Chart font.) F. These indicators were programmed with TS2Ki. I believe they will also work with TS4 with a little modification. For example, for any Indicator lacking a plot statement, the plot statement "IF False THEN Plot1(0,"");" (without the bracketing quotation marks --- but with the internal quotation marks) needs to be added at the end. @Text Current C <= Var: Arrow(" <="), ID(-1); IF BarNumber = 1 THEN ID = Text_New(D,T,C,Arrow); Text_SetLocation(ID,D,T,C); Text_SetStyle(ID,0,2); Text_SetColor(ID,6);

{ ELA Color Numbers --Black = 1 Blue = 2 Cyan = 3 Green = 4 Magenta = 5 Red = 6 Yellow = 7 DkGrey = 15 White = 8 Dark = 9 Dark = 10 Dark = 11 Dark = 12 Dark = 13 dark = 14 LightGrey = 16 }

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Text_SetStyle(ID,0,2); Text_SetColor(ID,6);

{ ELA Color Numbers --Black = 1 Blue = 2 Cyan = 3 Green = 4 Magenta = 5 Red = 6 Yellow = 7 DkGrey = 15 White = 8 Dark = 9 Dark = 10 Dark = 11 Dark = 12 Dark = 13 dark = 14 LightGrey = 16 }

{ ELA Color Numbers --Black = 1 Blue = 2 Cyan = 3 Green = 4 Magenta = 5 Red = 6 Yellow = 7 DkGrey = 15 White = 8 Dark = 9 Dark = 10 Dark = 11 Dark = 12 Dark = 13 dark = 14 LightGrey = 16 }

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TRADESTATION INSTABILITY

James I had constant crashes with Ts2ki under Win98, occasional crashes under NT4/SP6 and ZERO crashes since I switched to Win2k. Get Win2k, it is far more stable than NT. Also I run 256mb ram which I believe is the minimum necessary for trouble free operation of Ts2k running real time. Also whenever you have mysterious gremlins like self-modifying toolbars I suggest a clean install of your O/S and Ts2k. When I have had similar problems I did not reuse old workspaces or data because prior attempts to do so caused the gremlins to return. Export your data before reinstall and import it back and recreate your workspaces manually. This gives you a dead clean install and in every case that eliminated my gremlins. None have returned since I went on Win2k. Other folks get away with copying back data and workspaces onto a clean install of Ts2k but I was not that lucky. Good luck Bill Wood

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Trend Squelch The code for the TrendMode true-false condition is

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TS4 INSTALLATION ON WIN 2K Following is originally from Dave Nadeau. At the bottom there is some notes on the problem I had with Command prompt. May help ? I will post another email with copies of threads from omega-list around the topic. Regards Jon

Security Block Problems This document addresses the steps to trouble-shoot the following error messages: Security block not found -ORSecurity block is missing Users of Microsoft Windows Millenium Edition (ME) will use slightly different steps. Please see the following link for Windows ME instructions. Here are a number of items to check. Try each step in order and continue only if the problem persists: 1. After installing, reboot the computer. Windows must be restarted after an installation in order for any Version 4.0 or Version 1.2 application to work properly. 2. Check that the Security Block is attached to the parallel port of the PC. 3. If there are any other devices attached to the block, try removing them. 4. If there is a printer attached, try starting the Data Server with the following combinations: a. Printer attached to the block, turned on. b. Printer attached to the block, turned off. c. Printer not attached to the block. 5. If there is no printer or the combinations in step 3 do not work, check the speed settings of the block. This requires running the SSIACT speed measurement utility in DOS. Note to AMD K6 users: This utility may report an incorrect setting. Please skip to step h. and use the setting 2,2,50. a. Select the Start | Programs | MS-DOS Prompt menu sequence. b. The DOS prompt should be running in full screen mode. This means the monitor screen will be completely black, with DOS text in white. No other "windows" should be seen with exception of the DOS screen. If this is not the case, change to full screen mode by clicking on the Properties icon on the menu bar. Select the Screen tab and select Full Screen Mode. Click OK. c. At the prompt type CD C:\OMEGA\PROG\DRIVERS\NT <Enter>. d. At the prompt (C:\OMEGA\PROG\DRIVERS\NT>) type SSIACT <Enter>. This will start the Speed Measurement Utility. e. At the "Hit enter when ready" message, make sure the security block is attached properly and then hit <Enter>.

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f. The test will begin followed by "MEASURING". If the message ACTIVATOR NOT FOUND appears please call our Customer Support department. Otherwise, a message will appear stating, "The optimal parameters for this computer is SET SSI_ACT=" followed by series of numbers. Copy down the series of numbers. g. At the prompt (C:\OMEGA\PROG\DRIVERS\NT>) type EXIT. This will return to the WINDOWS environment. h. To use the new parameters: i. Click the Start | Run menu sequence. ii. At the Open: edit box type SYSEDIT and click OK. This will bring up the System Configuration Editor. iii. Select the Window | AUTOEXEC.BAT menu sequence. iv. Scroll down to the line: SET SSI_ACT=10,10,10 (10,10,10 is the default setting). Change 10,10,10 to the series of numbers from the test in DOS (Results of step f). v. Click the File | Save menu sequence. vi. Click File | Exit. i. Reboot and restart the Data Server 6. The SYSTEM.INI file, [386Enh] section should contain the line DEVICE=SSIACT.386 a. Click the Start | Run menu sequence. b. At the Open: edit box type SYSEDIT and click OK. This will bring up the System Configuration Editor. c. Select the Window | SYSTEM.INI menu sequence. d. Scroll down to the line that reads [386Enh]. Check until the next blank line for a line that begins device=ssiact.386. There should NOT be a semicolon (;) in front of the line. If the line does not exist, add it immediately under the [386Enh] line. e. Click the File | Save menu sequence. f. Click File | Exit. 7. If the Security Block is on an LPT port other than LPT1, the SYSTEM.INI file, [386Enh] section must contain the following line: a. Click the Start | Run menu sequence. b. At the Open: edit box type SYSEDIT and click OK. This will bring up the System Configuration Editor. c. Select the Window | SYSTEM.INI menu sequence. d. Scroll down to the line that reads [386Enh]. Check until the next blank line for a line that reads SSI_LPT=n (where n=1,2,3) depending what port the block is on. There should NOT be a semicolon (;) in front of the line. If the line does not exist, add it immediately under the [386Enh] line. e. Click the File | Save menu sequence. f. Click File | Exit. 8. Delete the *.CRI files from the OMEGA subdirectories a. Click the Start | Find | Files or Folders menu sequence. b. In the Named: edit box, type in *.CRI c. In the Look In: edit box, type in C:\OMEGA d. Make sure there is a check in the Include Subfolders checkbox and click the Find Now button.

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e. One or more files should be found. Click on Edit | Select All, then File | Delete. Confirm deletion to the Recycle Bin and close the Find window. 9. If these steps are unsuccessful, you will need to change the BIOS settings in your computers setup utility. If you have never edited the BIOS settings, please refer to your computer's documentation or ask a qualified technician to help you make changes. The computer will usually display a message when booting that will explain how to enter the computer's setup utility. Once you have entered the setup utility, navigate to the section where you will be able to edit the Parallel port settings. In the BIOS, you will need to change the settings for the Parallel port to use ECP mode and Enabled if applicable. Once the mode for the parallel port has been changed, try to access the program again. If the security block message is still displayed, it will be necessary to try each different mode setting for the Parallel port to find a combination that will work properly. The Parallel port may be setup to use Bi-Directional and Auto or OS Controlled. These settings will usually not allow the security block to function.

DocumentID: 10 Last Updated on: 10/12/98 Security Block Problems with Windows NT (Also OS/2 and PS/2 machines) Security Block Access Using Windows NT The directory X:\Omega\Prog\Drivers\NT, where X is the drive where the Omega Research product was installed, contains the drivers necessary for accessing the Activator(/M)or Aegis(/M) under Windows NT. *** IMPORTANT NOTE *** In order to make the following changes, Windows NT MUST be started with an account with ADMINISTRATIVE privileges. ********************** For native NT applications, only the physical device driver (SSIPDDP.SYS) is needed. For DOS and Windows applications running in a compatibility box under NT, both the physical and virtual device drivers are necessary. See REGISTRY.DOC on how these files should be installed. There are 2 additional programs, SSIREGI.EXE and SSIREGM.EXE, which will automatically install/modify the SSIPDDP driver into NT's Registry database. Refer to the REGISTRY.DOC for details on how the programs are used, and what directories the files should be copied to. ** IMPORTANT NOTE ** The virtual device driver needs the physical device driver to operate. On some computers (if you run NT 3.5 or later version), the physical drivers are loaded continuously, but the user may log on before all of them are loaded. In this case, during the log on process, the virtual device driver may be loaded BEFORE NT has finished loading the physical (SSIPDDP.SYS) driver, and the user gets the message: "SSIVDDP Error: SSIPDDP.SYS device driver not loaded"

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If you encounter this during the first log on or after a boot, don't panic: Either log out and log in again, or wait longer (approximately one minute) when the log on message appears before logging in. To enable DOS and Windows programs to check the ACTIVATOR under Windows NT put the Virtual device driver into \winnt\SYSTEM32 directory and the DOS and Physical device drivers into \winnt\SYSTEM32\DRIVERS: COPY SSIVDDP.DLL C:\winnt\SYSTEM32\SSIVDDP.DLL COPY SSIDDDP.SYS C:\winnt\SYSTEM32\DRIVERS\SSIDDDP.SYS COPY SSIPDDP.SYS C:\winnt\SYSTEM32\DRIVERS\SSIPDDP.SYS To load the Virtual Device Driver for ACTIVATOR, you have to add DEVICE=%SystemRoot%\system32\drivers\SSIDDDP.SYS to the CONFIG.NT file in Windows NT \winnt\SYSTEM32 directory. With the programs SSIREGI.EXE and SSIREGM.EXE you can automatically install/modify the SSIPDDP driver into NT's Registry database. To install, simply run the command SSIREGI install After installing into Registry (and copying the SSIPDDP.SYS into the directory \WINNT\SYSTEM32\DRIVERS) you have to reboot Windows NT. If the security device is attached to LPT1, no modification is necessary. If another port is used, modify the registry with the command SSIREGM LPTPort=n where n=1-9 is the port#. Probably you don't need to modify the virtual port address (for DOS and Win16 programs), but if you wish, you may change with the command SSIREGM VPort=hhhh where hhhh is 4-digit hexadecimal port address (use 1000-3FF8). If your computer is too fast and (in DOS mode) need delay adjustment with the SSI_ACT environment variable, you have to do the same in the registry with the command SSIREGM SSI_ACT=n,n,n In case you are using a very old ACTIVATOR/M, you have to modify the registry in order to correctly write the old device. Use the command SSIREGM SSI_MEM=OLD If you make any modification in the registry, you have to reboot NT in order to use the new setting. If you want to completely remove the driver, run the command SSIREGI remove (If the driver is in use, the Registry key will be deleted only next boot time.) If you used the virtual device driver, don't forget to remove the line DEVICE=SSIDDDP.SYS from the CONFIG.NT file. Alternatively, you may modify the Registry manually (using REGEDT32.EXE) to add the device driver. Go into the hive \Registry\HKey_Local_Machine\System\CurrentControlSet\Services and create a new key "SSIPDDP". Add the following values: ErrorControl = REG_DWORD 0x00000001 Group = REG_SZ Extended Base Start = REG_DWORD 0x00000002 Type = REG_DWORD 0x00000001

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Create (inside SSIPDDP) a subkey "Parameters" and inside this subkey add the following values: LPTPort = REG_DWORD 1 VPort = REG_DWORD 0x3078 (If you want to use different LPT port, set the 1st value to 2 or 3, for different virtual port address, the value must be >0x1000 and the last hexa digit must be 0, 4, 8 or C) You also may add the values SSI_ACT=n,n,n and SSI_MEM=OLD in the "Parameters" subkey. With the programs SSIREGI.EXE and SSIREGM.EXE you can automatically install/modify the SSIPDDP driver into NT's Registry database. To install, simply run the command SSIREGI install After installing into Registry (and copying the SSIPDDP.SYS into the directory \WINNT\SYSTEM32\DRIVERS) you have to reboot Windows NT. If the security device is attached to LPT1, no modification is necessary. If another port is used, modify the registry with the command SSIREGM LPTPort=n where n=1-9 is the port#. Probably you don't need to modify the virtual port address (for DOS and Win16 programs), but if you wish, you may change with the command SSIREGM VPort=hhhh where hhhh is 4-digit hexadecimal port address (use 1000-3FF8). If your computer is too fast and (in DOS mode) need delay adjustment with the SSI_ACT environment variable, you have to do the same in the registry with the command SSIREGM SSI_ACT=n,n,n In case you are using a very old ACTIVATOR/M, you have to modify the registry in order to correctly write the old device. Use the command SSIREGM SSI_MEM=OLD If you make any modification in the registry, you have to reboot NT in order to use the new setting. If you want to completely remove the driver, run the command SSIREGI remove (If the driver is in use, the Registry key will be deleted only next boot time.) If you used the virtual device driver, don't forget to remove the line DEVICE=SSIDDDP.SYS from the CONFIG.NT file. Dave finally got it right. (MS-DOS has now been renamed COMMAND PROMPT in w2000.) typed the following in and all went smoothly; C:\> \OMEGA\ C:\OMEGA>CD PROG\ C:\OMEGA\PROG>CD DRIVERS\NT\ C:\OMEGA\PROG\DRIVERS\NT>SSIREGI install CreateService SUCCESS

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C:\OMEGA\PROG\DRIVERS\NT> then I rebooted and the security block allowed opening of server and charting. Thankyou very much for your help. After having spent hours trying various combinations of the Omega Knowledge base string and getting "not a valid path" your suggestion of altering the string led to the 'fix' above. The space after "CD" is definitely required. Why Omega cannot publish this correctly, one will never know! Regards and thanks again Jon

----- Original Message ----From: "Dave Nadeau" <dave_nadeau@yahoo.com> To: "Jon Macmichael" <jonmac@bigpond.com>; "omega" <omegalist@eskimo.com> Sent: Saturday, 05 May, 2001 3:11 PM Subject: RE: TS4 install to Win 2000 Prof problem

> John, > > Looking at the instructions below and your .gif that you had sent with the > posting, it seems that the error is in the syntax of this last command > > It should read > CD OMEGA\PROG\DRIVERS\NT\SSIREGI install > > That is CD is followed by a space. > > Also, you might want to follow the procedure for checking your SSI_ACT > Settings for the Autoexec.bat as described in the MS Word file I'm > attaching. > > Dave Nadeau > > > -----Original Message----> > From: Jon Macmichael [mailto:jonmac@bigpond.com] > > Step 4 >> > > Locate your MS-DOS prompt. At the prompt type the letter of the drive in > > which your Omega directory resides followed by the colon and the

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pressing > > Enter or Return key. >> > > Then Type in the following line followed by pressing the Enter or Return > > key. >> > > CD\OMEGA\PROG\DRIVERS\NT\SSIREGI install >> > >

----- Original Message ----From: "Jim Johnson" <jejohn@cesmail.net> To: <omega-list@eskimo.com> Sent: Wednesday, 31 July, 2002 6:20 AM Subject: still snags on TS4 install on Win2k

> Hello omega-list, > > Thanks for the response to my first plea. I followed all the > instructions but still get the message that security block is missing > (it is there). I moved all the specified files to various winnt > directories and the did the speed measurement test to find the correct > settings for SSI_ACT. > > anybody have anything else to suggest? > > Thanks. > > -> Best regards, > Jim Johnson mailto:jejohn@cesmail.net >

ATR DISCUSSION > The problem results when moving from yesterday's last bar close to today's > open bar low or high. If there is a large gap up or down from yesterday, it > distorts TR. It appears that the distance from yesterday's close to today's > high or low should be excluded. Maybe I've missed the point of your message, since I have not really been following this threat, but that was kind of the whole point

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about ATR--to take into account the gaps that a standard range indicator misses. The theory being that by capturing those gaps, ATR more accurately reflects price movements. If ATR has a defect, it's that it doesn't go far enough. Logically, if you have seven days of limit moves, it should display them all as a single price change, including the less-than-limit move that ends the streak. That is not easy to do, however. Granted, this might not be convenient for day trading, but ATR was designed for interday use, with days of limited length and limits to the daily price movement. In day trading, apparent gaps almost always result from the length of the bar, rather than from real voids in the price movement. Same with 24-hour trading, when there is enough late-night volume to provide an orderly market. It sounds like whatever problem you are trying to solve comes from trying to apply ATR to the wrong kind of trading, rather than any defect in ATR itself.

The analog for price and time are: velocity = Delta Price/Delta Time = (P1 - P2)/(T1 - T2) acceleration = Delta Velocity/Delta Time = (V1 - V2)/(T1 - T2) Kaufman has a section on this type of calculation in Trading Systems and Methods.

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WealthScript Code

DEAD CAT CATCHER

{#OptVar6 {#OptVar7 {#OptVar5 {#OptVar4 {#OptVar1 Default: Default: Default: Default: Default: -30} 30} 1} 5} 1}

CMOPeriod := #OptVar4; holdPeriod := #OptVar5; longROCLimit := #OptVar6; shortROCLimit := #OptVar7; { Install AutoStops } if #OptVar2 > 0 then InstallStopLoss( #OptVar2 ); if (#OptVar2 > 0) and (#OptVar3 > 0) then InstallTrailingStop( #OptVar2, #OptVar4 ); for Bar := 20 to BarCount() - 1 do begin ApplyAutoStops( Bar ); if LastPositionActive() then begin if PositionLong( LastPosition() ) then begin if ( Bar >= BarSave + holdPeriod ) then begin SellAtMarket( Bar + 1, LastPosition() ); end; end else begin if ( Bar >= BarSave + holdPeriod ) then begin CoverAtMarket( Bar + 1, LastPosition() ); end end; end else begin if (#OptVar1 >= 0) and (CMO(Bar,#Close,CMOPeriod) < -99.0) and (ROC(Bar,#Close,CMOPeriod) < longROCLimit)

then begin Print(Format('Long %f',ROC(Bar, #Close, CMOPeriod))); BuyAtMarket( Bar + 1, 5000 ); BarSave := Bar + 1; end else if (#OptVar1 <= 0) and (CMO(Bar,#Close,CMOPeriod) > 99.0)

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and (ROC(Bar,#Close,CMOPeriod) > shortROCLimit) then begin Print('Short'); ShortAtMarket( Bar + 1, 5000 ); BarSave := Bar + 1; end; end; end;

INTRADAY

WealthScript Code

Below is the WealthScript code for this ChartScript.

{ Create CMOPane Pane } CMOPane := CreatePane( 50, TRUE, FALSE ); SetPaneMinMax( CMOPane, -60, 60 ); DrawHorzLine( 0, CMOPane, #Gray, 1 ); DrawHorzLine( 50, CMOPane, #Navy, 1 ); DrawHorzLine( -50, CMOPane, #Navy, 1 ); SetBarColors( #Black, #Black ); { Plot Indicators } PlotSeries( CMO( #Close, 20 ), CMOPane, 009, 2 ); { Implement Trading Rules } LastBar := 999; AT := 0; for Bar := 20 to BarCount() - 1 do begin Inc( LastBar ); if CumDown( Bar, #Close, 4 ) >= 9 then SetBarColor( Bar, #Blue ); if CumUp( Bar, #Close, 4 ) >= 9 then SetBarColor( Bar, #Red ); if CMO( Bar, #Close, 20 ) < -50 then SetBackgroundColor( Bar, #GreenBkg ); if CMO( Bar, #Close, 20 ) > 50 then SetBackgroundColor( Bar, #RedBkg ); for P := 0 to PositionCount() - 1 do if PositionActive( P ) then if CMO( Bar, #CLose, 20 ) > 50 then begin SellAtMarket( Bar + 1, P ); LastBar := 999; Dec( AT ); end;

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if ( CumDown( Bar, #Close, 4 ) >= 9 ) and ( CMO( Bar, #Close, 20 ) < -50 ) then if ( LastBar >= 9 ) and ( AT < 3 ) then begin BuyAtMarket( Bar + 1, 5000 ); LastBar := 0; Inc( AT ); end; end;

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WealthScript Code

TURTLE SOUP WITH FILTER

xStopLevel := 0.0; InstallTrailingStop( 10, 50 ); InstallProfitTarget(15); InstallStopLoss(7); for Bar := 21 to BarCount() - 1 do begin ApplyAutoStops( Bar ); if LastPositionActive() then begin if PositionLong( LastPosition() ) then CoverAtStop( Bar + 1, xStopLevel, LastPosition() ) end else begin if ( PriceLow( Bar) <= Lowest( Bar, #Low ,20 ) ) AND ( PriceLow(Bar -1) > Lowest( Bar -1, #Low, 20) ) AND ( PriceLow(Bar -2) > Lowest( Bar -2, #Low, 20) ) AND ( ATR(Bar,14) / PriceClose( Bar ) > 0.20 ) AND ( CMO(Bar,#Close,14) < -5 ) then begin { search previous 20 - day low } PrevLowPrice := PriceLow(Bar); for i := 3 to 20 do begin if PriceLow(Bar-i) <= Lowest(Bar-i,#Low,20) then begin PrevLowPrice := PriceLow(Bar-i); i := 20; end; end; BuyAtStop(Bar+1, 5000, PrevLowPrice); xStopLevel := 0.99 * PriceLow(Bar); if PriceLow(Bar+1) < PriceLow(Bar) then xStopLevel := 0.99 * PriceLow(Bar+1); end; end; end;

In the March, 2001 issue of Stocks & Commodities magazine, Viktor Likhovidov shares a method of coding candlesticks. This ChartScript uses Mr. Likhovidov's CandleCode formulation with one simple

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modification, and creates a trading system based on CandleCode. The CandleCode method expresses a candlestick value as a binary number, coding the body, upper shadow, and lower shadow in different "bits" of the number. One principal of binary numbers is that we can use the highest bit as a sign. In our adaptation this is what we do. Rather than adding 64 to the CandleCode value, we simply make black candles have negative values. This simplifies the code because we do not have to reverse the bits values when calculating black candlesticks. On a technical note, we use 20 day Bollinger Bands with 0.5 Standard Deviations to determine whether the body and shadow sizes are small, medium or large. A value above the upper BBand indicates large, within the BBands medium, and below the lower BBand small. The ChartScript displays the candle body size, with corresponding Bollinger Bands, to illustrate this technique. We also present a trading system based on the sign-modified CandleCode. The system presented takes a 20 day simple moving average of CandleCode. When this value crosses below -25, an extreme reading occurs and a long position is established. When it crosses above 25 a short position is opened. The system exits at a 20% stop loss, and 15% profit target.

WealthScript Code

Below is the WealthScript code for this ChartScript.

{ PriceSeries to hold candle body/shadow sizes, and CandleCode } BodySize := CreateSeries(); UpperShadowSize := CreateSeries(); LowerShadowSize := CreateSeries(); CandleCode := CreateSeries(); { Obtain body/shadow sizes } for Bar := 0 to BarCount() - 1 do begin SetSeriesValue( Bar, BodySize, Abs( PriceOpen( Bar ) - PriceClose( Bar ) ) ); if PriceClose( Bar ) > PriceOpen( Bar ) then SetSeriesValue( Bar, UpperShadowSize, PriceHigh( Bar ) PriceClose( Bar ) ) else SetSeriesValue( Bar, UpperShadowSize, PriceHigh( Bar ) PriceClose( Bar ) ); if PriceClose( Bar ) < PriceOpen( Bar ) then SetSeriesValue( Bar, LowerShadowSize, PriceClose( Bar ) PriceLow( Bar ) ) else SetSeriesValue( Bar, LowerShadowSize, PriceOpen( Bar ) PriceLow( Bar ) ); end; { Plot Body BollPane := PlotSeries( PlotSeries( PlotSeries( Size w/Bollinger Bands as an example } CreatePane( 100, true, true ); BodySize, BollPane, #Blue, 2 ); BBandUpper( BodySize, 20, 0.5 ), BollPane, #Purple, 0 ); BBandLower( BodySize, 20, 0.5 ), BollPane, #Purple, 0 );

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DrawLabel( 'Candle Body Size with 20 day, 0.5 STD Bollinger Bands', BollPane ); { Calculate CandleCode value. Use Bollinger Bands to determine body/shadow size mappings. } for Bar := 20 to BarCount() - 1 do begin { Body } nSize := GetSeriesValue( Bar, BodySize ); nUpper := BBandUpper( Bar, BodySize, 20, 0.5 ); nLower := BBandLower( Bar, BodySize, 20, 0.5 ); if nSize > nUpper then nCode := 32 + 16 else if nSize < nLower then nCode := 16 else nCode := 32; { Upper Shadow } nSize := GetSeriesValue( Bar, UpperShadowSize ); nUpper := BBandUpper( Bar, UpperShadowSize, 20, 0.5 ); nLower := BBandLower( Bar, UpperShadowSize, 20, 0.5 ); if nSize > nUpper then nCode := nCode + 8 + 4 else if nSize < nLower then nCode := nCode + 4 else nCode := nCode + 8; { Lower Shadow } nSize := GetSeriesValue( Bar, LowerShadowSize ); nUpper := BBandUpper( Bar, LowerShadowSize, 20, 2 ); nLower := BBandLower( Bar, LowerShadowSize, 20, 2 ); if nSize > nUpper then nCode := nCode + 2 + 1 else if nSize < nLower then nCode := nCode + 1 else nCode := nCode + 2; { Set sign for black candles } if PriceClose( Bar ) < PriceOpen( Bar ) then nCode := nCode * -1; { Store in CandleCode PriceSeries } SetSeriesValue( Bar, CandleCode, nCode ); end; { Plot CandleCode, and a 20 day SMA } CandlePane := CreatePane( 100, true, true ); PlotSeries( CandleCode, CandlePane, 447, 3 ); PlotSeries( SMA( CandleCode, 20 ), CandlePane, #Navy, 2 ); DrawLabel( 'CandleCode with 20 day SMA', CandlePane ); { Simple CandleCode trading system. } InstallStopLoss( 20 ); InstallProfitTarget( 15 ); for Bar := 20 to BarCount() - 1 do begin ApplyAutoStops( Bar ); if not LastPositionActive() then begin if CrossUnderValue( Bar, SMA( CandleCode, 20 ), -25 ) then BuyAtMarket( Bar + 1, 5000 ) else if CrossOverValue( Bar, SMA( CandleCode, 20 ), 25 ) then

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"Party Girl I, Optimized" has the same code for identifying bull and bear trends than the already public CharScript "Party Girl". Some of our colleagues encouraged me to improve the old script because, although "Party Girl" is often listed among the top ten systems for ISDEX, the returns - both in terms of RAR and profits - were not so high as they were at release date in October 2000. For optimization I have just added the following components: - First, I buy (short) and sell (cover) at stop. - Second, I use a Trailing Stop (OptVar1, OptVar2). - Third, I have introduced a ProfitTarget (OptVar4) and a StopLoss (OptVar3). You can play around with OptVar1 to OptVar4 if you are already working with Wealth-Lab Desktop. Having introduced above components, returns (RAR and profits) are again more than 100% as they were before. It seems that the system works a lot better at bear trends (going short) than at bull trends (going long). As of today (25 th of November 2000) Gross Profits are today impressive (over 300%) but we also have a lot of gross losses (about -200%) so we end up with poor 100% +/- of real profits. On the other hand, this means that we have chances to better the results. Please email me suggestions to improve this system series.

actually there are three states to the code a long (green) a short(magenta) and a yellow(flat) replace whatever with your choice of whatever, even astro stuff will go in there if you choose. VALUE1=whatever; if value1<>0 then if value1[1]<VALUE1 then begin plot1(value1,"what+");END; if value1[1]>VALUE1 then begin plot2(value2,"what-");END; if value1=value1[1]then begin plot3(value3,"what");END;

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> Good evening, > > I think this question was 10x on the list but maybe one kind soul will > answer. > Is there any kind of indicator which will show divergence between price and > maybe RSI or MACD histo...? > Any hint would be appreciate even if its total useless > > Thanks Laura > Laura, a pretty good one i came across some time ago. regards michael {*******************************************************************}

Input:OSC(slowkclassic(5, 3)),Mingap(3),MaxOfset(3),OscDif(.01),PrcDif(1),MinPeak(30), MinPeak2(30),MaxVal(70),MaxVal2(70),MaxNum(10); Array:OscH[51](0),OscHBar[51](0),OscL[51](0),OscLBar[51](0); Var:OscVal(0),LastH(0),LastL(0),Loop(0),FoundH(0),FoundL(0), StrtBar(0),EndBar(0),StrtVal(0),IncVal(0),NewPeak(false),NewVal(false), LastPeak(0),LastVal(0),EndVal(0); {MaxOfset - Number of bars away (in price chart) from corresponding peak or valley in Stochastic that is allowable and still considered valid Zero - tight, will produce fewest trades, the greater the number, the more trades that will be generated. MinGap - Minimun number of bars needed between peaks or valleys. OscDif - Minimum difference needed between points of Stochastic in order to be greater or less than. PrcDif - Minimun number of points between highs or lows of bars in order to be greater or less than. MinPeak - The minimum value needed for the first peak (of the stochastic) MaxVal - The Maximum value allowed for the first valley (of the

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stochastic)} {Record current values of oscilator in OscH and OschL arrays. If we come to a peak or valley, start a new entry. Set up as a stack, most recent entry is element 1, older entries have higher numbers. }

OscVal = OSC; NewPeak=false; NewVal=false; {look for peak in Stochastic} If barnumber > 2 and LastH > 0 then begin if OscH[1]-OscVal>=OscDif and OscH[1] - OscVal[2]>=OscDif then begin {found new peak} LastH = Minlist(LastH+1,MaxNum); NewPeak = true; for loop = LastH downto 2 begin OscH[Loop] = OscH[Loop-1]; OscHBar[Loop] = OscHBar[Loop-1]; end; end; end ELSE LastH = 1; {first entry} {Capture and *save values} OscH[1] = OscVal; OscHBar[1] = BarNumber; {Look for valley in Stochastic} if barnumber>2 and LastL > 0 then begin if NewPeak = false then begin if OscVal-OscL[1]>=OscDif and OscVal[2]-OscL[1]>=OscDif then begin {Found new valley} LastL = minlist(LastL+1,MaxNum); NewVal = true; For Loop = LastL downto 2 begin

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OscL[Loop] = OscL[Loop-1]; OscLBar[Loop] = OscLBar[Loop-1]; end; end; end; end ELSE LastL = 1; {first entry} {Capture and save values} OscL[1] = OscVal; OscLBar[1] = BarNumber; {Look for the first part of a sell divergence, the second stochastic peak is Lower than the previous stochastic peak by one full % point. Also, the first peak has to be >= the MinPeak value. Take the first occurance} if NewPeak or barnumber-OscHBar[2] <= MaxOfset then begin FoundH = 0; for loop = 3 to lastH begin if FoundH=0 and (OscH[loop]-OscH[2]>=1) and OscHBar[2]-OscHBar[loop]>=MinGap and OscH[loop]>=MinPeak and OscH[2]>=MinPeak2 then FoundH = Loop; { negative slope} end; if foundH > 0 then begin {FOUND FIRST PART OF SELL DIVERGENCE, CHECK PRICE BARS FOR MATCH} StrtBar = RB_CheckPeak(OscHBar[FoundH],MaxOfset,PrcDif); EndBar = RB_CheckPeak(OscHBar[2],MaxOfset,PrcDif); StrtVal = high[StrtBar]; EndVal = high[EndBar]; If StrtBar > 0 and EndBar > 0 and EndVal >= StrtVal and StrtBar - EndBar >= MinGap then begin {Found match, have true Divergence} { if OscHBar[2]<>LastPeak then } if EndVal = StrtVal then IncVal = 0 else IncVal = (EndVal-StrtVal)/(StrtBar-EndBar); value2 = 0; for value1 = StrtBar downto EndBar

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begin Plot1[value1](StrtVal+value2*IncVal,"SDIVERG"); value2 = value2 + 1; end; { LastPeak = OscHBar[2]; } end; end; end; {Look for the first part of a buy divergence, the second stochastic valley is Higher than the previous stochastic Valley by one full % point. Also, the first valley has to be<=the MaxVal value.Take the first occurance} if NewVal or barnumber-OscLBar[2] <= MaxOfset then begin FoundL = 0; for loop = 3 to lastL begin if FoundL=0 and (OscL[2]-OscL[Loop]>=1) and OscLbar[2]-OscLBar[loop]>=MinGap and OscL[loop] <= MaxVal and OscL[2]<=MaxVal2 then FoundL = Loop; { positive slope} end; if foundL > 0 then begin {FOUND FIRST PART OF BUY DIVERGENCE, CHECK PRICE BARS FOR MATCH} EndBar = RB_CheckValley(OscLBar[2],MaxOfset,PrcDif); StrtBar = RB_CheckValley(OscLBar[FoundL],MaxOfset,PrcDif); StrtVal = low[StrtBar]; EndVal = low[EndBar]; if StrtBar>0 and EndBar>0 and EndVal <= StrtVal and StrtBar - EndBar >= MinGap then begin {Found match, have true Divergence} { if OscLBar[2]<>LastVal then } if EndVal = StrtVal then IncVal = 0 else IncVal = (StrtVal-EndVal)/(StrtBar-EndBar); value2 = 0; for value1 = StrtBar downto EndBar

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begin Plot2[value1](StrtVal-value2*IncVal,"BDIVERG"); value2 = value2 +1; end; { LastVal = OscLBar[2]; } end; end; end; {******************************************************************}

Gary, > Michael, the indicator you posted requires two functions, > RB_CheckPeak and RB_CheckValley. Do you have those? see below. > Any idea who wrote this? nope. but it works pretty good. you can use different indicators as an input. > Gary michael Function: RB_CheckValley {*****************************************************************} Inputs:PkNmbr(NumericSimple),MaxOfset(NumericSimple), PrcDif(numericsimple); Vars:Last(0),First(0),TstVal(0),NextVal(0),PrevVal(0); {PkNmbr - Barnumber of peak in stochastic that you are checking against MaxOfset - Number of bars away from this PkNmbr that is allowable and still considered a valid match PrcDif - Minimun number of points between highs or lows of bars in order to be greater or less than. Will return the offset bar number (bars back from current bar) of the valley bar or will return a Zero if there is no matching valley}

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First = Barnumber - Minlist(PkNmbr+MaxOfset,Barnumber-1); Last = Barnumber - Maxlist(PkNmbr-MaxOfset,2); RB_CheckValley = 0; if First<=maxbarsback and Last<=maxbarsback then begin For Value1 = First to Last begin TstVal = Low[value1]; PrevVal = Low[Value1+1]; NextVal = Low[Value1-1]; { {***Check For Equal Bars***} value2 = 2; while TstVal = PrevVal begin PrevVal = Low[value1+value2]; value2 = value2+1; end; value2 = 2; while TstVal = NextVal and value1-value2>= 0 begin NextVal = Low[value1-value2]; value2=value2+1; end; } if NextVal-TstVal>=PrcDif points and PrevVal-TstVal>=PrcDif points then RB_CheckValley = value1; end; end; {**************************************************************} Function: RB_CheckPeak {*************************************************************} Inputs:PkNmbr(NumericSimple),MaxOfset(NumericSimple), PrcDif(numericsimple); Vars:Last(0),First(0),TstVal(0),PrevVal(0),NextVal(0); {PkNmbr - Barnumber of peak in stochastic that you are checking against MaxOfset - Number of bars away from this PkNmbr that is allowable and still considered a valid match PrcDif - Minimun number of points between highs or lows of bars in order to be greater or less than.

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Will return the offset bar number (bars back from current bar) of the peak bar or will return a Zero if there is no matching peak} First = Barnumber - Minlist(PkNmbr+MaxOfset,Barnumber-1); Last = Barnumber - Maxlist(PkNmbr-MaxOfset,2); RB_CheckPeak = 0; if First<=maxbarsback and Last<=maxbarsback then begin For Value1 = First to Last begin TstVal = High[value1]; PrevVal = High[Value1+1]; NextVal = High[Value1-1]; { {***Check For Equal Bars***} value2 = 2; while TstVal = PrevVal begin PrevVal = High[value1+value2]; value2 = value2+1; end; value2 = 2; while TstVal = NextVal and value1-value2>= 0 begin NextVal = High[value1-value2]; value2=value2+1; end; } if TstVal-NextVal>=PrcDif points and TstVal-PrevVal>=PrcDif points then RB_CheckPeak =value1; end; end; {*******************************************************************}

HIGHEST HIGH At 2:08 AM +0200 5/13/01, Charles Strong wrote: >Thanks for your comments. I substituted highest high and lowest low but >that didn't seem to work either. Any ideas? I get multiple buys and sells all >clumped together. > >Inputs: BZ(2), SZ(1);

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> >Sell at highest(high,50) - (highest(high,50)* (sz*.01)) stop; > >buy at lowest(low,50) + (lowest(low,50)* (bz*.01)) stop;

Bill Wynne described the problem correctly. But I am guessing that you want to sell at some amount below the tops, etc. The trouble with the Highest(High, XX) function is that it searches back in time to a high. What I think you want is to move forward in time keeping track of new highs. The following code should do that: Bob Fulks --Inputs: BZ(2), SZ(1); Vars: HHigh(0), LLow(0), MP(0); MP = MarketPosition; HHigh = iff(High > HHigh or MP <> MP[1], High, HHigh); LLow = iff(Low < LLow or MP <> MP[1], Low, LLow); if MP >= 0 then Sell next bar at HHigh * (1 - 0.01 * SZ) stop; if MP <= 0 then Buy next bar at LLow * (1 + 0.01 * BZ) stop;

MOVING AVERAGES Tillman T3 volume-weighted average or Buff average sine-weighted moving average adaptive moving average by Perry Kaufman DEMA TEMA

It would take a while to compile all of them into a list. T3 seems a good choice (among the freely available) to generate signals because it doesnt lag as much as others. It doesnt turn as fast as jma in trend changes but you need some noise to generate valid signals. Juriks moving average has very little noise so it should not be used 371

directly to generate trading signals. It is more useful to smooth time series for instance a rsi of a jma of the closes. Some experimentation can be done by displacing them horizontally to generate earlier signals.

{ Plot SMAs PlotSeries( PlotSeries( PlotSeries( PlotSeries( and EMAs } EMA( #Close, 28 ), 0, 044, 2 ); EMA( #Close, 14 ), 0, 044, 1 ); SMA( #High, 5 ), 0, 922, 0 ); SMA( #Low, 5 ), 0, 262, 0 );

{Trailing Stop} OptVar1 := 10; OptVar2 := 80; {Stop Loss} OptVar3 := 50; {Profit Target} OptVar4 := 20; for Bar := 30 to BarCount() - 1 do begin { See if we're in a trend mode } BullTrend := false; BearTrend := false; if SMA( Bar, #Low, 5 ) < EMA( Bar, #Close, 28 ) then begin BearTrend := true; SetBackgroundColor( Bar, 988 ); end else if SMA( Bar, #High, 5 ) > EMA( Bar, #Close, 28 ) then begin BullTrend := true; SetBackgroundColor( Bar, 898 ); end;

InstallStopLoss( OptVar3 ); InstallTrailingStop( OptVar1, OptVar2); InstallProfitTarget( OptVar4 ); if LastPositionActive() then begin ApplyAutoStops(Bar); { Test for closing Long Positions } if PositionLong( LastPosition() ) then

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begin if not BullTrend then SellAtStop( Bar + 1, PriceLow(Bar) , LastPosition() ); end else { Test for closing Short Positions } begin if not BearTrend then CoverAtStop( Bar + 1, PriceHigh(Bar), LastPosition() ); end; end else begin { Trigger long/short trades } if BullTrend then begin if ( PriceClose( Bar ) > SMA( Bar, #High, 5 ) ) and ( SMA( Bar, #High, 5 ) > SMA( Bar - 1, #High, 5 ) ) then BuyAtStop( Bar + 1, 5000, PriceHigh(Bar) ); end; if BearTrend then begin if ( PriceClose( Bar ) < SMA( Bar, #Low, 5 ) ) and ( SMA( Bar - 1, #Low, 5 ) > SMA( Bar, #Low, 5 ) )then ShortAtStop( Bar + 1, 5000, PriceLow(Bar) ); end; end; end;

FIBONACCI FORMULAS Hi Shashi, Many thanks for your help. I've come up with the following - not exactly to your suggestion in every detail, but hopefully in the spirit of it. I haven't tested it much yet - all feedback and improvements welcome (coding is not my strong point!). Anyone testing it please vary V1 especially to your preference - I have it set very low for a 5-minute chart. V1:=0.5; {ZigZag reversal amount} V2:=0.50; {Minimum Retracement %} V3:=0.618; {Maximum Retracement %} C1:=Peak(1,C,V1) - Trough(1,C,V1); {Swing amount, i.e. price difference between previous peak and previous trough} C2:=Peak(1,C,V1) - C; {price difference between previous peak and current close} PeakBars(1,C,V1) <

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TroughBars(1,C,V1) {the previous peak is later than the previous trough} AND C < Peak(1,C,V1) {price dropped below last Peak} AND C= LowestSince(1, C=Peak(1,C,V1), C) AND C2 C1*V2 {retracement minimum} AND C2 < C1*V3 {retracement < maximum} Thanks again, Nick ----- Original Message ----From: "Shashi Aggarwal" <shashiag@swbell.net To: "Metastock Digest (E-mail)" <metastock@listserv.equis.com Sent: Sunday, February 03, 2002 10:26 AM Subject: Re: Fibonacci formula

Nick, Maurice, Kush and others, At one time I had created a pullback/ Fib. retracement formula but can't seem to find it now. I then gave up using it, not because it didn't work (it did!), but I could never tell in real time whether the retracement would be 38%, 50%, or 62% (the commonest ratios)! Thus, for example, I would buy on a 38% retracement just to see it fall to 62% retracement. Or I would buy at 62% retracement just to see it fall even further and the trend get reversed. I guess that's a limitation we have to live with; of course, once the trend resumes, it is very easy with 20/20 hindsight to see how much the retracement was. Enough said. The logic was as follows: 1) Define trend. e.g. for an uptrend, you would specify the most recent swing high/low (#1) be higher than the prior swing high/low (#2). You NEED to use the Peak & Trough functions for this, which depend on the zigzag

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indicator. As for the % amount you would choose, that depends on your trading time frame - larger % for longer time frame and vice versa. (Note: zigzag is a tricky function; read the online help. In particular, note this section from online help: "Be forewarned, that the last leg (i.e., segment) of the Zig Zag is dynamic, meaning that it can change. Therefore, be careful when designing system tests, experts, etc. based on the Zig Zag indicator". But don't let this scare you. I got used to it over time, and so can you.) 2) Define a recent high implying that the trend is continuing e.g. HHV(C,20) most recent swing high (e.g. HHV(C,20) Peak(1,C,10)). 3) Define a pullback e.g. C < HHV(C,20) 4) Define most recent swing e.g. Swing:= HHV(C,20) - Trough(1,C,10) (using 10% swing as an example); 4) Define extent of pullback e.g. for a pullback between 50% & 68% of recent swing, it would be something like: C < (Trough(1,C,10) + 0.51*Swing) AND C (Trough(1,C,10) + 0.31*Swing). Use filters as needed. There you have it. Metastock programming is not very easy, but its not rocket science either. Once you start doing it yourself, AND UNDERSTAND THE LOGIC BEHIND YOUR ARGUMENTS, you will catch on pretty fast. Try it - I have done most of the work for you above. Just make sure you use the parameters appropriate for your trading. Shashi -------------------------------------------------------------- Original Message -----=20 From: Maurice Cruz=20 To: metastock@metastock.com=20 Sent: Friday, February 01, 2002 6:46 AM Subject: Fibonacci Formulas

Group, I would also be interested in this, or any other fibonacci-related indicators. Maurice

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----- Original Message -----=20 From: Nick Channon=20 To: metastock@metastock.com=20 Sent: Thursday, January 31, 2002 8:53 PM Subject: Fibonacci Formulas

Hi Group, I wonder if anyone has a formula to detect a Fibonacci Retracement? = If so, kindly post. If not, any suggestions on how best to construct = one? Would it be feasible to base it on zigzag? Many thanks, Nick

From: Krzysztof.Kowczur@brebank.com.pl Subject: "Joe DiNapoli - DiNapoli Trend formula Date: 30/01/2002 11:35:09 To: metastock@metastock.com Hi Guys Does anyone have this system formula??? Dinapoli Trends {UP}C=Ref(Mov(C,3,S),-3) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))=(PREV+(0.199*((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))-PREV))) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))=Ref((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E)),-1) {DOWN}{DOWN}C<=Ref(Mov(C,3,S),-3) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))<=(PREV+(0.199*((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))-PREV))) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))<=Ref((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E)),-1){jimt} This message was sent through MyMail http://www.mymail.com.au

Thanks Peter,

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I use this formula much differently than Chande suggests. I've had a lot of success with a 13 period FO. I plot the formula and establish equidistant levels (from zero) that trigger buy and sell signals. Simple, but effective. This approach is graphically displayed in the attachment. I like the FO because it can be somewhat "adaptive" (and it can pull twenty bucks out of crude). Thanks again, Equis doesn't "trust" us with the formula. If you "click" on the little "arrow&?", on the task bar, in MetaStock and drop it on the Forecast Oscillator you get the following blurb: "The oscillator is above zero when the forecast price is greater than the actual price. Conversely, it's less than zero if its below." Of course, this is totally false (the opposite is true). Which of edition of MetaStock do you believe they might correct their mistake? Take Care, Steve ----- Original Message ----From: Peter Gialames To: metastock@metastock.com Cc: kernish@turbonet.com Sent: Thursday, January 10, 2002 9:45 AM Subject: RE: Forecast Oscillator

Not sure if this is what you are looking for but ... Peter Gialames

Here is the text from S&C V. 10:5 (220-224): Forecasting Tomorrow's Trading Day by Tushar S. Chande, Ph.D. Using linear regression as a crystal ball for forecasting the market? After all, if you were to be able to determine tomorrow's high, low and close for trend changes and placement of stop points, it would simplify your life immeasurably. Can it work? Tushar Chande explains how it can be done. Wouldn't you trade better It you could "see" the future? A simple linear regression can provide an objective forecast for the next day's high, low and close. These ingredients are essential for a trading game plan, which can help you trade more mechanically and less emotionally. Best of all, a regression forecast oscillator, %F, gives early warning of impending trend changes. The linear regression method is well known for finding a "best-fit" straight line for a given set of data. The output of the regression are the slope (m) and constant (c) of the equation (1)Y = mX + c Here, m and c are derived from a known set of values of the independent variable X and dependent variable Y. The relative strength of the linear relationship between X and Y is measured by the coefficient of determination r 2 , which is the ratio of the variation explained by the regression line to the total variation in Y. Here is a table to help interpret the values of r 2 , which range from 0 to 1: The coining of the term "regression" can be attributed to Sir Francis Galton, who observed in the late 1800s that tall fathers appeared to have as a rule short sons, while short fathers appeared to have as a rule tall sons. Galton suggested

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that the heights of the sons "regressed" or reverted to the average. Technician Arthur Merrill also had a good explanation in a recent issue of STOCKS & COMMODITIES, and Patrick Lafferty recently wrote on an application of multiple regression to gold trading. Virtually all introductory books on statistics have a detailed discussion of the linear regression method. Successful professional traders emphasize the importance of having a trading plan. A trading game plan, much like that of a football team, clearly defines specific actions under different conditions. The linear regression method is very useful in developing a forecast for the next trading day's high, low and close based on the last five trading sessions. The method is general and broadbased enough so that it can be used with stocks, indices or commodities. The forecast is the basis of my trading plan: I can define what I should do if the market rises above the forecast high, falls below the forecast low or stays within the forecast range. This way, I can avoid being emotional and trade as mechanically as possible by having a plan to rely on. FORECASTING WITH LINEAR REGRESSION I like to use at least 10 days of data and develop a forecast for the high, low and close. The five-day regression is a good choice for short-term trading. You can use any length of regression you like. Here are the calculations with the daily close in a spreadsheet format: 1 Perform a linear regression with the first five days of data to obtain the slope m and constant c such that X Value Daily Close 1 Day 1 2 Day 2 .... 5 Day 5 2 Forecast the next day's close with the slope m and constant c from step 1: (2) Forecast close (Day 6) = 6m + c 3 Record m, c and r 2 on the same line as Day 5. Record the forecast from step 2 one day ahead, with Day 6. Note when we are using five days' data, the first forecast is for Day 6. 4 Step the calculation ahead one day such that 5 Record m, c and r 2 as in step 3. 6 Calculate the regression forecast oscillator, %F, as (3) %F = ((Y-Yforecast)/Y)*100

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where Y is the close for Day 6 and Y(Forecast) is the forecast for Day 6 from step 2 (from Day 5). 7 Record the oscillator on the same line as Day 6. 8 Step the calculations ahead one day at a time until the most recent day. Technically, we can use the linear regression to develop a point forecast (single value) for the next day (as in step 2) or a range (interval) of values with a certain confidence level. The interval widens, greater the variation in the data and greater the desired confidence level. I use the forecast oscillator, %F, to determine if my forecast is above or below the actual market data. Since %F = ((Y-Yforecast)/Y)*100 where Y can be any market variable for stocks, indices or commodities, %F measures the percent deviation of the actual value from its forecast. In a trading market, %F changes its sign before a significant trend change. In trending markets, %F tends to change sign early in the trend. I interpret %F in the context of the r 2 Of the regression. A low value of r 2 plus a change in sign of %F is a good signal of a change in trend. Market extremes and periodicity can also be observed on the %F charts. DEVELOPING A TRADING PLAN You can use the forecasts to develop a specific trading plan to suit your trading style. I use the forecasts in several ways. Forecasts as stops. I use the high and the low as action points. If the market exceeds the forecast high, it wants to go up. To trade with the trend, I put a buy stop a few ticks above the high. If the market falls below the forecast low, it wants to go down. Hence, I set a sell stop a few ticks below the forecast low. If you want to trade against the trend, sell short near the forecast high and buy near the forecast low. Forecasts as intraday range scale. The forecasts provide a scale for evaluating the trading day. The market can stay within the expected range or go outside. On a down day, the intraday high is well below the forecast high and may be below the forecast close. On an up day, the market stays well above the forecast low and often above the forecast close. General rules for trading with forecasts. Here are some general rules: Use the forecasts only if r 2 is greater than 0.1. Higher the value of r 2 , the greater the confidence in the forecasts. A trend change is imminent when r 2 falls below 0.1. Prepare to close longs. A trend is in place if r 2 is greater than 0.6. As a trend follower, you could wait for this value to be exceeded before opening positions. This would keep you out of short-term fluctuations.

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An early warning of a trend change is provided by a zero-crossing of %F, the forecast oscillator. Prepare to tighten stops and look for changes in slope and coefficient of determination for confirmation. A change in trend is confirmed by a change in slope of the regression. Open positions in direction of trend change. To trade against the trend, look for peaks in slope and strength of the linear trend. The trend will usually change in the direction of %F. Always be prepared for a market move against the forecast. Use stops! A SAMPLE TRADING PLAN I have developed a forecast for the high, low and close for January 20, 1992, from the previous five trading days, seen in Figure 1. The market was making new highs the previous week. Was a downward movement imminent? Let's look at the data from Friday, January 17, 1992: The market was trending moderately (0.4<= r 2 <0.6), but the forecast oscillator %F was negative for high, low and close, warning of a possible change in trend. The relatively small slope of the regression for the high meant the market was meeting resistance. The slope of the regression for the close had turned down from the high values during the recent strong uptrend. The forecast, however, called for a strong close near the highs of the day, but that seemed doubtful, given the low slopes in a moderating trend. The plan was to watch for a change in trend. If the market opened weak, a bearish strategy was called for. For example, I would consider buying the Standard & Poor's 100 Index OEX January 390 puts, or selling short the S&P 500 March futures contract. The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of me regression forecast approach. The market opened at the Friday close and weakness was evident at the open, as the S&P 500 futures opened lower. It was clear in early trading that the trend would be down, as the market traded well below the forecast high and close. Clearly, the forecast range provided a good scale, since it reinforced the concept that the market was weaker than the trend of the prior five days. A bearish stance would have been profitable. THE NATURE OF REGRESSION FORECASTS The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of the regression forecast approach. I have examined a time period from early October 1991 to mid-January 1992. The OEX close and its forecast are in Figure 2; the r 2 values in Figure 3; %F in Figure 4, and Figure 5 has %F around the mid-November plunge.

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Several observations can be made from the OEX analysis. First, the forecast lags the OEX in an uptrend or in a downtrend. Second, the close and the forecast cross over several days before a trend change. This crossover can be seen as a zero crossing in the %F chart. Significant trend changes are preceded by trendless periods with values of r 2 near zero. Strong trends are accompanied by high values of r 2 and regression slope. These observations support the general rules of interpretation noted above. As Figure 5 shows, %F provided a timely warning of an impending trend change just before the OEX fell 15.68 points. I have included data for wheat (cash) from 1989 to indicate the use of this approach with commodities. The market showed significant trends during this period with good periodicity, as shown in Figures 6, 7 and 8. The %F zero crossings were timely indicators of trend change. Features observed with OEX charts are also seen here; note in particular how %F can be used to identify extremes in the market from Figures 4 and 8. Simple linear regression yields forecasts of the high, low and close for stocks, indices or commodities. These forecasts can be used to develop a trading plan. You can trade with the trend, against the trend, intraday or interday. The forecast oscillator, %F, provides early warning of trend changes taken together with the regression slope and coefficient of determination. This approach works best in trending markets or trading range markets; it is only moderately useful in volatile markets with choppy price action. These objective forecasts will let you trade less emotionally and more mechanically. Profits will look up when you can look ahead. Tushar Chande holds a doctorate in engineering from the University of Illinois and a master's degree in business administration from the University of Pittsburgh. REFERENCES Lafferty, Patrick [ 1991 ]. "A regression-based oscillator," Technical Analysis of STOCKS & COMMODITIES, Volume 9: September. Merrill, Arthur [1991]. "Fitting a trendline by least squares," Technical Analysis of STOCKS & COMMODITIES, Volume 9: December. Pfaffenberger, Roger, and James Patterson [1987]. Statistical Methods for Business and Economics, Irwin.

-----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of Steve Karnish Sent: Thursday, January 10, 2002 10:34 AM To: metastock@metastock.com

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List, Does anyone have the math formula for Chande's Forecast Oscillator? Thanks, Steve

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Steve, I believe this is it. J. {Forecast Osc-Chande} {from jseed} Pds:=Input("Time Periods",1,1000,5); Fld:=Input("Price Field 1=C 2=O 3=H 4=L",1,4,1); PFld:=If(Fld=1,C,If(Fld=2,O,If(Fld=3,H,L))); Sig:=Input("Signal MA Periods",1,200,3); ForO:=((Pfld-(Ref(LinearReg(Pfld,Pds),-1)+ Ref(LinRegSlope(Pfld,Pds),-1)))*100)/Pfld; ForO; Mov(ForO,Sig,E); {end}

Subject: Forecast Oscillator Date: Thu, 10 Jan 2002 08:34:12 -0700 List, Does anyone have the math formula for Chande's Forecast Oscillator? Thanks, Steve

Not sure if this is what you are looking for but ... Peter Gialames Here is the text from S&C V. 10:5 (220-224): Forecasting Tomorrow's Trading Day by Tushar S. Chande, Ph.D. Using linear regression as a crystal ball for forecasting the market? After all, if you were to be able to determine tomorrow's high, low and close for trend changes and placement of stop points, it would simplify your life immeasurably. Can it work? Tushar Chande explains how it can be done. Wouldn't you trade better It you could "see" the future? A simple linear regression can provide an objective forecast for the next day's high, low and close. These ingredients are essential for a trading game plan, which can help you trade more mechanically and less emotionally. Best of all, a regression forecast oscillator, %F, gives early warning of impending trend changes. The linear regression method is well known for finding a "best-fit" straight line for a given set of data. The output of the regression are the slope (m) and constant (c) of the equation (1)Y = mX + c Here, m and c are derived from a known set of values of the independent variable X and dependent variable Y. The relative strength of the linear relationship between X and Y is measured by the coefficient of determination r 2 , which is the ratio of the variation explained by the regression line to the total variation in Y. Here is a table to help interpret the values of r 2 , which range from 0 to 1: The coining of the term "regression" can be attributed to Sir Francis Galton, who observed in the late

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1800s that tall fathers appeared to have as a rule short sons, while short fathers appeared to have as a rule tall sons. Galton suggested that the heights of the sons "regressed" or reverted to the average. Technician Arthur Merrill also had a good explanation in a recent issue of STOCKS & COMMODITIES, and Patrick Lafferty recently wrote on an application of multiple regression to gold trading. Virtually all introductory books on statistics have a detailed discussion of the linear regression method. Successful professional traders emphasize the importance of having a trading plan. A trading game plan, much like that of a football team, clearly defines specific actions under different conditions. The linear regression method is very useful in developing a forecast for the next trading day's high, low and close based on the last five trading sessions. The method is general and broad-based enough so that it can be used with stocks, indices or commodities. The forecast is the basis of my trading plan: I can define what I should do if the market rises above the forecast high, falls below the forecast low or stays within the forecast range. This way, I can avoid being emotional and trade as mechanically as possible by having a plan to rely on. FORECASTING WITH LINEAR REGRESSION I like to use at least 10 days of data and develop a forecast for the high, low and close. The five-day regression is a good choice for short-term trading. You can use any length of regression you like. Here are the calculations with the daily close in a spreadsheet format: 1 Perform a linear regression with the first five days of data to obtain the slope m and constant c such that X Value Daily Close 1 Day 1 2 Day 2 .... 5 Day 5 2 Forecast the next day's close with the slope m and constant c from step 1: (2) Forecast close (Day 6) = 6m + c 3 Record m, c and r 2 on the same line as Day 5. Record the forecast from step 2 one day ahead, with Day 6. Note when we are using five days' data, the first forecast is for Day 6. 4 Step the calculation ahead one day such that 5 Record m, c and r 2 as in step 3. 6 Calculate the regression forecast oscillator, %F, as (3) %F = ((Y-Yforecast)/Y)*100 where Y is the close for Day 6 and Y(Forecast) is the forecast for Day 6 from step 2 (from Day 5).

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7 Record the oscillator on the same line as Day 6. 8 Step the calculations ahead one day at a time until the most recent day. Technically, we can use the linear regression to develop a point forecast (single value) for the next day (as in step 2) or a range (interval) of values with a certain confidence level. The interval widens, greater the variation in the data and greater the desired confidence level. I use the forecast oscillator, %F, to determine if my forecast is above or below the actual market data. Since %F = ((Y-Yforecast)/Y)*100 where Y can be any market variable for stocks, indices or commodities, %F measures the percent deviation of the actual value from its forecast. In a trading market, %F changes its sign before a significant trend change. In trending markets, %F tends to change sign early in the trend. I interpret %F in the context of the r 2 Of the regression. A low value of r 2 plus a change in sign of %F is a good signal of a change in trend. Market extremes and periodicity can also be observed on the %F charts. DEVELOPING A TRADING PLAN You can use the forecasts to develop a specific trading plan to suit your trading style. I use the forecasts in several ways. Forecasts as stops. I use the high and the low as action points. If the market exceeds the forecast high, it wants to go up. To trade with the trend, I put a buy stop a few ticks above the high. If the market falls below the forecast low, it wants to go down. Hence, I set a sell stop a few ticks below the forecast low. If you want to trade against the trend, sell short near the forecast high and buy near the forecast low. Forecasts as intraday range scale. The forecasts provide a scale for evaluating the trading day. The market can stay within the expected range or go outside. On a down day, the intraday high is well below the forecast high and may be below the forecast close. On an up day, the market stays well above the forecast low and often above the forecast close. General rules for trading with forecasts. Here are some general rules: Use the forecasts only if r 2 is greater than 0.1. Higher the value of r 2 , the greater the confidence in the forecasts. A trend change is imminent when r 2 falls below 0.1. Prepare to close longs. A trend is in place if r 2 is greater than 0.6. As a trend follower, you could wait for this value to be exceeded before opening positions. This would keep you out of short-term fluctuations.

386

An early warning of a trend change is provided by a zero-crossing of %F, the forecast oscillator. Prepare to tighten stops and look for changes in slope and coefficient of determination for confirmation. A change in trend is confirmed by a change in slope of the regression. Open positions in direction of trend change. To trade against the trend, look for peaks in slope and strength of the linear trend. The trend will usually change in the direction of %F. Always be prepared for a market move against the forecast. Use stops! A SAMPLE TRADING PLAN I have developed a forecast for the high, low and close for January 20, 1992, from the previous five trading days, seen in Figure 1. The market was making new highs the previous week. Was a downward movement imminent? Let's look at the data from Friday, January 17, 1992: The market was trending moderately (0.4<= r 2 <0.6), but the forecast oscillator %F was negative for high, low and close, warning of a possible change in trend. The relatively small slope of the regression for the high meant the market was meeting resistance. The slope of the regression for the close had turned down from the high values during the recent strong uptrend. The forecast, however, called for a strong close near the highs of the day, but that seemed doubtful, given the low slopes in a moderating trend. The plan was to watch for a change in trend. If the market opened weak, a bearish strategy was called for. For example, I would consider buying the Standard & Poor's 100 Index OEX January 390 puts, or selling short the S&P 500 March futures contract. The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of me regression forecast approach. The market opened at the Friday close and weakness was evident at the open, as the S&P 500 futures opened lower. It was clear in early trading that the trend would be down, as the market traded well below the forecast high and close. Clearly, the forecast range provided a good scale, since it reinforced the concept that the market was weaker than the trend of the prior five days. A bearish stance would have been profitable. THE NATURE OF REGRESSION FORECASTS The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of the regression forecast approach. I have examined a time period from early October 1991 to mid-January 1992. The OEX close and its forecast are in Figure 2; the r 2 values in Figure 3; %F in Figure 4, and Figure 5 has %F around the mid-November plunge. Several observations can be made from the OEX analysis. First, the forecast lags the OEX in an uptrend or in a downtrend. Second, the close and the forecast cross over several days before a trend change. This

387

crossover can be seen as a zero crossing in the %F chart. Significant trend changes are preceded by trendless periods with values of r 2 near zero. Strong trends are accompanied by high values of r 2 and regression slope. These observations support the general rules of interpretation noted above. As Figure 5 shows, %F provided a timely warning of an impending trend change just before the OEX fell 15.68 points. I have included data for wheat (cash) from 1989 to indicate the use of this approach with commodities. The market showed significant trends during this period with good periodicity, as shown in Figures 6, 7 and 8. The %F zero crossings were timely indicators of trend change. Features observed with OEX charts are also seen here; note in particular how %F can be used to identify extremes in the market from Figures 4 and 8. Simple linear regression yields forecasts of the high, low and close for stocks, indices or commodities. these forecasts can be used to develop a trading plan. You can trade with the trend, against the trend, intraday or interday. The forecast oscillator, %F, provides early warning of trend changes taken together with the regression slope and coefficient of determination. This approach works best in trending markets or trading range markets; it is only moderately useful in volatile markets with choppy price action. These objective forecasts will let you trade less emotionally and more mechanically. Profits will look up when you can look ahead. Tushar Chande holds a doctorate in engineering from the University of Illinois and a master's degree in business administration from the University of Pittsburgh. REFERENCES Lafferty, Patrick [ 1991 ]. "A regression-based oscillator," Technical Analysis of STOCKS & COMMODITIES, Volume 9: September. Merrill, Arthur [1991]. "Fitting a trendline by least squares," Technical Analysis of STOCKS & COMMODITIES, Volume 9: December. Pfaffenberger, Roger, and James Patterson [1987]. Statistical Methods for Business and Economics, Irwin.

-----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of Steve Karnish Sent: Thursday, January 10, 2002 10:34 AM To: metastock@metastock.com Subject: Forecast Oscillator

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List, Does anyone have the math formula for Chande's Forecast Oscillator? Thanks, Steve

From my archives.....I found three different formulas for the True Strength Index: 1. rr:= Input("first smoothing r" ,1 ,100 ,25 ); ss:= Input("second smoothing s" ,1 ,100 ,13 ); uu:= Input("third smoothing u",1,100,1); numerator:=100*(Mov(Mov(Mov(ROC(C,1,$),rr,E),ss,E),uu,E)); denominator:=Mov(Mov(Mov(Abs(ROC(C,1,$)),rr,E),ss,E),uu,E); If(denominator<0,numerator/denominator,0); 2. 100*(Mov(Mov(ROC(C,1,$),40,E),20,E)/Mov(Mov(Abs(ROC(C,1,$)),40,E),20,E)) 3. rc:=Mov(Mov(ROC(C,1,$),40,E),20,E); rc1:=If(rc=0,1,Mov(Mov(Abs(ROC(C,1,$)),40,E),20,E)); 100*(rc/rc1) Take your pick. <g Claud neo wrote:

-----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of William Gross Sent: Wednesday, January 02, 2002 2:23 PM To: metastock@metastock.com Subject: True Strength Index Has anyone system tested to see if the 25/13 periods used in the formula for theTrue Strength Index in the Active Trader Magazine article this month is better or worse than some alternatives (like 17/9)? Especially on a 15 minute chart... William GrossVenice CA

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FORECAST OSCILLATOR ForecastOsc or {Forecast Osc-Chande} {from jseed} Pds:=Input("Time Periods",1,1000,5); Fld:=Input("Price Field 1=C 2=O 3=H 4=L",1,4,1); PFld:=If(Fld=1,C,If(Fld=2,O,If(Fld=3,H,L))); Sig:=Input("Signal MA Periods",1,200,3); ForO:=((Pfld-(Ref(LinearReg(Pfld,Pds),-1)+ Ref(LinRegSlope(Pfld,Pds),-1)))*100)/Pfld; ForO; Mov(ForO,Sig,E); {end} Jeff, Try applying this method to Nokia (8% band around the FO), Intel (7%), Goldman Sachs (6%-see attachment). Don't forget to set system tester to -1 and open. This will initiate your trades on the opening of the following day you trigger a signal. Time travel into the next quarter and you will find the above issues being traded as part of the 50-75 "single stock futures". Then, with a ~$135 in profits (GS over the last two years), imagine how much fun it would be with only 20% margin. I can't wait until the "series 7" idiots start to trade in this arena. Take care, Steve ----- Original Message ----From: Jeff Haferman <Jeff_Haferman@yahoo.com To: <metastock@metastock.com Sent: Wednesday, January 23, 2002 8:50 AM Subject: Re: Forecast Oscillator

Thanks Steve, I'll study this. I'm very familiar with your site, I've been learning from it for the last couple of years ;) Jeff

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Steve Karnish wrote: Jeff, Chande has the finest indicators (my humble, subjective opinion) I have ever "eyeballed". Unfortunately, I have never read or seen anything that would suggest that Chande knows how to apply "rules" to his fine work. I'm sure he uses them well, but I can find nothing that hints at his approach. The Forecast Oscillator can be a real gem. I like to use a 13 period FO. Typically, stocks that fluctuate more than 10% from the Forecast Oscillator seem to perform the best under testing. A simple optimisation would look like: Enter Long: Cross(opt1,ForecastOsc(CLOSE,opt3)) Close Long: Cross(ForecastOsc(CLOSE,opt3),opt2) I like to use 13 as a default for opt3 (or you can test). opt1 is the trigger level to trigger a long trade and opt2 triggers the sell to offset the position. If you are testing commodities or the Q's, just change the "Close Long" to Enter Short. If I know a stock ranges up to 15% from the linear regression formed by the Forecast Oscillator, I will test for points between 1 and 15, stepping up a point (1) and -1 to -15. Because of the way the formula is written, you must change the optimisation levels for each test. Some stocks don't trade beyond a percent or two of their price. Testing whole numbers above "one" wouldn't do you any good (under those circumstances). Attached is a chart of ERTS (I trade the stock publicly, at my site, with different rules), showing the FO13 and triggers of +10/-10 (I only use symmetrical triggers). During the last two years, it has triggered 11 winners and one loser. Anyway, this is just one way to use it. Take care, Steve

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CHANDE'S DYNAMIC MOMENTUM INDEX 'DMI is a momentum index that uses a variable length (number of days) determined by the volatility 'in price. If volatility is low, the calculation uses a long period. If volatility is high, the 'calculation uses a short period. ' 'The number of days is determined as follows: ' 'Std5 = Standard Deviation of the Close over past 5 days 'AvgStd = 10 day Average of Std5 'V = Today 's Std5 / AvgStd 'TD = Int(14 / V) ' 'Note that if the Std5 is greater than AvgStd then V will be greater than 1 and Td will be 'less than 14. If Std5 is less than AvgStd then V will be less than 1 and Td will be greater 'the 14. Td is limited to the range 5 to 30. ' 'Td is used as the period for calculating RSI ( Relative Strength Index ). ' 'Reference: 'Chande, Tushar S. and Kroll, Stanley.

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'The New Technical Trader, New York: John Wiley, 1994. HTH, Andreas -----Ursprungliche Nachricht----Von: owner-metastock@metastock.com [mailto:owner-metastock@metastock.com]Im Auftrag von rudolf stricker Gesendet: Sonntag, 3. Februar 2002 17:38 An: metastock@metastock.com Betreff: Re: momentum indicators, using also o-h-l

On Thu, 31 Jan 2002 06:09:07 +0000, you wrote: Check your Metastock Manual for interpretation of Qstick. It has about a page of discussion. The manual says that Qstick is the moving average of the difference between the open and close. So Qstick seemingly is rather a trend indicator than a momentum indicator, (which I'm looking for, see the subject). Maybe, I should start with a given momentum indicator e.g. Chande's "Dynamic Momentum Index", and integrate o-h-l in an appropriate manner into it... Is the formula for the DMI available somewhere? mfg rudolf stricker | Disclaimer: The views of this user are strictly his own.

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ADAPTIVE SYSTEMS

----- Original Message ----From: "John Manasco" <john@manasco.net To: <metastock@metastock.com Sent: Wednesday, February 06, 2002 8:01 PM Subject: Re: adaptive systems - how to define appropriate time windows ? Here is a discussion from another email list on adaptive systems. Adaptive systems is pretty complicated matter. There are several known ways of doing it, at least about 4. The math is not too complicated but arcane and the concept is hard to comprehend. There are several questions: what does adaptive system mean? what do you adapt it to? what to adapt? what do you adapt it based on? how do you do it? what is the math? how to you implement it in code? is it doable? Adaptive means the system's algorithm tunes itself up as the "market footprint" changes to maximise the performance criterion which is max reward at min risk. If you want to discuss adaptive first you have to discuss non adaptive systems like the ones you can code in TSs. The main objective of any system is to find the balance in between the risk and the reward - which is the main criteria. in TS we do that by running optimisation and finding the suitable peak in the optimisation function. Optimisation function (OF) has a dependent and independent variables. Dependent variables are Max Profit (MP) and Min Risk (MR), independent are your parameters / inputs ( I ) example: if you have 3 inputs 3 Is your OF will is 4 or 5 dimensional ( 3 Is + MR + MP ). this could be graphically representing as a multidimensional surface. the key is to find the peak of that surface( that's why if system has more than 3 inputs I toss it ) - hard to do because it's hard to visualise. You can see now that if a system does not adapt you have to find the peak manually or you have to compromise. *most systems fail because they are not adaptive - curvefitted!!! So, the purpose of adaptive system is to find that peak in OF in real time. To know the peak you need to know the OF. to know OF you have to know: MR, MP, and all Is. let's break it down. MR and MP: you have to calculate systems performance in real time. But the system does not know how it performs itself. it needs some criteria to go by. how can a system know if it works on all cylinders and bangs out max profit at min reward or just barely making it? you have to give it a reference to go by. this ref performance is called system efficiency (SE). SE is calculated in % by comparing in real time the performance of real system to the performance of ideal system. Another term needs to be introduced - ideal system. Ideal system buys the very top and sells the very bottom. you can easily calculate that buy coding a function that will sell and buy in hindsight and give you max possible profit at zero risk. now, then you take 394

ideal system as 100% efficiency, then your SE = real performance / ideal performance. say your average SE = 30% that means you are pulling out 30% or what you can pull out of the market. this becomes the criterion to go by in adaptation or Max SE. this can fluctuate from Min allowable SE say 20% to 100% ( will never be 100%). Based on statistical runs you can then calculate mean SE to go by, say 30%. now you know what to adapt to. next is what to adapt: well, obviously you have to adapt your parameters or inputs - your Is. you have to tune your inputs to get the highest SE. that's where it gets real tricky. to be able to do that you need OF- you need that curve to tell you what the parameters should be to get max SE. let's leave this out for a second. next is what do you adapt based on: you adapt based on changing market conditions or what I call changing "market footprint". every instrument traded out there has it's own particular market footprint which is: a compilation of statistical variables common to all instruments, like: average true range ( bar velocity), average volatility, volatility std, average volume, liquidity and so on. footprint is a set of statistical parameters that you can use as fingerprints To identify and differentiate between different instruments you trade. this footprint will change in real time... volatility will fluctuate, so will volume, average bar range, etc. one day SP can trade real narrow range with low volume, the next day volatility can explode - market footprint changed. Next is how to adapt it. well, the first thing that should pop into your mind is that you need a feedback loop of some sort. The rational loop is this: footprint changed -adjust parameters to maximise SE ratio -if SE drops means footprint changed -repeat. if you examine this loop you'll notice that you need at least 2 functions ( transfer functions ) to do that: 1. parameters = f ( footprint ) 2. SE = f( parameters ) of you can rewrite it as: SE = f ( f ( footprint ) ); tells you systems efficiency will fluctuate based on changing market conditions. so where do you get those functions: a. from a sample run: you do a pass over data, build your OF function and then build your parameter = f( footprint ) function. log it in and use it for the real time run. you can keep updating those functions in real time. this is similar to manual optimisation where you do sample runs but in addition to that the OF gets updated in real time. b. ramp up period. you start with a ramp up period and update your 1 and 2 functions as you go along your SE will start with 0% and will be improving as those functions will be more and more accurate. the system like this will start trading real bad and then improve it's performance as it adapts and learns to trade better and better. the performance will taper off and stabilise as those functions are saturated.

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c. multiple parallel models: you run multiple systems based on different parameters and find the best performing one under changing market footprint and trade that best one. This approach however does not guarantee that the best performing current model will continue to be the best tomorrow. John Clayburg implemented this approach by running parallel performance functions in TS. It showed a little bit of improvement but not much. The reason again that you are chasing the best performing model that will not necessarily continue to perform good tomorrow ( best fit today is not necessarily will be the best fit tomorrow ) d. my approach. since I already went through all of the bs in paragraphs a through c what I do is the direct analytical approach - a shortcut. I ask myself a question how this specific market variable will affect my SE ( systems efficiency, performance ) or my P&L through direct math. First I try to tie as many parameters to market footprint ( market variable ) it allows me to make a shortcut and I don't have to find parameter = f ( market footprint ) function. market footprint becomes the parameter itself. Next, I try to answer the question of how will this market variable affect my PL analytically - I try to find SE = f ( footprint ) function by studying how, say, volatility affects my PL in the signal generator. if market becomes noisy how will it affect my PL in the system. the answer is simple: more noise you got less money you make. Last step is to measure market variable ( market footprint ) and through those functions adjust your algorithm to pump up your SE. This is the right approach and the best one. In short, your adaptive techniques should be built right into your trading algorithm. define market footprint ( which market variables hurt or improve your systems performance ) then: use those as your parameters so that the market will itself adjust those for you then define your signal generating algorithm to include those parameters and specify how those will affect your systems performance. -specify how your trading algorithm should change based on that parameter. that's it. it becomes self adaptive. an example: market footprint = noise level noise level = your parameter more noise -less profit less noise -more profit. if more noise then increase risk and lengthen time horizon to maximise profit and minimise loss. if less noise then decrease risk and shorten time horizon to maximise profit and minimise loss. a common parameter is lookback. in MA. Well, going by what is said is MA lookback has anything to do with a market footprint market variable - nope. You can't differentiate markets by MA lookback - toss it. another common lookback variable - ATR ( lookback ) defines a lookback in average true range calculation. Can ATR be used as a market variable to 396

define market footprint? possibly can. that's why ATR often referred to as "adaptive" variable - changing. but even ATR can vary based on lookback used. so, it's semi adaptive, you still have the lookback to deal with.

It is self evident that the first step in designing adaptive systems is to define market footprint in variables that require no parameters or allow only parameters will not affect variable measurement itself. If you try to define noise through ATR then ATR is dependent on lookback unless the lookback value is high. If lookback value is high, ATR will not be sensitive to it's most recent change. :-) go figure. Volatility also requires lookback. Almost everything there needs a damn lookback or a factor. However if you isolate the most recent swing (current trade) in the price and find pivot high and pivot low and find the duration of that swing and use that duration as a lookback then what your saying is that I only want to measure noise during the most current trade that I am in.. This becomes adaptive lookback and ATR becomes adaptive. then your market variable can be called - ATR of last tradable swing... and not ATR of some arbitrary lookback that you think is suitable. At the end it all comes down to about 4-5 market variables that you need to define and most of them have to do with volatility in one form of the other. Volatility is the main market variable! untradable volatility = noise = risk = lag min tradable volatility = vector deviation = min signal = reward = profit or loss differential. max tradable volatility = vector volatility = max signal = trend = sum of all positive and negative profit differentials ( profitable and unprofitable trades - risk and reward )= your total P&L. find noise then you can find the signal find the signal then you can find the trend. find the trend then you are done just don't use any fixed lookbacks and factors :-) This is pretty much it without any hard math thrown in. bilo. P.S. markets are dynamic, most systems are static that's why most systems don't work. and if you add irrational buy and sell rules on top of many input parameters, they don't work at all. ----- Original Message ----From: "rudolf stricker" <lists@tbus-muc.de To: <metastock@metastock.com Sent: Wednesday, February 06, 2002 12:16 PM Subject: adaptive systems - how to define appropriate time windows ?

List, using an adaptive system for day-to-day trading of DAX options, I wonder, which 397

criteria might be helpful to define "the best" time window to deal with ... Presently, I use a 5 years window, where the rating criteria to select an appropriate system are weighted something like exponentially over time. But at these rapidly changing markets, I get some unsatisfactory results: While my system shows nice results e.g. for long puts over the last year or so, this potential couldn't be used: my money management (based on 5 years) nearly stops me out from trading these system results, because the strategy working well for the last year doesn't show good results for at least some of the years before. So my questions are: What time period may be appropriate to construct a(n adaptive) trading system for a given equity? What criterions (to read from the equity's historical data) could help to define "the best" time period? What other aspects may be important to define an appropriate time window? Any hint is welcome ... mfg rudolf stricker | Disclaimer: The views of this user are strictly his own.

I'm not sure what you're looking for. What are you trying to adapt to? If you are trying to adapt your system to the current cycle length look at some of Dr. John Elhers indicators that measure cycle length. If you're trading options why not make the system adaptive to current or historical volatility. Personally I don't believe a "best" time period exists. That is too restrictive for me. A strongly trending stock will probably have a long cycle length while that same stock may have a very short cycle length if it is in a trading range. The problem with cycle lengths is that they are based on the past and not the future but they may provide a best guess as to the future cycle length.

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ON BALANCE VOLUME You will get a better feeling for open interest influence if you combine it with an on-balance-volume indicator. The best combination I found is OBVtd= OBVyest.+(( Close-open/ high-low)*VOLtoday). Try it, you'll like it. Ira Stewart Taylor wrote: Hi Stig; My interpretation of the OI drop is a bit different than yours. I consider a drop in OI as potentially bullish when it accompanies a violent/spike low or after a long trend.. hthe main requirement is that it occur over a relatively short period of time... My interpretation is that the last long that needed to capitulate capitulated and made the low and now buyers can begin to operate. Over a long period (like on the gold chart) I suspect that it is more an indication of lack of interest than anything else... funds don't employ margin in markets that are in trading ranges and markets in long-long trading ranges don't attract the trading publics attention. The good news... low levels of OI suggest that there is margin available to be deployed and support the trend (which ever way it materializes). Just another interpretation... Stew. At 04:24 AM 2/8/2002 , StigO wrote: part II Technical indicators is, in my opinion very bullish. I brushed up on Drummond this morning to check open Interest. And he is very clear when he says that falling OI at bottoms are very bullish (all the shorts are closing their poitions and new longs don't have the courage to buy - yet) Check out the lower histogram and how OI has declined since the 1999 low The middle indicator STRSI shows a very promising "hidden Divergence" very reliable and bullish. The pink histogram is Robert Miners Dynamic time Projection, which projects trend changes with the help if past tops/bottom and fib ratios. Looks like the next top will be around March 15 (Spring Equinox March 20 which is notorious for trend changes in Gold!!) So all in Medium term bullish for Gold. The June Gold contract is next.

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To cut out the noise I have used closing prices, which gave sone surprising result not evident on Bar charts. The chart suggests we have broken many levels. 1. The 38,2 fib retracement og the AC decline 2. The 50% retracement of the BC decline which O associate to the 3 tops which also has been broken 3. No matter how you draw the trendlines they have been broken 3 days ago - 2 days ago they were tested and yesterday we took off again 4. If we break the 61.8% retracement level (at 302)of the BC decline it looks VERY promising (we are at 306 right now) 5. 2 forks with 50% offset (black and blue) have also been broken at the trendline level. If you use bar charts you get quite different meaningless result -try it out. Since most people use barcharts today (I guess), what you see in the close only chart is not so evident. Fridays are good days for explosions - let's see what happens today.... Thanks D for poking at me - now I am convinced - I'll keep my DROOY for a while longer. Regards Stig

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Book List

GANN How to Trade Using the Methods of W.D. Gann. by william McLaren, Profits in the Stock Market by H.M. Gartley The Truth of the Stock Tape by W.D. Gann How to Make Profits in Commodities by W.D.Gann Tunnel Through the Air by W.D.Gann The W.D.Gann Stock Market Course by W.D.Gann The W.D. Gann Commodity Course by W.D.Gann

LIST OF BOOKS AND COURSES: 1997 Advanced Get Seminar manual Advanced Get manual K. Anand The Science of Automatic Option Profits G. Angell Profitable Day Trading with Precision with audio tape G. Angell Advanced Breakthroughs in Day Trading G. Angell The Essential Secrets of Day Trading G. Angell Agricultural Options G. Angell Floor Traders Confidential Handbook G. Angell West of Wall Street M. Arnold Trading on tomorrows headlines R. Barach Mindtraps Mastering the inner world of investing R. Barnes High Impact Day Trading R. Barnes Trading in a choppy market J. Berstein How the Futures Market Works J. Berstein Seasonal Traders Bible J. Bernsatein Cyclic Analysis in Futures Trading T. Bierovic Synergetic Technical Analysis 3 vols plus 3 audio tapes W. Bressert The Power of Oscillator/Cycle Combination M. Boucher The Science of Trading manual plus 11 audio tapes - RSI course K. Calhoun 5VBTP manual plus indicators on TS K. Calhoun - Commodity Trading Manual Eight $10k trading Systems K. Calhoun 5 commodity lesssons video tape D. Caplan The new options secret volatility D. Caplan Opportunities in Options Options Strategy Guide D. Cassiday It is when you sell that counts C. Alexander - Five Start Future Trades L. Connors & B. Hayward Investment Secrets of a Hedge Fund Manager L. Connors Connors on Advanced Trading Strategies plus indicators on TS L. Connors & L. Raschke Street Smart plus indicators on TS J. Conway Rhythm of Markets: Ed Moores Trading Methodology T. Crabel Day trading with Short Term Price Patterns 401

J. Crane A Traders Handbook The Reversal Day Phenomenon J. Cooper Hit & Run I plus indicators on TS J. Cooper Hit & Run II J. Cooper 5 Day Momentum Method plus indicators on TS B. Cowan _ Geometry of the Markets _ 4 vols J. Cuddy Market Turning Point Detection J. DiNapoli Trading DiNapolis levels plus software M. Douglas The Disciplined Trader J. Duffy Pulsar Trading System J. Duffy Turning Point Analysis in Price & Time Dynamic Gann Levels manual A. Elder Trading for a Living Book A. Elder Trading for a Living Guide W. Eng The Day Traders Manual B. Farrell Day Trade Online D. Fishback ODDS The Key to 90% Winners booklet G. Fontanils Optionetics manual plus 11 audio tapes M. Friedfertig The Electronic Day Trader N. Gandevani The Winning Edge Day Trading System N. Gandevani Winning Edge Advanced Trading Strategies W. Garrett Torque Analysis L. Gettess- Scorpion my personal trading system A. Gietzen Real-Time Futures Trading C. Gilmore Dynamic Time & Price Analysis of Market Trends C. Goslin - Intelligent Futures Trading G. Heffernan Accutrader system E. Hurwitz Visual Trading Method H.E.L.P. seminar manual plus 2 audio tapes J. Hyerczyk Pattern Price and Time Inversion Point System J. Jackson Detecting High Profits Day Trades in Futures Markets M. Jenkins Chart Reading for Professional Traders M. Jenkins The Geometry of Stock Market Profits D. Jobman The Handbook of Technical Analysis E. C. Kase Trading with the odds plus indicators on TS P.J. Kaufman Trading systems and methods P.J. Kaufman Smarter trading R. Kinsman Hidden Patterns R. Krausz - The Gann Treasury Discovered R. Jones Eight Secrets to Amassing $1 Million within 5 years M. Jurik Computerized trading S. Krieger How to become real time commodity futures trader J. Krutsinger Trading Systems Secrets of the Masters H. Lloyd The RSL Market Timing System G. Marisch's "W.D Gann Method of Trading McMillan McMillan on Options R. Miner Dynamic Trader trading Course R. Miner Dynamic Trading T. Mitchell How to Profitably and Consistently Make Money Day Trading S&P manual + video tapes E. Moore Rhythm of the Markets: Option Magic

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A. Namrevo The S.I.M.P.L.E. system S. Nison Beyond Candlesticks S. Nison Japanese Candlesticks Charting Techniques H. Neill _- The Art of Contrarian Thinking G. Noble The Traders Edge plus audio tape W. ONeil How to make money in stocks O Shaugnessy What works on Wall Street L. Pesavento Fibonacci Ratios with Pattern Recognition L. Pesavento Planetary harmonics of speculative markets R. Pardo Design, testing and optimization of trading systems The Pitbull Investor Guide to Shorting Hi-Performance Stocks - The Eagle I Options Speculator - Stock market Crash Forecaster - A Disciplined Tactical Stock Investment System F. Putt Using Easy Language

G. Raff Trading the Regression Channel K. Roberts The Worlds most powerful money manual J. Ross TNT I J. Ross TNT II J. Ross How to Place Trading Orders manual + 4 audio tapes J. Ross Trading is a business J. Ross Trading by the minute J. Ross Trading by the book J. Ross Trading Options and Futions J. Ross Trading the Ross Hook J. Ross Trading Spreads and Seasonals G. Rudd Stock Patterns for Day trading vol. 1

R. Sands Turtle Secrets N. Sambul Top Traders Guide to Technical Analysis P. Shaughnessy 1992 P&L seminar ( Drummond Geometry) M. Silber& J. Bernstein Stochastic Fantastic G. Smith Live the Dream by Profitably Day Trading Stock Futures J. Snyder The Way of the Hunter Warrior V. Sperandeo Trader Vic II K. Staley The Art of Short Selling P. Steidlmayer Steidlmayer on Markets GD Taylor The Taylor Trading Technique H. Taylor Mastering Foreign Exchange & Currency Options The Tradehard.com- Guide to Conquering the Trading Markets M. Turner Day Trading into the Millennium R. Vince The New Money Managament D. Vodopich Trading for Profits with Precision Timing J. Walker Short Selling

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M. Walker How to identify High Profit Elliott Wave Trades in Real Time B. Warrick Event Trading R. Wasendorf Foreign Currency Trading D. Weis Trading with Elliott Wave Principle N. Weintraub Tricks of floor trader R. Weist You cant loose trading commodities W. Wilder The Delta Phenomenon Book plus software B. Williams Trading Chaos B. Williams New Trading Dementions L. Williams Long Term Secrets to Short Term Trading L. Williams Sure Thing Commodity Trading L. Williams How I made 1 million trading commodities L. Williams The Money Tree course L. Williams The secret of selecting stocks for immediate and substantial gains L. Williams The Definitive Guide to Futures Trading vol. 1 L. Williams The Definitive Guide to Futures Trading vol. 2 B & B Wolfe Seeing the Future ( Trading the Wolfe Wave) C. Wright Trading is a business

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RWI

Purpose: Calculates the high and low Random Walk Indicator Description: The Random walk indicator is used to determine if an issue is trending or in a random trading range. It attempts to do this by first determining an issue's trading range. The next step is to calculate a series of RWI indexes for the maximum look-back period. The largest index move in relation to a random walk is used as today's index. An issue is trending higher if the RWI of highs is greater than 1, while a downtrend is indicated if the RWI of lows is greater than 1. PowerScript: RWI (ByVal term As Integer, hiArray As Object, loArray As Object) As Integer Parameters: Formula: ATR = Average Trading Range RWI high = (High - LowN) / ATR * n sqrt(n) RWI low = (HighN- Low) / ATR * n sqrt(n) Interpretation:

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KNewPeakindicator

Inputs: f(2), password(5),n1(8),n2(65); value50 = kpo(password,n1,n2); value1= (AVERAGE(absvalue(value50),50)) + (F*(StdDev(absvalue(value50),50))); value4 = maxlist(100,value1); value2 =minlist(100,value1); Plot1(value50, "PeakOsc"); if value50 > 0 then value6 = value4 else value6 = -value4; Plot2(value6,"PeakOut"); if value50[1] > 0 and value50[1] >value50 and value50[1] >= value50[2] and value50[1] >= value4 then begin plot3(value50[1],"PeakConfirm"); end; if value50[1] < 0 and value50[1] < value50 and value50[1] <= -value4 and value50[1] <= value50[2] then begin plot3(value50[1],"PeakConfirm"); end; if value50 > 0 then value23 = value2 else value23 = -value2; Plot4(value23,"PeakMin");

KPeak Oscillator

Inputs: f(2), password(5); value50 = xpo(password); value1= (AVERAGE(absvalue(value50),50)) + (F*(StdDev(absvalue(value50),50))); value4 = maxlist(100,value1); value2 =minlist(100,value1); Plot1(value50, "PeakOsc"); if value50 > 0 then value6 = value4 else value6 = -value4; Plot2(value6,"Peak-Out"); if value50[1] > 0 and value50[1] >value50 and value50[1] >= value50[2] and value50[1] >= value4 then begin plot3(value50[1],"PeakConfirm"); 406

end; if value50[1] < 0 and value50[1] < value50 and value50[1] <= -value4 and value50[1] <= value50[2] then begin plot3(value50[1],"PeakConfirm"); end;

Inputs: f(2), password(5); value50 = xpo(password); value1= (AVERAGE(absvalue(value50),50)) + (F*(StdDev(absvalue(value50),50))); value4 = maxlist(90,value1); if value50 >0 then begin Plot1(value50, "PeakOsc"); end; if value50 <0 then begin Plot3(value50, "PeakOsc"); end; if value50 > 0 then value6 = value4 else value6 = -value4; Plot2(value6,"Peak-Out"); if value50 > 0 then value23 = value1 else value23 = -value1; Plot4(value23,"Peak-Outx");

KCD Indicator

Inputs:password(5); value1 = xkcd(password); if value1 >0 then begin Plot1(value1, "KaseCD"); end; if value1 < 0 then begin Plot2 (value1, "KaseCD"); end;

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Kperm Fn

Inputs:LENGTH(9),X(5),password(5); Plot1(XPermLong(LENGTH,X,PASSWORD), "PermLong"); Plot2(XPermShort(LENGTH,X,PASSWORD),"PermShort");

Inputs:password(5); if xAvg(password) = 011784021852 then begin Vars: TrK(0),TrDF(0), TrDS(0),factor(0); Value1 = Lowest(Low,(5*9)); Value2 = Highest(High,(5*9)) - Value1; Value3 = Close; If Value2 > 0 then TrK = (Value3 - Value1) / Value2 * 100 Else TrK = 0; If CurrentBar <= 1 then begin Factor = 2 / (3 + 1); TrDF = TrK; End Else TrDF = TrDF[5] + (Factor * (TrK - TrDF[5])); If CurrentBar <= 1 then TrDS = TrDF Else TrDS= ((TrDS[5] * 2) + TrDF) / 3; value1 =average(average(trDS,3),2); value2 =average(average(TrDF,3),2); condition1 = value1>85 and value2>85 and (absvalue(value2-value1) <2); condition2 = value1<(100-85) and value2<(100-85) and ((value2-value1) > 2); condition3 = value2>(100-85) and ( value2>value1); if condition1 = true or condition2 = true or condition3 = true then value8 = 10 else value8 = 0; value99 = MACD(Close,5,34) XAverage(MACD(Close,5,34),8); VALUE98 = (RSI(CLOSE,9)) - (AVERAGE(RSI(CLOSE,9),15)); 408

if value98<0 and value8 = 0 then ploT1(HIGH,"short"); value50 = slowk(21); value51 = slowd(21); if value99<0 and value8 = 0 then plot2(low,"short"); condition11 = value50>85 and value51>85 and (absvalue(value50-value51) <2); condition12 =value51<(100-85) and value50<(100-85) and ((value50-value51) > 2); condition13 = value50>(100-85) and ( value50>value51); if condition11 = true or condition12 = true or condition13 = true then value18 = 10 else value18 = 0; if value18 = 0 and value8 = 0 then plot3(medianprice,"short"); end;

Inputs:password(5); Vars: TrK(0),TrDF(0), TrDS(0),factor(0); if xAvg(password) = 011784021852 then begin Value1 = Lowest(Low,(5*9)); Value2 = Highest(High,(5*9)) - Value1; Value3 = Close; If Value2 > 0 then TrK = (Value3 - Value1) / Value2 * 100 Else TrK = 0; If CurrentBar <= 1 then begin Factor = 2 / (3 + 1); TrDF = TrK; End Else TrDF = TrDF[5] + (Factor * (TrK - TrDF[5])); If CurrentBar <= 1 then TrDS = TrDF Else TrDS= ((TrDS[5] * 2) + TrDF) / 3; value1 =average(average(trDS,3),2); value2 =average(average(TrDF,3),2); condition1 = value1>85 and value2>85 and (absvalue(value2-value1) <2); condition2 = value1<(100-85) and value2<(100-85) and ((value2-value1) > 2); condition3 = value2>(100-85) and ( value2>value1); if condition1 = true or condition2 = true or condition3 = true then value8 = 10 else value8 = 0; value99 = MACD(Close,5,34) -

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XAverage(MACD(Close,5,34),8); VALUE98 = (RSI(CLOSE,9)) - (AVERAGE(RSI(CLOSE,9),15)); value50 = slowk(21); value51 = slowd(21); condition11 = value50>85 and value51>85 and (absvalue(value50-value51) <2); condition12 =value51<(100-85) and value50<(100-85) and ((value50-value51) > 2); condition13 = value50>(100-85) and ( value50>value51); if condition11 = true or condition12 = true or condition13 = true then value18 = 10 else value18 = 0; if value99>0 and value8 = 10 then plot1(high,"long"); if value18 = 10 and value8 =10 then plot2(MedianPrice,"long"); if value98>0 and value8 = 10 then plot3(LOW,"long"); end;

KCDL Piercing

Inputs:Thold(75),password(5); Vars:BodySize(0),x(0); if xavg(password)= 011784021852 then begin x = 0.2*Average((high-low),5); {============================================================ ===} if open < close then value1 = close; if open < close then value2 = open; if open > close then value1 = open; if open > close then value2 = close; if open = close then value1 = open; if open = close then value2 = open;

{BULLISH PIERCING} value99 = (value1 - value2); BodySize = Average(value99,50); if value99 = (bodysize/2) or value99 > (bodysize/2) then begin if slowk(13) <(100 - Thold) and close > open and open < value2[1] and close > ((value2[1] + value1[1])/2) AND CLOSE < VALUE1[1] then plot1(low-x,"piercing");

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{BEARISH PIERCING} if slowk(13) >(Thold) and close < open and open > value1[1] and close < ((value2[1] + value1[1])/2) AND CLOSE > VALUE2[1]then plot2(high+x,"piercing"); end; end;

inputs:password(5); if XD(password) = 1 then plot3(MedianPrice,"long"); if XD(password)= -1 then plot4(medianprice,"short");

Inputs: password(5); Vars: TrK(0),TrDF(0), TrDS(0),factor(0); if xAvg(password) = 011784021852 then begin Value1 = Lowest(Low,(5*9)); Value2 = Highest(High,(5*9)) - Value1; Value3 = Close; If Value2 > 0 then TrK = (Value3 - Value1) / Value2 * 100 Else TrK = 0; If CurrentBar <= 1 then begin Factor = 2 / (3 + 1); TrDF = TrK; End Else TrDF = TrDF[5] + (Factor * (TrK - TrDF[5])); If CurrentBar <= 1 then TrDS = TrDF Else TrDS= ((TrDS[5] * 2) + TrDF) / 3; value1 =average(average(trDS,3),2); value2 =average(average(TrDF,3),2);

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{from the top} condition4 = value2 > value1 + (11.5); if value2>(100-25) and ((condition4[1] = true and value2 < value2[1]) or (condition4[2] = true and value2 + 4 < value2[2])) then value10 = 10 else value10 = 0; {from the bottom} condition14 = value2 < value1- (11.5); if value2 < 25 and ( (condition14[1] = true and value2 > value2[1]) or (condition14[2] = true and value2 - 4 > value2[2])) then value11 = 10 else value11=0; value3 = close/100; value99 = MACD(Close,5,34) XAverage(MACD(Close,5,34),8); VALUE98 = (RSI(CLOSE,9)) - (AVERAGE(RSI(CLOSE,9),15)); condition11 = SlowK(21)>85 and slowD(21)>85 and (absvalue(SlowK(21)slowD(21)) <2); condition12 =slowD(21)<(100-85) and SlowK(21)<(100-85) and ((SlowK(21)slowD(21)) > 2); condition13 = SlowK(21)>(100-85) and ( SlowK(21)>slowD(21)); if condition11 = true or condition12 = true or condition13 = true then value18 = 10 else value18 = 0; if value98>0 and value11 = 10 then plot3(LOW,"long"); if value18 = 10 and value11 =10 then plot2(MedianPrice,"long"); if value99>0 and value11 = 10 then plot1(high,"long");

if VALUE98<0 AND VALUE18 = 0 AND VALUE99<0 AND value11 = 10 then plot4(low - value3,"warnsht"); end;

Inputs:password(5); Vars: TrK(0),TrDF(0), TrDS(0),factor(0); if xAvg(password) = 011784021852 then begin Value1 = Lowest(Low,(5*9)); Value2 = Highest(High,(5*9)) - Value1; Value3 = Close; If Value2 > 0 then TrK = (Value3 - Value1) / Value2 * 100 Else

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TrK = 0;

If CurrentBar <= 1 then begin Factor = 2 / (3 + 1); TrDF = TrK; End Else TrDF = TrDF[5] + (Factor * (TrK - TrDF[5])); If CurrentBar <= 1 then TrDS = TrDF Else TrDS= ((TrDS[5] * 2) + TrDF) / 3; value1 =average(average(trDS,3),2); value2 =average(average(TrDF,3),2); {from the top} condition4 = value2 > value1 + (11.5); if value2>(100-25) and ((condition4[1] = true and value2 < value2[1]) or (condition4[2] = true and value2 + 4 < value2[2])) then value10 = 10 else value10 = 0; {from the bottom} condition14 = value2 < value1- (11.5); if value2 < 25 and ( (condition14[1] = true and value2 > value2[1]) or (condition14[2] = true and value2 - 4 > value2[2])) then value11 = 10 else value11=0;

value3 = close/100;

value99 = MACD(Close,5,34) xAverage(MACD(Close,5,34),8); VALUE98 = (RSI(CLOSE,9)) - (AVERAGE(RSI(CLOSE,9),15)); condition11 = SlowK(21)>85 and slowD(21)>85 and (absvalue(SlowK(21)slowD(21)) <2); condition12 =slowD(21)<(100-85) and SlowK(21)<(100-85) and ((SlowK(21)slowD(21)) > 2); condition13 = SlowK(21)>(100-85) and ( SlowK(21)>slowD(21)); if value98<0 and value10 =10 then ploT1(HIGH,"short"); if value99<0 and value10 = 10 then plot2(low,"short"); if condition11 = true or condition12 = true or condition13 = true then value18 = 10 else value18 = 0; if value18 = 0 and value10 = 10 then plot3(medianprice,"short");

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if value10 = 10 AND VALUE99>0 AND VALUE98>0 AND VALUE18=10 then plot4(high + value3,"warnlng"); end;

Permission stochastic

Inputs : length(9), x(5),password(5); plot1(XPermK(length,x,password),"XPermK"); plot2(XPermD(length,x,password),"XPermD");

XPERMD

Inputs: Length(numericsimple),x(numericsimple),password(numericsimple); if xAvg(password) = 011784021852 then begin XPermD = average(average(XTDS(length,x,password),3),2); END;

XPERM K

Inputs: Length(numericsimple),x(numericsimple),password(numericsimple); if xAvg(password) = 011784021852 then begin XPermK = average(average(XTDF(length,x,password),3),2); END;

XPERM LONG

Input:length(numeric),x(numeric),password(numericsimple); if xAvg(password) = 011784021852 then begin condition1 = XPermd(length,x,password)>85 and XPermk(length,x,password)>85 and (absvalue(XPermk(length,x,password)XPermd(length,x,password)) <2); condition2 = XPermd(length,x,password)<(15) and XPermk(length,x,password)<(15) and ((XPermk(length,x,password)XPermd(length,x,password)) > 2); condition3 = XPermk(length,x,password)>(15) and ( XPermk(length,x,password)>XPermd(length,x,password)); if condition1 = true or condition2 = true or condition3 = true then XPermLong=1 else XPermLong = 0 ;END;

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XPERM Short

Input:length(numeric),x(numeric),password(numeric); if xAvg(password) = 011784021852 then begin condition11 = XPermd(length,x,password) < (15) and XPermk(length,x,password) < (15) and (absvalue(XPermk(length,x,password)-XPermd(length,x,password)) <2); condition12 = XPermd(length,x,password)>85 and XPermk(length,x,password)>85 and ((XPermd(length,x,password)-XPermk(length,x,password)) > 2); condition13 = XPermk(length,x,password)<85 and (XPermk(length,x,password)< XPermd(length,x,password)); if condition11 = true or condition12 = true or condition13 = true then XPermShort = 1 else XPermShort = 0 ;END;

XD

inputs: password(numeric); if xAvg(password) = 011784021852 then begin Vars: TrK(0),TrDF(0), TrDS(0),factor(0); Value1 = Lowest(Low,(5*9)); Value2 = Highest(High,(5*9)) - Value1; Value3 = Close; If Value2 > 0 then TrK = (Value3 - Value1) / Value2 * 100 Else TrK = 0;

If CurrentBar <= 1 then begin Factor = 2 / (3 + 1); TrDF = TrK; End Else TrDF = TrDF[5] + (Factor * (TrK - TrDF[5])); If CurrentBar <= 1 then TrDS = TrDF Else TrDS= ((TrDS[5] * 2) + TrDF) / 3; value1 =average(average(trDS,3),2); value2 =average(average(TrDF,3),2); condition1 = value1>85 and value2>85 and (absvalue(value2-value1) <2); condition2 = value1<(100-85) and value2<(100-85) and ((value2-value1) > 2);

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condition3 = value2>(100-85) and ( value2>value1); if condition1 = true or condition2 = true or condition3 = true then value8 = 10 else value8 = 0; condition11 = SlowK(21)>85 and slowD(21)>85 and (absvalue(SlowK(21)slowD(21)) <2); condition12 =slowD(21)<(100-85) and SlowK(21)<(100-85) and ((SlowK(21)slowD(21)) > 2); condition13 = SlowK(21)>(100-85) and ( SlowK(21)>slowD(21)); if condition11 = true or condition12 = true or condition13 = true then value18 = 10 else value18 = 0; if value18 = 10 and value8 = 0 then xD = 1; if value18 = 0 and value8 =10 then xD = -1; if (value18 = 0 and value8 = 0) or (value18 = 10 and value8 = 10) then xD = 0; end;

XKCD

INPUTS:password(numericsimple); if xAvg(password) = 011784021852 then begin xkcd= xpo(password) - average(xpo(password),8); end;

KpermissionFn

Inputs:LENGTH(9),X(5),password(5); Plot1(XPermLong(LENGTH,X,PASSWORD), "PermLong"); Plot2(XPermShort(LENGTH,X,PASSWORD),"PermShort");

KdevStops

Inputs : L1(30), v1(2.2), v2(3.6), L2(10), L3(21), p1(close), p2(high),p3(low),password(5); if XDev(L1,0,L2,L3,P1,P2,p3,password) > (p3/2) then begin Plot1(XDev(L1,0,L2,L3,P1,P2,p3,password),"warning"); Plot2(XDev(L1,1,L2,L3,P1,P2,p3,password),"Dev1"); Plot3(XDev(L1,v1,L2,L3,P1,P2,p3,password),"Dev2"); Plot4(XDev(L1,v2,L2,L3,P1,P2,p3,password),"Dev3"); end;

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XDEV

Inputs : L1(numericsimple), s1(numericsimple), L2(numericsimple), L3(numericsimple), p1(numericseries), p2(numericseries),p3(numericseries),password(numericsimple); Vars: Avg1(P1),Avg2(P1),oscl(0); if xAvg(password) = 011784021852 then begin Avg1 = @Average(P1,L2); Avg2 = @Average(P1,L3); If CurrentBar > 1 then begin If Avg1 > Avg2 then begin oscl = 1; end; If Avg1 < Avg2 then begin oscl = -1; end; End; If (oscl[1] < 0 and oscl >0) then begin value80 = p2; end; If (oscl[1] > 0 and oscl <0) then begin; value80 = p3; end; If oscl > 0 then begin if value80 < p2 then value80 = p2; XDev = Value80 - XRev(s1,l1,p1,p2,p3,password); end; If oscl <0 then begin if value80 > p3 then value80 = p3; XDev = Value80 +XRev(s1,l1,p1,p2,p3,password); end;

end;

XREV

inputs: s1(numericsimple), l1(numericsimple), p1(numericseries), p2(numericseries),p3(numericseries),password(numericsimple); Vars: TRD(P2-P3),ATR(0), DTR(0),temp(P2-P3); if xAvg(password) = 011784021852 then begin 417

Value90 = MaxList(p2, p2[1],p1[2]); Value92 = MinList(p3,p3[1],p1[2]); TRD = Value90 - Value92; if date> date[1] and datacompression < 2 and value1[1] > 0 then value1= value1[1] else if date > date[2] and datacompression < 2 and value1[2] > 0 then value1= value1[2] else value1 = trd; ATR = Average(TRD,l1); DTR = stddev(trd, l1);

temp = ATR + (s1* DTR); if temp > 0 then XRev = temp else XRev = s1* (p2-p3); end;

Inputs: CDDrvLet("D:\"), PctRLen(10); Vars: TrendDirec(0), DnClose(0), UpClose(0),SlamDay(0), SlamDaydn(0), PCTR(0), String1(""), KRFake(False), DistDay(False), RingLow(False), SmlRng(False), OutDayBear(False), HTwenty(False), HFifty(False), LTwenty(False), LFifty(False), ExtremeUp(False), ExtremeDn(False), STTop(False), STBot(False), InDay(False), Decl(False), Rally(False), RallyDnC(False), TDChgBull(False), TDChgBear(False), PctRUp(False), PctRDn(False), SDHFail(False), SDLFail(False), SmlRngPrev(False), KRFakeFail(False), DistDayFail(False), RingLowFail(False), CDDrive(""), PCTR5(0); DefineDLLFunc: "LWCOM32.DLL",lpstr,"CreateCommentary", lpfloat, lpfloat, lpfloat, lpfloat, lpfloat, lpfloat, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, Bool, lpfloat; CDDrive=LeftStr(CDDrvLet, 1); TrendDirec=TDirec; Value1=Ring; if Close<Low[1] then SlamDay=1 else SlamDay=0; if Close>High[1] then SlamDayDn=1 else SlamDayDn=0;

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PctR=PercentR(PctRLen); PCTR5=PctR[3]; If Close<Close[5] then DnClose=DnClose+1 Else DnClose=0; If Close>Close[5] then UpClose=UpClose+1 Else UpClose=0; KRFake= High>High[1] and Low>Low[1] and Close<Open and Close[1]>Open[1]; KRFakeFail=KRFake[1] and High<High[1]; DistDay=Close > High[1] and Close<Open; DistDayFail=DistDay[1] and High<High[1]; RingLow=Value1>=1 and Value1<=6 and Low>Low[Value1+1]; RingLowFail=RingLow[1] and RingLow=false and High<High[1]; SmlRng=Average(Range,2)<Average(Range,7); SmlRngPrev=SmlRng[1]; OutDayBear=High > High[1] and Low < Low[1] and Close<Low[1] and Close[1]>Open[1]; HTwenty=High=Highest(High,20); HFifty=High=Highest(High,50); LTwenty=Low=Lowest(Low,20); LFifty=Low=Lowest(Low,50); ExtremeUp=Close>=High-(range*.10) and Close>Close[5] ; ExtremeDn=Close<=Low+(range*.10) and Close<Close[5] ; STTop=Close>Highest(High,10)[1] and High-Close < Range*.10; STBot=Close<Lowest(Low,10)[1] and Close-Low < Range*.10; InDay=High<High[1] and Low>Low[1]; Decl=Low<=Low[5]; Rally=High>=High[5] and Close>Open; RallyDnC=High>=High[5] and Close<Open; TDChgBull=TrendDirec=1 and TrendDirec[1]<>1; TDChgBear=TrendDirec=-1 and TrendDirec[1]<>-1; PctRUp=PctR>Pctr[1]; PctRDn=PctR<Pctr[1]; SDHFail=SlamDay[1]=1 and High<High[1]; SDLFail=SlamDayDn[1]=1 and Low>Low[1];

If CheckCommentary and AtCommentaryBar and currentbar > 0 then begin String1=CreateCommentary(&TrendDirec, &PctR, &SlamDay, &SlamDayDn, &DnClose, &UpClose, TDChgBull, PctRUp, SDHFail, TDChgBear, PctRDn, SDLFail, SmlRng, SmlRngPrev, OutDayBear, KRFake, KRFakeFail, HTwenty, HFifty, LTwenty, LFifty, ExtremeUp, ExtremeDn, StTop, StBot, DistDay, DistDayFail, InDay, Decl, Rally, RallyDnC, RingLow, RingLowFail, &Pctr5); Vars: MVLoop(0), MVRef(0), MVCond(False), MVPos(0); MVPos=1; MVRef=MakeNewMovieRef;

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for MVLoop=1 to (StrLen(String1)/12) begin MVCond= AddToMovieChain(MVRef,CDDrive+":\vid1\"+MidStr(String1,MVPos,12)); MVPos=MVPos+12; End; MVCond = PlayMovieChain(MVRef); End; if TDirec>0 then Plot1(TDirec,"TrendUp"); if TDirec<0 then Plot2(ABsValue(TDirec),"TrendDn");

DeMark Expert

{******************************************************************* Description : This Indicator plots the Thomas DeMark Expert Provided By : Omega Research, Inc. (c) Copyright 1999 ********************************************************************} Inputs: CDDrvLet("D"), OverBght(+45), OverSold(-45), AvgLen(10), MAtype(1), REI_Bars(5); DefineDLLFunc: "TDCOM32.DLL", lpstr, "createCommentary", lpstr, lpfloat, lpfloat, lpfloat, lpfloat, lpfloat, lpfloat, lpfloat, lpfloat, bool, bool, bool, bool; Vars: TDSEQ(0), REIval(0), REIvot(0), Counter(0), hiChannel(0), loChannel(0), chavot(0), Str1(""), Str2(""), Str3(""), ReiValCond1(False), ReiValCond2(False), ChaVotCond1(False), ChaVotCond2(False), REIBars(0), CDDrive(""); Vars: MVLoop(0), MVRef(0), MVCond(False), MVPos(0); CDDrive=LeftStr(CDDrvLet, 1); TDSEQ = TDC.SEQ.SetUp (4, 9, False, Close, 4, False) ; REIval = TDC.REI (REI_Bars, 2, 7, 5, True) ; hiChannel = TDC.Channel2.hi (High, 3, 1.0050, AvgLen) ; loChannel = TDC.Channel2.lo (Low, 3, .9950, AvgLen) ; REIBars=REI_Bars; If REIval > OverBght and REIval[1] <= OverBght then Counter = 0 ; If REIval > OverBght then Counter = Counter + 1 ; If REIval < OverSold and REIval[1] >= OverSold then Counter = 0 ; If REIval < OverSold then Counter = Counter + 1 ; REIvot = 0 ; If REIval > REIval[1] and REIval < OverSold then REIvot = -3 ; If REIval <= REIval[1] and REIval < OverSold then REIvot = -2 ; If REIval < REIval[1] and REIval <= OverBght and REIval >= OverSold then REIvot = -1 ; If REIval = REIval[1] and REIval <= OverBght and REIval >= OverSold then REIvot = 0 ;

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If REIval > REIval[1] and REIval <= OverBght and REIval >= OverSold then REIvot = +1 ; If REIval >= REIval[1] and REIval > OverBght then REIvot = +2 ; If REIval < REIval[1] and REIval > OverBght then REIvot = +3 ; chavot = 0 ; If Close > hiChannel then chavot = -2 ; If High > hiChannel and Close <= hiChannel then chavot = -1 ; If Low < loChannel and Close >= loChannel then chavot = +1 ; If Close < loChannel then chavot = +2 ; ReiValCond1= REIval >= OverSold and REIval[1] < OverSold; ReiValCond2= REIval <= OverBght and REIval[1] > OverBght; ChaVotCond1= chavot[1] = +2 and chavot < +2; ChaVotCond2= chavot[1] = -2 and chavot > -2;

Plot1 (REIval, "TDC.REI ") ; Plot3 (OverBght, "OverBght") ; Plot4 (OverSold, "OverSold") ; If CheckCommentary and AtCommentaryBar then begin Str1 = "" ; Str2 = " unchanged" ; If REIval > REIval[1] then STR2 = " and rising" ; If REIval < REIval[1] then STR2 = " and falling" ; Str1 = Str1 + "TD REI = " + NumToStr (REIval, 2) + Str2 + ". TD Channel II high = " + NumToStr (hiChannel, 4) + ", low = " + NumToStr (loChannel, 4) + "." +Newline+NewLine ; Str2 = "" ; str3=""; str3=createcommentary(Str1, &TDSEQ, &REIval, &REIvot, &REIBars, &Counter, &hiChannel, &loChannel, &chavot, Reivalcond1, reivalcond2, chavotcond1, chavotcond2); Commentary(NewLine+NewLine+"For More Information on the 'DeMark Indicators' contact: "+NewLine+"Duane Davis"+Newline+"P.O. Box 736"+NewLine+"Fairview, NC 28730"+NewLine+"(828) 628-4222 Voice"+NewLine+"(828) 628-3100 Fax"); MVPos=1; MVRef=MakeNewMovieRef; for MVLoop=1 to (StrLen(Str3)/12) begin MVCond= AddToMovieChain(MVRef,CDDrive+":\vid2\"+MidStr(Str3,MVPos,12)); MVPos=MVPos+12; End; MVCond = PlayMovieChain(MVRef); End;

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does anyone know the origin and/or background of this indicator? seems to work but indicator looks strange. see the following: rwi_up indicator: Inputs: Len(NumericSimple); {Lookback period} Vars: k(0), x(0), counter(0), AverageRange(0); k = 0; x = 0; If CurrentBar <> 0 then Begin k = LowestBar(Low,Len); For counter = 0 to k - 1 Begin x = TrueRange2(H,L,C)[counter] + x; End; If k <> 0 then AverageRange = x / k; If AverageRange * SquareRoot(k) <> 0 then RWI_Up = (High[0] - Lowest(Low,Len)) / (AverageRange * SquareRoot(k)); End; signal: Inputs: Len(25); Value1 = RWI_Up(Len); Value2 = RWI_Down(Len); If CurrentBar > 1 then begin If Value1 >= 1 and Value2 < If Value1 < 1 and Value2 >= end; If CurrentBar > 1 then begin If Value1 < 1 and Value2 >= If Value1 >= 1 and Value2 < End;

1 then Buy on close; 1 then ExitLong; 1 then Sell on close; 1 then ExitShort;

March 2002

Formula for the system dicussed in "Putting stops to the test," by Thomas Stridsman (p. 82): If High[1] < High[3] and Close[1] < Open[1] and Open < High[1] and High > High[1] Then Plot1(High * 1.01, ); If Low[1] > Low[3] and Close[1] > Open[1] and Open > Low[1] and Low < Low[1] Then Plot2(Low * 0.99, ); Inputs: TestRuns(9), ExitLevels(0); Variables: EntryTrigger(0), LongStopLoss(0), ShortStopLoss(0), ExitTrigger(0); EntryTrigger = IntPortion(Random(2));

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ExitTrigger = (ExitLevels / 5 + 0.2) / 100; If EntryTrigger = 1 and MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; LongStopLoss = 1 - ExitTrigger; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; ShortStopLoss = 1 + ExitTrigger; End; End; If MarketPosition = 1 Then ExitLong Next Bar at EntryPrice * LongStopLoss Stop; If MarketPosition = -1 Then ExitShort Next Bar at EntryPrice * ShortStopLoss Stop; If BarsSinceEntry = 4 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Variables: NoTrades(0), MarPos(0), TrProfit(0), SumTrProfit(0), AvgTrade(0), TestString(""), FileString(""); NoTrades = TotalTrades; MarPos = MarketPosition; If NoTrades > NoTrades[1] Then Begin If MarPos[1] = 1 Then TrProfit = (ExitPrice(1) - EntryPrice(1)) * 100 / EntryPrice(1); If MarPos[1] = -1 Then TrProfit = (EntryPrice(1) - ExitPrice(1)) * 100 / EntryPrice(1); SumTrProfit = SumTrProfit + TfProfit; End; If LastCalcDate = Date + 1 Then Begin AvgTrade = SumTrProfit / NoTrades; TestString = LeftStr (GetSymbolName, 5) + "," + NumToStr(TestRuns, 0) + "," + NumToStr(ExitTrigger*100, 2) + "," + NumToStr(AvgTrade, 2) + NewLine; FileString = "D:\Temp\StopTest-" + RightStr(NumToStr(CurrentDate, 0), 4) + ".csv"; FileAppend(FileString, TestString); End;

ZIG ZAG TREND INDICATOR Ok, this is going to be a lengthy message, but I guess it is going to be an interesting one, so, please read carefully. It is better not to include the whole message in your replies. Before you hit the send button, please delete this message from your answer, or we will all end up with very long messages! I had promised a version of ZigZag validity suitable for back tests. The bad news: Yesterday I saw that, though such an indicator is possible, its development is a very tricky job. This is because the cases of missed signals (invisible false zigzags of the past) do not fall into one single category but rather

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into many different ones (for example cases of missed zigzags during confirmed trends, cases of fluctuations of prices during doubtful trends etc.). Now, I think that dealing with all these cases is almost as hard or even harder than developing a new zigzag indicator from scratch. The good news: I think there is a much simpler solution to the problem. Instead of trying to discover and validate each invisible zigzag, one can deal only with the confirmed trends. After all, this is what we all want and it is much easier, too! Following this idea, I wrote a new binary indicator, which returns 1 for confirmed up trends and -1 for confirmed downtrends and which is also based on the Zigzag indicator. The idea is that the user of Zigzag does not wish to deal with doubtful periods at all. He does not want to be mislead by false Zig signals, but neither should he get into the trap of detecting past invisible formations, just to reject them! My new indicator takes advantage of Zig's ability to mark major troughs and peaks but at the same time it avoids any premature - and thus dangerous evaluations about the evolving trend. In fact, it is like having an always-valid binary Zigzag! If what I suggest here is correct - and I do say IF - then we have a kind of zig which is not only useful for visual inspections but can also be used in system tests and can be even optimized like any other indicator used in systems. I have to be precautionary because until now, almost every attempt for a completely satisfactory confrontation of problems related to the Zigzag indicator, at least those I am aware of, have failed. Of course this includes my own! (Well, ZigZag validity works fine but only as far as the LAST dynamic leg is concerned). This one seems to work equally well not only with current prices but also with historical ones. So, all we can do for now is wish it a better luck. The new indicator will be called "SR ZigZag Trend". I have tested its behavior in more than 50 cases, which include disappearing and re-appearing of zigzags in down and up trends, in weak and strong, gradual and abrupt moves. In all these cases it worked correctly, but it is very early for enthusiasm because dealing with Zigzag seems like alchemy. You never know if what you see is true. I will only be sure when my indicator passes all the necessary tests. And there have to be hundreds of them to convince me! Therefore, I suggest you should consider yourselves kind of "beta testers". Before starting to use my indicator in systems, please take the time to test it yourselves. For testing both the ZigZag and my indicator I would suggest the following method: 1. Use the Zigzag indicator and the SR ZigZag Trend with the same percent of close (say 10%). 2. Add a second more sensitive Zigzag indicator (say 3 %) 3. During a long trend indicated by the 10% Zig (a long line) find a few

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minor zigzags of the 3% Zig and mark them with vertical lines. 4. Keep a note of the dates when these marks appear and of the readings of both the 10% ZigZag and the SR ZigZag Trend on those dates. You are making a table with 3 columns: Date, 10%Zig (up or down), SR ZigZag Trend (1 or -1). 5. Close the chart and re-open it using the first date you have noted as the LAST date of the chart. 6. Observe the behavior of the 10% Zigzag: In some cases it should be heading towards the opposite direction of what you had previously noted. On the contrary, the SR ZigZag Trend should NOT reconsider its value. If it is like I say, then repeat steps #5 and #6 until all the dates you have marked are examined. If you notice any revisions in the values of SR ZigZag Trend then you have caught a mistake (bad luck for all of us but especially for me). Take a detailed note of it, stop testing and contact me. If everything seems ok with the cases you have examined, this still doesn't mean that everyone else had the same experience. So, please post your results and read what the others have to say. You will notice that the indicator follows Zig's changes of direction with a delay, which is necessary for the confirmation of the trend. Hopefully, once a new trend is detected and confirmed, SR ZigZag Trend will not be revised, until the next (opposite) trend's confirmation. Due to this delay, the values returned by SR ZigZag Trend do not always coincide with profitable buy and sell signals, though in many cases they really do! But this is the old well-known sad story of any trend-following system. What is new here, is that the fans of ZigZag, MAY have now a kind of Zig, which they can play with harmlessly. And maybe the results are not so exciting as when playing ball with Zig, but here one kicks a real ball not a balloon! A few notes before going to the code. I have no reason to doubt anyone's good will, intentions and honesty. But I have to repeat what is usually said about intellectual property. I hope you all understand. So here we go: Please don't change the indicator's name, its comments or its code, if in the future you need to post it to someone. My name and e-mail address should be present in case someone wants to contact me directly. Any changes made to my formula should be discussed with me before being published (outside this group). It may not be used for commercial reasons without my written permission, neither as it is nor as part of other products. Any formulas, systems, experts, explorations, plug-ins or stand-alone applications, which use the whole code or important parts of it, or reference it, should mention my name. I am not responsible for any losses.. ..blah blah, though I will take your profits if you succeed :) Needless to say, that I would be glad to hear any of your suggestions, corrections, or possible improvements. In any case I would appreciate your feedback. Good luck

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Spyros

{SR ZigZag Trend} {by Spyros Raftopoulos} {E-mail : raftsp@otenet.gr} {This binary indicator is based on the Metastock's Zig Zag function. 1 = confirmed uptrend, -1 = confirmed downtrend} perc:=Input("percent",1,100,10); tr:=ValueWhen(1,Zig(C,perc,%)>Ref(Zig(C,perc,%),-1) AND Ref(Zig(C,perc,%),-1)<Ref(Zig(C,perc,%),-2),Ref(Zig(C,perc,%),-1)); tr:=If( (C-tr)*100/tr>= perc ,tr,0); tr:=If( tr=0, ValueWhen(1,tr<>0,tr), tr); pk:=ValueWhen(1,Zig(C,perc,%)<Ref(Zig(C,perc,%),-1) AND Ref(Zig(C,perc,%),-1)>Ref(Zig(C,perc,%),-2),Ref(Zig(C,perc,%),-1)); pk:=If((C-pk)*100/pk <=-perc , pk, 0); pk:=If( pk=0, ValueWhen(1,pk<>0,pk), pk); res:=If(pk<>Ref(pk,-1), -1, If(tr<>Ref(tr,-1), 1, 0)); res:=If(res=0,ValueWhen(1,res<>0,res),res); res JOE DUFFY TS From: "morluk2000" <borakizilirmak@sympatico.ca> To: <torontometastockusers@yahoogroups.com> Sent: Friday, May 17, 2002 10:06 PM Subject: [torontometastockusers] Re: Here is my last system

> I forgot to add fml("rel") which is simply c/p. Sorry for the > inconvenience. > > --- In torontometastockusers@y..., "morluk2000" > <borakizilirmak@s...> wrote: > > You are going to like it. Give me a credit when you use it. Before > > running browser for the last indicator defined below you must > select > > ( with your mouse) underlying index (which is becoming variable P) > > in Metastock. >> > > TS_C:(If(C>=Ref(C,-11),1,-1)+ > > If(C>=Ref(C,-12),1,-1)+ > > If(C>=Ref(C,-13),1,-1)+

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> > If(C>=Ref(C,-14),1,-1)+ > > If(C>=Ref(C,-15),1,-1)+ > > If(C>=Ref(C,-16),1,-1)+ > > If(C>=Ref(C,-17),1,-1)+ > > If(C>=Ref(C,-18),1,-1)+ > > If(C>=Ref(C,-19),1,-1)+ > > If(C>=Ref(C,-20),1,-1)+10)/20 >> > > TS_P:(If(P>=Ref(P,-11),1,-1)+ > > If(P>=Ref(P,-12),1,-1)+ > > If(P>=Ref(P,-13),1,-1)+ > > If(P>=Ref(P,-14),1,-1)+ > > If(P>=Ref(P,-15),1,-1)+ > > If(P>=Ref(P,-16),1,-1)+ > > If(P>=Ref(P,-17),1,-1)+ > > If(P>=Ref(P,-18),1,-1)+ > > If(P>=Ref(P,-19),1,-1)+ > > If(P>=Ref(P,-20),1,-1)+10)/20 >> > > TS_C/P:(If(Fml("rel")>=Ref(Fml("rel"),-11),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-12),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-13),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-14),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-15),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-16),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-17),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-18),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-19),1,-1)+ > > If(Fml("rel")>=Ref(Fml("rel"),-20),1,-1)+ > > If(ROC(Fml("rel"),5,%)>ROC(Ref(Fml("rel"),-5),5,%),1,-1)+ > > If(V>3*Mov(V,21,S) AND C>Ref(C,-1),1,0)+ > > If(V>3*Mov(V,21,S) AND C<Ref(C,-1),-1,0)+12)/24 >> > > TS-Systemx:Round(100*((0.9-Fml("TS_P")/2)*Fml("TS_C")+ > > (0.1+Fml("TS_P")/2)*Fml("TS_C/P"))) >> > > TS-Systems:If(Fml( "TS-Systemx")>=0 AND Fml( "TS-Systemx") > <=100,Fml > > ("TS-Systemx"),If(Fml("TS-Systemx")>100,100,0)) >> > > The last indicator, when it crosses 50 up it is BUY and when it > > crosses 50 down it is SELL. >> > > Bora KIZILIRMAK

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Frank Kaeberlein wrote: >How do I "convert" a 0.2 exponential average into an equivalent period of >days? The formula for the exponential average weighting factor is w = 2 / (length + 1) Solving for length in days, we get length = 2 / w - 1 So if w=0.2, then length = 2 / 0.2 - 1 = 9 days.

Did anyone try to code the more complicated formula for the case where there are ties? ysk On Sat, 2 Mar 2002 10:41:11 -0500 "Alex Dannenberg" <alex@pinemountaincapital.com> wrote: > ...Also, just look in Numerical Recipes to see that the rank correln is > equal to "value1" only when there are no ties (i.e. Ties=1). Otherwise, you > need to compute the correln among the ranks explicitly or use a much more > complicated expression that requires storing all the informn about ties... > (see http://lib-www.lanl.gov/numerical/bookcpdf/c14-6.pdf) > > Hope this helps. > > -Alex > > -----Original Message----> From: Alex Dannenberg [mailto:alex@pinemountaincapital.com] > Sent: Saturday, March 02, 2002 10:24 AM > To: Michael E Songer; Omega-list (E-mail) > Subject: RE: Rank Correlation Function for Arrays >

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> > ...Just to make the thing a bit more efficient, you can replace > > > If Ties=1 then myRank=HiCount; > If Ties>1 then begin > Tot=0; > For z=1 to Ties-1 begin > Num=HiCount+1; > Tot=Tot+Num; > HiCount=Num; > End; > myRank=Tot/(Ties-1); > End; > > > with > > myRank=HiCount+(Ties-1)/2 > > -Alex > > > -----Original Message----> From: Michael E Songer [mailto:songer@speedsite.com] > Sent: Friday, March 01, 2002 2:16 PM > To: Omega-list (E-mail) > Subject: Rank Correlation Function for Arrays > > > List, > Several people expressed an interest in a rank correlation function to be > used with arrays. Here is the function: msCorrel_Rank_a. I have also > included a sample indicator. > Mike > > > {SAMPLE INDICATOR} > {******************************************************************** *****} > Arrays: IndArray[50](0), DepArray[50](0); > VARS: x(0); > > > for x=0 to 50 begin > IndArray[x]=c[x] of data2; > DepArray[x]=c[x] of data1; > End;

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> > value1=msCorrel_Rank_a(DepArray, IndArray); > > plot1(value1,"rankCor"); > plot2(0,"zero"); > > {******************************************************************** ******} > > > > > {FUNCTION} > {******************************************************************** ***** > > Fill [0] element in array being evaluated. > Limit 100 elements. Change to larger value if you like. > > Michael E. Songer > songer@speedsite.com > ********************************************************************* ****} > > > INPUTS: DepArray[Dsize](NumericArrayRef), IndArray[Isize](NumericArrayRef); > VARS: x(0),y(0),z(0),HiCount(0),Ties(0),myRank(0),Tot(0),Num(0); > VARS:Sum(0),Diff(0),Diff2(0),N(0); > ARRAYS: DepRankArray[100](0),IndRankArray[100](0); > > > {Fill DepRankArray} > For x = 0 to Dsize Begin > HiCount=1; > Ties=0; > For y= 0 to Dsize begin > If DepArray[x]>DepArray[y] then HiCount=HiCount+1; > If DepArray[x]=DepArray[y] then Ties=Ties+1; > End; > If Ties=1 then myRank=HiCount; > If Ties>1 then begin > Tot=0; > For z=1 to Ties-1 begin > Num=HiCount+1; > Tot=Tot+Num;

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> HiCount=Num; > End; > myRank=Tot/(Ties-1); > End; > DepRankArray[x]=myRank; > End; > > {Fill IndRankArray} > For x = 0 to Isize Begin > HiCount=1; > Ties=0; > For y= 0 to Isize begin > If IndArray[x]>IndArray[y] then HiCount=HiCount+1; > If IndArray[x]=IndArray[y] then Ties=Ties+1; > End; > If Ties=1 then myRank=HiCount; > If Ties>1 then begin > Tot=0; > For z=1 to Ties-1 begin > Num=HiCount+1; > Tot=Tot+Num; > HiCount=Num; > End; > myRank=Tot/(Ties-1); > End; > IndRankArray[x]=myRank; > End; > > {CALCULATE RANK CORRELATION} > Sum=0; > For x=0 to Dsize begin > Diff=IndRankArray[x]-DepRankArray[x]; > Diff2=square(Diff); > Sum=Sum+Diff2; > End; > N=Dsize+1; > > value1= 1 - ( ( 6*Sum ) / ( N*(square(N)-1) ) ); > > msCorrel_Rank_a=value1; > > {*******************************************************************} >

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Hi all, Thanks to all who responded to my earlier post with the subject line: "Brain teasers (are these known TradeStation bugs?" I thought I'd let folks know what I discovered about one of the three problems (and hopefully save others from tripping across an obscure TradeStation bug). In my earlier post, I said: >> (TS2000i and TS6): The following error shows up (only >> occasionally): "Infinite loop detected in this analysis >> technique. Check all 'FOR' and/or 'WHILE' loops for proper >> termination conditions." >> The study in question uses only two simple "for i=1 to 5" >> loops. Well, I was wrong about the loops. It turns out my study was making a call to a function I wrote to implement Dick Arms' Volume Adjusted Moving Average. That function _does_ contain a WHILE loop of the form: Line 1: Line 2: Line 3: Line 4: Line 5: Line 6: Line 7: Line 8: Line 9: Index = 0; RemainingIncr = Length; while RemainingIncr > 0 begin VolRatio = Volume[Index] / VolIncr; Factor = MinList(VolRatio, RemainingIncr); Sum = Sum + Factor * Price[Index]; RemainingIncr = RemainingIncr - Factor; Index = Index + 1; end;

When I dug into the problem, what I discovered is that the "auto-detect" feature that is supposed to determine the max bars back that a function will reference only "mostly works". By scattering print statements within the code, I was able to see that the infinite loop occurs when the value of Index is equal to 34. At that point, on Line 4 the loop is supposed to calculate: VolRatio = Volume[Index] / VolIncr; However, because of a bug in the "auto-detect" feature, TradeStation doesn't realize that Volume[34] would exceed the previous max bars back value for the study and recalculate the study using a larger max bars back. Instead, it just returns a bogus value for Volume[Index] on this and subsequent iterations through the loop. The value returned is Volume[0] (instead of Volume[34], Volume[35], ...). Since that volume happens to be zero, the loop condition is never met and the "infinite loop" error happens. It looks like the "auto-detect max bars back"

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feature doesn't work if the previous max bars back is exceeded while within a loop. Since, the actual max bars back value for the function depends on the length of the volume adjusted average and the volume values themselves, I can't just assign a fixed max bars back value to the study. In order to get the auto-detect facility to work, I ended up adding the following assignment to a dummy variable right after the end of the loop: Line 10: Dummy = Volume[3*Index]; Since this assignment is outside the loop, the auto detect mechanism works. It's not pretty but I no longer see infinite loop errors when applying the study to a chart. If anyone has suggestions for a better workaround, I'd love to hear them. In any event, I hope this post saves somebody else some debugging time. This problem appears to be in both TS2000i and TS6. Cheers, Rich

Heat Maps >Has anyone developed the EL code to export the appropriate > >data to do 3D analysis on the input parameters under test? > > The problem is that you have to convert a sequential list of > optimization results into a 2-D table of optimization results. > I guess one could write a macro to search through the list and > populate a table which you then plot using a 3-D surface plot. I did it a little differently, since originally I tried to do it without macros. Doing it with a macro might have produced a smaller spreadsheet, and maybe I'll change it some day, but what I do works OK. You can download it from http://www.frii.com/~fritz/trading, HeatMap.zip. > >I was led http://www.rinafinancial.com/3DSmartView.asp , to > >look at the 3DSmartView product. > Well, Excel's 3-D capabilities really suck, in my opinion. Excel > will do a 3-D surface plot, but you don't have much control over > color gradations or scaling. If you have "too much" data you get a

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> sea of black because Excel insists on drawing a thick outline > around every square cell on the surface. My HeatMap spreadsheet addresses those problems. > If you don't already have access to something like MatLab or > LabView, then this 3DSmartView software may be the way to go. > You'd probably spend over $500 of your time implementing the same > functionality in Excel. I sure did. :-\ Anybody who wants to send me $500 for this is welcome to do so!! :-) Gary

System Quality

{Function _SystemQuality by Alex Matulich Copyright (c) 2002 by Unicorn Research Corporation. All rights reserved. This function allows you to optimize on an objective measure of quality of strategy performance. The results can be used to compare objectively the quality of different strategies, or the same strategy with different input parameters. TradeStation does not offer a way to optimize a strategy against some arbitrary user-defined result. It lets you optimize only against a selection of canned results such as Net Profit or win/loss ratio. These, unfortunately, are not objective measures of system quality. This function builds an Excel file while an optimization is running. The last column contains the quality score of the strategy. In the book _Trade Your Way To Financial Freedom_, Van K. Tharp describes the use of an objective quality score, defined as quality = expectancy * opportunities where expectancy = (AW*PW + AL*PL) / AL = expected profit per dollar risked opportunities = NST * (365 / studydays) = opportunities to trade in a year AW = average winning trade (excluding maximum win) PW = probability of winning (total wins / opportunities) AL = average losing trade (negative, excluding scratch losses) PW = probability of losing (nonscratch losses/opportunities)

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NST = number of non-scratch trades (a scratch trade loses commission+slippage or less) studydays = number of days of history being tested Examples of equivalent-quality systems would be: * a market maker earning 1 cent per $1 risked, 50 times/day. * a daytrader earning 10 cents per $1 risked, 5 times/day. * a position trader earning $1 per $1 risked, 2-3 times/week. (In reality the market maker earns something like 5 cents per $1 risked, 100 times a day. A market maker's quality score is sky-high, higher than anything else, which is why they cannot be beaten.) To use this function: 0. If your strategy contains position-sizing rules, disable them. We're not trying for maximum equity growth in this optimization, but rather risk-normalized performance on constant-quantity orders. Position sizing rules destroy the measurement. After finding the optimum quality this way, re-enabling the position sizing rules will result in better performance than before, especially if the sizing is a function of trade risk and equity. 1. Just insert a call to this function at the end of your signal, passing the strategy input parameters of interest, as well as the file name to output. The file name should have a .CSV extension so that Excel will read it readily. The file name should not contain anything TS would interpret as "jump commands" or you'll get an error. See the warning in the input declaration below. 2. If you use the same strategy in different markets or different workspaces, be sure to add a filename input parameter to your strategy's signal, so you don't have multiple things writing to the same file! 3. Make sure the output file is deleted. Every time your strategy is recalculated the output file grows. You want to delete it to start afresh before running an optimization. Also, setting the filename parameter to "" (empty string) will disabled the output. 4. Run the optimization. Try to set up your parameters so that less than 65,535 results are generated (you will have to import it all into Excel). 5. When the optimization completes, load your file into Excel and sort by the last column, the one you want optimized, in descending order. The top result will be the optimum. The columns in the file are: p1, p2,...(input parameters), #wins, GrossProfit, #losses, GrossLoss, #scratches, ScratchLoss, MaxIDDrawdown, Expectancy, QualityScore Be aware that the optimum strategy found this way is objectively and mathematically optimum. It may not be PSYCHOLOGICALLY optimum, however. For example, the optimum combination of parameters giving the highest score may have 25% winning trades. You may be bothered by losing 3 out of 4 times. If such is the case for you, you can compromise by multiplying the score by your personal subjective measure of "psychological quality." In this

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case we would multply the score by the percent of winning trades, and re-sort the spreadsheet. If you're sensitive to drawdown, you might try multiplying the score by AL/DD. You might find that the resulting highest score represents a good compromise between your psychology and the objective best strategy. See _Trade Your Way To Financial Freedom_ by Van K. Tharp for a detailed explanation of trading system expectancy. This function calculates a more conservative version that Tharp's: It ignores the maximum profit as an outlier, and it uses the average loss rather than the minimum loss as the standard of risk. } inputs: filename(string), {full pathname for .csv file} dontsave(NumericSimple),{don't save scores less than this} {WARNING: avoid \hb, \he, \pb, \pe, \wb, or \we, in the file name. TS interprets these as "jump commands." For example, the filenames "c:\hello.csv" or "c:\data\performance.csv" will result in an error message because they contain \he and \pe, respectively.} p1(NumericSimple), {strategy input parameters} p2(NumericSimple), p3(NumericSimple), p4(NumericSimple), p5(NumericSimple), p6(NumericSimple), p7(NumericSimple), p8(NumericSimple), p9(NumericSimple), p10(NumericSimple), p11(NumericSimple), p12(NumericSimple), p13(NumericSimple), p14(NumericSimple), p15(NumericSimple), p16(NumericSimple), p17(NumericSimple), p18(NumericSimple); vars: nclosed(0), wins(0), losses(0), scratches(0), scratchloss(0), scratchtrade(0), studystart(0), studydays(0), p(0), j(0), k(0), AW(0), PW(0), AL(0), PL(0), expectancy(0), expectancyscore(0); {Initializations to occur on first bar} if currentbar <= 1 then begin nclosed = 0; wins = 0; losses = 0; scratches = 0; scratchloss = 0; studystart = DateToJulian(Date); {The maximum loss amount for a "scratch" trade will be a round-turn commission and slippage. Set Commission and Slippage in Format -> Strategy -> Costs.} scratchtrade = -1.5 * (commission + slippage); end; {Do the following whenever a position is closed} if totaltrades > nclosed then begin k = totaltrades - nclosed; for j = 1 to k begin {loop over multiple simultaneous closed trades}

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p = PositionProfit(j); if p <= 0 then begin if p >= scratchtrade then begin scratches = scratches + 1; scratchloss = scratchloss + p; end else losses = losses + 1; end else wins = wins + 1; end; nclosed = totaltrades; end; {Finally, at the last bar, output the result to be optimized} if LastBarOnChart and losses>0 and StrLen(filename)>0 then begin studydays = DateToJulian(Date) - studystart; if studydays < 1 then studydays = 1; {Calculate results to be optimized, and output them} if wins > 1 and losses > 0 then begin j = wins - 1 + losses; {total trades excl scratches & max win} AW = (GrossProfit-LargestWinTrade)/(wins-1); {avg win} PW = (wins-1) / j; {% wins} AL = (GrossLoss - scratchloss) / losses; {avg loss} PL = losses / j; {% losses} end else begin {handle division by zero cases} j = wins + losses; if wins <= 1 then AW = 0 else AW = GrossProfit; if j = 0 then begin PW = 0; PL = 0; end else begin PW = wins / j; PL = losses / j; end; if losses = 0 then AL = 0 else AL = (GrossLoss - scratchloss) / losses; end; if AL = 0 then expectancy = AW*PW else expectancy = (AW*PW + AL*PL) / (-AL); expectancyscore = expectancy * j * 365/studydays; if expectancyscore >= dontsave then begin {Append the strategy input parameters to a file} FileAppend(filename, numtostr(p1,3)+","+numtostr(p2,3)+","+numtostr(p3,3)+","+ numtostr(p4,3)+","+numtostr(p5,3)+","+numtostr(p6,3)+","+ numtostr(p7,3)+","+numtostr(p8,3)+","+numtostr(p9,3)+","+ numtostr(p10,3)+","+numtostr(p11,3)+","+numtostr(p12,3)+","+ numtostr(p13,3)+","+numtostr(p14,3)+","+numtostr(p15,3)+","+

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numtostr(p16,3)+","+numtostr(p17,3)+","+numtostr(p18,3)+","); {Append win and loss data as desired} FileAppend(filename, numtostr(wins,0)+","+numtostr(GrossProfit,2)+","+ numtostr(losses,0)+","+numtostr(GrossLoss,2)+","+ numtostr(scratches,0)+","+numtostr(scratchloss,2)+","+ numtostr(LargestWinTrade,2)+","+numtostr(LargestLosTrade,2)+" ,"+ numtostr(MaxIDDrawDown,2)+","); {Append expectancy and expectancy score} FileAppend(filename, numtostr(expectancy, 3) + "," + numtostr(expectancyscore, 3)); FileAppend(filename, NewLine); {lastly append a carriage return} end; end; _SystemQuality = 1; {dummy return value}

System History

{_SystemHistory by Alex Matulich Copyright (c) 2002 by Unicorn Research Corporation. All rights reserved. Don't call this function during an optimization! It will produce a huge file. This function Output the profit, initial risk, initial volatility, and maximum adverse excursion (MAE) for every closed position. Units output are in dollars, not market units, although inputs *are* in market units. } inputs: filename(string), {full pathname for .csv file}

{WARNING: avoid \hb, \he, \pb, \pe, \wb, or \we, in the file name. TS interprets these as "jump commands." For example, the filenames "c:\hello.csv" or "c:\data\performance.csv" will result in an error message because they contain \he and \pe, respectively.} tstop(NumericSeries), {current stop} mktvolatility(NumericSeries), {current volatility} execute_next_bar(TrueFalse); {true=entry from previous bar's order} vars: risk(0), mktvolat(0), nclosed(0), MAE(0); if StrLen(filename) > 0 then begin

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{Initializations to occur on first bar} if currentbar <= 1 then nclosed = 0; {Do the following while a position is open} if marketposition<>0 then begin if BarsSinceEntry=0 then begin {first bar of the open position} if execute_next_bar then begin risk = AbsValue(EntryPrice - tstop[1]) * BigPointValue; mktvolat = mktvolatility[1] * BigPointValue; if marketposition>0 then MAE = MinList(BigPointValue*(Low EntryPrice), 0) else MAE = MinList(BigPointValue*(EntryPrice - High), 0); end else begin MAE = MinList(positionprofit, 0); risk = AbsValue(EntryPrice - tstop) * BigPointValue; mktvolat = mktvolatility * BigPointValue; end; end else begin {we're past the first bar in the open position} risk = risk[1]; {save initial risk} mktvolat = mktvolat[1]; {save initial volatility} if marketposition>0 then {calculate new MAE} MAE = MinList(MAE[1], BigPointValue*(Low EntryPrice), 0) else MAE = MinList(MAE[1], BigPointValue*(EntryPrice - High), 0); end; end; nclosed = nclosed[1]; {Do the following whenever a position is closed} if totaltrades > nclosed then begin FileAppend(filename, numtostr(PositionProfit(1),2)+","+ {output profit} numtostr(risk[1],2)+","+ {output initial risk} numtostr(mktvolat[1],2)+","+ {output initial volatilty} numtostr(MinList(MAE[1],positionprofit(1)),2) {output MAE} +NewLine); nclosed = totaltrades; end; end; _SystemHistory = 1;

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{_LinRegSlopeSFC - Linear Regression Slope Super Fast Calc by Alex Matulich Copyright (c) 2002 by Unicorn Research Corporation. All rights reserved. This is a super-efficient version of Mark Simms' Linear Regression Slope Fast Calc algorithm. Here, a loop gets executed only once during initialization, rather than at every bar.} Inputs: Price(NumericSeries), Length(NumericSimple); Vars: xLen(0), ix(0), m1(0), m2(0), sumP(0), sumIP(0); if xLen <> Length or CurrentBar <= Length then begin xLen = Length; m1 = 6 / (Length * (Length + 1)); m2 = 2 / (Length - 1); sumP = 0; sumIP = 0; for ix = 0 to length-1 begin sumP = sumP + Price[ix]; sumIP = sumIP + ix * Price[ix]; end; end else begin sumIP = sumIP + sumP - Length * Price[Length]; sumP = sumP + Price - Price[Length]; end; _LinRegSlopeSFC = m1 * (sumP - m2 * sumIP);

{_xLinRegSlope - exponential linear regression slope by Alex Matulich, Unicorn Research Corporation} Inputs: Price(NumericSeries), Len(NumericSimple); Variables: x(0), sumX(0), sumY(0), sumXY(0), sumX2(0), w(0); w = 2 / (Len + 1); {exponential weighting factor} {calculate sums over all X values (bars) and over all X^2 values} sumX = 0.5 * Len * (2*CurrentBar - Len + 1); sumX2 = Len*(CurrentBar*(CurrentBar+1-Len)+(1-2*Len)*(1-Len)/6); {calculate sum of Y values and sum of X*Y values} if CurrentBar <= 1 then begin {initialize to eliminate settling time} sumY = Price * Len; for x = 2-Len to 1 begin sumXY = sumXY + x*Price; end; end else begin sumY = w*Price*Len + (1-w)*sumY[1]; sumXY = w*CurrentBar*Price*Len + (1-w)*sumXY[1]; end;

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{_xStdDev Exponential moving standard deviation by Alex Matulich alex@unicorn.us.com 7/2002} Inputs: price(NumericSeries), {price} length(NumericSimple); {"lookback" length} Vars: w(0); w = 2 / (length + 1); _xStdDev = SquareRoot(w*price*price + (1-w)*_xStdDev[1]*_xStdDev[1]);

{_xAverage - Exponential Moving Average that allows for variable lookback. by Alex Matulich, Unicorn Research Corporation} Inputs: Price(NumericSimple), Length(NumericSimple); Variables: w(0), xlen(0); if xlen <> xlen[1] or CurrentBar <= 1 then begin w = 2 / (Length + 1); xlen = Length; end; _xAverage = w * Price + (1 - w) * _xAverage[1];

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FIBONACCI FORMULAS Hi Shashi, Many thanks for your help. I've come up with the following - not exactly to your suggestion in every detail, but hopefully in the spirit of it. I haven't tested it much yet - all feedback and improvements welcome (coding is not my strong point!). Anyone testing it please vary V1 especially to your preference - I have it set very low for a 5-minute chart. V1:=0.5; {ZigZag reversal amount} V2:=0.50; {Minimum Retracement %} V3:=0.618; {Maximum Retracement %} C1:=Peak(1,C,V1) - Trough(1,C,V1); {Swing amount, i.e. price difference between previous peak and previous trough} C2:=Peak(1,C,V1) - C; {price difference between previous peak and current close} PeakBars(1,C,V1) < TroughBars(1,C,V1) {the previous peak is later than the previous trough} AND C < Peak(1,C,V1) {price dropped below last Peak} AND C= LowestSince(1, C=Peak(1,C,V1), C) AND C2 C1*V2 {retracement minimum} AND C2 < C1*V3 {retracement < maximum} Thanks again, Nick ----- Original Message ----From: "Shashi Aggarwal" <shashiag@swbell.net To: "Metastock Digest (E-mail)" <metastock@listserv.equis.com Sent: Sunday, February 03, 2002 10:26 AM Subject: Re: Fibonacci formula

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Nick, Maurice, Kush and others, At one time I had created a pullback/ Fib. retracement formula but can't seem to find it now. I then gave up using it, not because it didn't work (it did!), but I could never tell in real time whether the retracement would be 38%, 50%, or 62% (the commonest ratios)! Thus, for example, I would buy on a 38% retracement just to see it fall to 62% retracement. Or I would buy at 62% retracement just to see it fall even further and the trend get reversed. I guess that's a limitation we have to live with; of course, once the trend resumes, it is very easy with 20/20 hindsight to see how much the retracement was. Enough said. The logic was as follows: 1) Define trend. e.g. for an uptrend, you would specify the most recent swing high/low (#1) be higher than the prior swing high/low (#2). You NEED to use the Peak & Trough functions for this, which depend on the zigzag indicator. As for the % amount you would choose, that depends on your trading time frame - larger % for longer time frame and vice versa. (Note: zigzag is a tricky function; read the online help. In particular, note this section from online help: "Be forewarned, that the last leg (i.e., segment) of the Zig Zag is dynamic, meaning that it can change. Therefore, be careful when designing system tests, experts, etc. based on the Zig Zag indicator". But don't let this scare you. I got used to it over time, and so can you.) 2) Define a recent high implying that the trend is continuing e.g. HHV(C,20) most recent swing high (e.g. HHV(C,20) Peak(1,C,10)). 3) Define a pullback e.g. C < HHV(C,20) 4) Define most recent swing e.g. Swing:= HHV(C,20) - Trough(1,C,10) (using 10% swing as an example); 4) Define extent of pullback e.g. for a pullback between 50% & 68% of recent swing, it would be something like: C < (Trough(1,C,10) + 0.51*Swing) AND C (Trough(1,C,10) + 0.31*Swing). Use filters as needed. There you have it. Metastock programming is not very easy, but its not rocket science either. Once you start doing it yourself, AND UNDERSTAND

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THE LOGIC BEHIND YOUR ARGUMENTS, you will catch on pretty fast. Try it - I have done most of the work for you above. Just make sure you use the parameters appropriate for your trading. Shashi -------------------------------------------------------------- Original Message -----=20 From: Maurice Cruz=20 To: metastock@metastock.com=20 Sent: Friday, February 01, 2002 6:46 AM Subject: Fibonacci Formulas

Group, I would also be interested in this, or any other fibonacci-related indicators. Maurice

----- Original Message -----=20 From: Nick Channon=20 To: metastock@metastock.com=20 Sent: Thursday, January 31, 2002 8:53 PM Subject: Fibonacci Formulas

Hi Group, I wonder if anyone has a formula to detect a Fibonacci Retracement? = If so, kindly post. If not, any suggestions on how best to construct = one? Would it be feasible to base it on zigzag? Many thanks, Nick

From: Krzysztof.Kowczur@brebank.com.pl Subject: "Joe DiNapoli - DiNapoli Trend formula Date: 30/01/2002 11:35:09 To: metastock@metastock.com

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Hi Guys Does anyone have this system formula??? Dinapoli Trends {UP}C=Ref(Mov(C,3,S),-3) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))=(PREV+(0.199*((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))-PREV))) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))=Ref((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E)),-1) {DOWN}{DOWN}C<=Ref(Mov(C,3,S),-3) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))<=(PREV+(0.199*((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))-PREV))) AND (Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E))<=Ref((Mov( CLOSE, 8.3896, E) - Mov( CLOSE, 17.5185, E)),-1){jimt} This message was sent through MyMail http://www.mymail.com.au

Thanks Peter, I use this formula much differently than Chande suggests. I've had a lot of success with a 13 period FO. I plot the formula and establish equidistant levels (from zero) that trigger buy and sell signals. Simple, but effective. This approach is graphically displayed in the attachment. I like the FO because it can be somewhat "adaptive" (and it can pull twenty bucks out of crude). Thanks again, Equis doesn't "trust" us with the formula. If you "click" on the little "arrow&?", on the task bar, in MetaStock and drop it on the Forecast Oscillator you get the following blurb: "The oscillator is above zero when the forecast price is greater than the actual price. Conversely, it's less than zero if its below." Of course, this is totally false (the opposite is true). Which of edition of MetaStock do you believe they might correct their mistake? Take Care, Steve ----- Original Message ----From: Peter Gialames To: metastock@metastock.com Cc: kernish@turbonet.com Sent: Thursday, January 10, 2002 9:45 AM Subject: RE: Forecast Oscillator

Not sure if this is what you are looking for but ... Peter Gialames

Here is the text from S&C V. 10:5 (220-224): Forecasting Tomorrow's Trading Day by Tushar S. Chande, Ph.D.

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Using linear regression as a crystal ball for forecasting the market? After all, if you were to be able to determine tomorrow's high, low and close for trend changes and placement of stop points, it would simplify your life immeasurably. Can it work? Tushar Chande explains how it can be done. Wouldn't you trade better It you could "see" the future? A simple linear regression can provide an objective forecast for the next day's high, low and close. These ingredients are essential for a trading game plan, which can help you trade more mechanically and less emotionally. Best of all, a regression forecast oscillator, %F, gives early warning of impending trend changes. The linear regression method is well known for finding a "best-fit" straight line for a given set of data. The output of the regression are the slope (m) and constant (c) of the equation (1)Y = mX + c Here, m and c are derived from a known set of values of the independent variable X and dependent variable Y. The relative strength of the linear relationship between X and Y is measured by the coefficient of determination r 2 , which is the ratio of the variation explained by the regression line to the total variation in Y. Here is a table to help interpret the values of r 2 , which range from 0 to 1: The coining of the term "regression" can be attributed to Sir Francis Galton, who observed in the late 1800s that tall fathers appeared to have as a rule short sons, while short fathers appeared to have as a rule tall sons. Galton suggested that the heights of the sons "regressed" or reverted to the average. Technician Arthur Merrill also had a good explanation in a recent issue of STOCKS & COMMODITIES, and Patrick Lafferty recently wrote on an application of multiple regression to gold trading. Virtually all introductory books on statistics have a detailed discussion of the linear regression method. Successful professional traders emphasize the importance of having a trading plan. A trading game plan, much like that of a football team, clearly defines specific actions under different conditions. The linear regression method is very useful in developing a forecast for the next trading day's high, low and close based on the last five trading sessions. The method is general and broadbased enough so that it can be used with stocks, indices or commodities. The forecast is the basis of my trading plan: I can define what I should do if the market rises above the forecast high, falls below the forecast low or stays within the forecast range. This way, I can avoid being emotional and trade as mechanically as possible by having a plan to rely on. FORECASTING WITH LINEAR REGRESSION I like to use at least 10 days of data and develop a forecast for the high, low and close. The five-day regression is a good choice for short-term trading. You can use any length of regression you like. Here are the calculations with the daily close in a spreadsheet format: 1 Perform a linear regression with the first five days of data to obtain the slope m and constant c such that

446

X Value Daily Close 1 Day 1 2 Day 2 .... 5 Day 5 2 Forecast the next day's close with the slope m and constant c from step 1: (2) Forecast close (Day 6) = 6m + c 3 Record m, c and r 2 on the same line as Day 5. Record the forecast from step 2 one day ahead, with Day 6. Note when we are using five days' data, the first forecast is for Day 6. 4 Step the calculation ahead one day such that 5 Record m, c and r 2 as in step 3. 6 Calculate the regression forecast oscillator, %F, as (3) %F = ((Y-Yforecast)/Y)*100 where Y is the close for Day 6 and Y(Forecast) is the forecast for Day 6 from step 2 (from Day 5). 7 Record the oscillator on the same line as Day 6. 8 Step the calculations ahead one day at a time until the most recent day. Technically, we can use the linear regression to develop a point forecast (single value) for the next day (as in step 2) or a range (interval) of values with a certain confidence level. The interval widens, greater the variation in the data and greater the desired confidence level. I use the forecast oscillator, %F, to determine if my forecast is above or below the actual market data. Since %F = ((Y-Yforecast)/Y)*100 where Y can be any market variable for stocks, indices or commodities, %F measures the percent deviation of the actual value from its forecast. In a trading market, %F changes its sign before a significant trend change. In trending markets, %F tends to change sign early in the trend. I interpret %F in the context of the r 2 Of the regression. A low value of r 2 plus a change in sign of %F is a good signal of a change in trend. Market extremes and periodicity can also be observed on the %F charts. DEVELOPING A TRADING PLAN

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You can use the forecasts to develop a specific trading plan to suit your trading style. I use the forecasts in several ways. Forecasts as stops. I use the high and the low as action points. If the market exceeds the forecast high, it wants to go up. To trade with the trend, I put a buy stop a few ticks above the high. If the market falls below the forecast low, it wants to go down. Hence, I set a sell stop a few ticks below the forecast low. If you want to trade against the trend, sell short near the forecast high and buy near the forecast low. Forecasts as intraday range scale. The forecasts provide a scale for evaluating the trading day. The market can stay within the expected range or go outside. On a down day, the intraday high is well below the forecast high and may be below the forecast close. On an up day, the market stays well above the forecast low and often above the forecast close. General rules for trading with forecasts. Here are some general rules: Use the forecasts only if r 2 is greater than 0.1. Higher the value of r 2 , the greater the confidence in the forecasts. A trend change is imminent when r 2 falls below 0.1. Prepare to close longs. A trend is in place if r 2 is greater than 0.6. As a trend follower, you could wait for this value to be exceeded before opening positions. This would keep you out of short-term fluctuations. An early warning of a trend change is provided by a zero-crossing of %F, the forecast oscillator. Prepare to tighten stops and look for changes in slope and coefficient of determination for confirmation. A change in trend is confirmed by a change in slope of the regression. Open positions in direction of trend change. To trade against the trend, look for peaks in slope and strength of the linear trend. The trend will usually change in the direction of %F. Always be prepared for a market move against the forecast. Use stops! A SAMPLE TRADING PLAN I have developed a forecast for the high, low and close for January 20, 1992, from the previous five trading days, seen in Figure 1. The market was making new highs the previous week. Was a downward movement imminent? Let's look at the data from Friday, January 17, 1992: The market was trending moderately (0.4<= r 2 <0.6), but the forecast oscillator %F was negative for high, low and close, warning of a possible change in trend. The relatively small slope of the regression for the high meant the market was meeting resistance. The slope of the regression for the close

448

had turned down from the high values during the recent strong uptrend. The forecast, however, called for a strong close near the highs of the day, but that seemed doubtful, given the low slopes in a moderating trend. The plan was to watch for a change in trend. If the market opened weak, a bearish strategy was called for. For example, I would consider buying the Standard & Poor's 100 Index OEX January 390 puts, or selling short the S&P 500 March futures contract. The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of me regression forecast approach. The market opened at the Friday close and weakness was evident at the open, as the S&P 500 futures opened lower. It was clear in early trading that the trend would be down, as the market traded well below the forecast high and close. Clearly, the forecast range provided a good scale, since it reinforced the concept that the market was weaker than the trend of the prior five days. A bearish stance would have been profitable. THE NATURE OF REGRESSION FORECASTS The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of the regression forecast approach. I have examined a time period from early October 1991 to mid-January 1992. The OEX close and its forecast are in Figure 2; the r 2 values in Figure 3; %F in Figure 4, and Figure 5 has %F around the mid-November plunge. Several observations can be made from the OEX analysis. First, the forecast lags the OEX in an uptrend or in a downtrend. Second, the close and the forecast cross over several days before a trend change. This crossover can be seen as a zero crossing in the %F chart. Significant trend changes are preceded by trendless periods with values of r 2 near zero. Strong trends are accompanied by high values of r 2 and regression slope. These observations support the general rules of interpretation noted above. As Figure 5 shows, %F provided a timely warning of an impending trend change just before the OEX fell 15.68 points. I have included data for wheat (cash) from 1989 to indicate the use of this approach with commodities. The market showed significant trends during this period with good periodicity, as shown in Figures 6, 7 and 8. The %F zero crossings were timely indicators of trend change. Features observed with OEX charts are also seen here; note in particular how %F can be used to identify extremes in the market from Figures 4 and 8. Simple linear regression yields forecasts of the high, low and close for stocks, indices or commodities. These forecasts can be used to develop a trading plan. You can trade with the trend, against the trend, intraday or interday. The forecast oscillator, %F, provides early warning of trend changes taken together with the regression slope and coefficient of determination. This approach

449

works best in trending markets or trading range markets; it is only moderately useful in volatile markets with choppy price action. These objective forecasts will let you trade less emotionally and more mechanically. Profits will look up when you can look ahead. Tushar Chande holds a doctorate in engineering from the University of Illinois and a master's degree in business administration from the University of Pittsburgh. REFERENCES Lafferty, Patrick [ 1991 ]. "A regression-based oscillator," Technical Analysis of STOCKS & COMMODITIES, Volume 9: September. Merrill, Arthur [1991]. "Fitting a trendline by least squares," Technical Analysis of STOCKS & COMMODITIES, Volume 9: December. Pfaffenberger, Roger, and James Patterson [1987]. Statistical Methods for Business and Economics, Irwin.

-----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of Steve Karnish Sent: Thursday, January 10, 2002 10:34 AM To: metastock@metastock.com Subject: Forecast Oscillator

List, Does anyone have the math formula for Chande's Forecast Oscillator? Thanks, Steve

450

{from jseed} Pds:=Input("Time Periods",1,1000,5); Fld:=Input("Price Field 1=C 2=O 3=H 4=L",1,4,1); PFld:=If(Fld=1,C,If(Fld=2,O,If(Fld=3,H,L))); Sig:=Input("Signal MA Periods",1,200,3); ForO:=((Pfld-(Ref(LinearReg(Pfld,Pds),-1)+ Ref(LinRegSlope(Pfld,Pds),-1)))*100)/Pfld; ForO; Mov(ForO,Sig,E); {end}

From: "Steve Karnish" <kernish@turbonet.com Reply-To: metastock@metastock.com To: <metastock@metastock.com Subject: Forecast Oscillator Date: Thu, 10 Jan 2002 08:34:12 -0700 List, Does anyone have the math formula for Chande's Forecast Oscillator? Thanks, Steve

451

Not sure if this is what you are looking for but ... Peter Gialames Here is the text from S&C V. 10:5 (220-224): Forecasting Tomorrow's Trading Day by Tushar S. Chande, Ph.D. Using linear regression as a crystal ball for forecasting the market? After all, if you were to be able to determine tomorrow's high, low and close for trend changes and placement of stop points, it would simplify your life immeasurably. Can it work? Tushar Chande explains how it can be done. Wouldn't you trade better It you could "see" the future? A simple linear regression can provide an objective forecast for the next day's high, low and close. These ingredients are essential for a trading game plan, which can help you trade more mechanically and less emotionally. Best of all, a regression forecast oscillator, %F, gives early warning of impending trend changes. The linear regression method is well known for finding a "best-fit" straight line for a given set of data. The output of the regression are the slope (m) and constant (c) of the equation (1)Y = mX + c Here, m and c are derived from a known set of values of the independent variable X and dependent variable Y. The relative strength of the linear relationship between X and Y is measured by the coefficient of determination r 2 , which is the ratio of the variation explained by the regression line to the total variation in Y. Here is a table to help interpret the values of r 2 , which range from 0 to 1: The coining of the term "regression" can be attributed to Sir Francis Galton, who observed in the late 1800s that tall fathers appeared to have as a rule short sons, while short fathers appeared to have as a rule tall sons. Galton suggested that the heights of the sons "regressed" or reverted to the average. Technician Arthur Merrill also had a good explanation in a recent issue of STOCKS & COMMODITIES, and Patrick Lafferty recently wrote on an application of multiple regression to gold trading. Virtually all introductory books on statistics have a detailed discussion of the linear regression method. Successful professional traders emphasize the importance of having a trading plan. A trading game plan, much like that of a football team, clearly defines specific actions under different conditions. The linear

452

regression method is very useful in developing a forecast for the next trading day's high, low and close based on the last five trading sessions. The method is general and broad-based enough so that it can be used with stocks, indices or commodities. The forecast is the basis of my trading plan: I can define what I should do if the market rises above the forecast high, falls below the forecast low or stays within the forecast range. This way, I can avoid being emotional and trade as mechanically as possible by having a plan to rely on. FORECASTING WITH LINEAR REGRESSION I like to use at least 10 days of data and develop a forecast for the high, low and close. The five-day regression is a good choice for short-term trading. You can use any length of regression you like. Here are the calculations with the daily close in a spreadsheet format: 1 Perform a linear regression with the first five days of data to obtain the slope m and constant c such that X Value Daily Close 1 Day 1 2 Day 2 .... 5 Day 5 2 Forecast the next day's close with the slope m and constant c from step 1: (2) Forecast close (Day 6) = 6m + c 3 Record m, c and r 2 on the same line as Day 5. Record the forecast from step 2 one day ahead, with Day 6. Note when we are using five days' data, the first forecast is for Day 6. 4 Step the calculation ahead one day such that 5 Record m, c and r 2 as in step 3. 6 Calculate the regression forecast oscillator, %F, as (3) %F = ((Y-Yforecast)/Y)*100 where Y is the close for Day 6 and Y(Forecast) is the forecast for Day 6 from step 2 (from Day 5). 7 Record the oscillator on the same line as Day 6. 8 Step the calculations ahead one day at a time until the most recent day. Technically, we can use the linear regression to develop a point forecast (single value) for the next day (as in step 2) or a range (interval) of values with a certain confidence level. The interval widens, greater the variation in the data and greater the desired confidence level. I use the forecast oscillator, %F, to determine if my forecast is above or below the actual market data. Since %F = ((Y-Yforecast)/Y)*100 where Y can be any market variable for stocks, indices or commodities, %F measures the percent

453

deviation of the actual value from its forecast. In a trading market, %F changes its sign before a significant trend change. In trending markets, %F tends to change sign early in the trend. I interpret %F in the context of the r 2 Of the regression. A low value of r 2 plus a change in sign of %F is a good signal of a change in trend. Market extremes and periodicity can also be observed on the %F charts. DEVELOPING A TRADING PLAN You can use the forecasts to develop a specific trading plan to suit your trading style. I use the forecasts in several ways. Forecasts as stops. I use the high and the low as action points. If the market exceeds the forecast high, it wants to go up. To trade with the trend, I put a buy stop a few ticks above the high. If the market falls below the forecast low, it wants to go down. Hence, I set a sell stop a few ticks below the forecast low. If you want to trade against the trend, sell short near the forecast high and buy near the forecast low. Forecasts as intraday range scale. The forecasts provide a scale for evaluating the trading day. The market can stay within the expected range or go outside. On a down day, the intraday high is well below the forecast high and may be below the forecast close. On an up day, the market stays well above the forecast low and often above the forecast close. General rules for trading with forecasts. Here are some general rules: Use the forecasts only if r 2 is greater than 0.1. Higher the value of r 2 , the greater the confidence in the forecasts. A trend change is imminent when r 2 falls below 0.1. Prepare to close longs. A trend is in place if r 2 is greater than 0.6. As a trend follower, you could wait for this value to be exceeded before opening positions. This would keep you out of short-term fluctuations. An early warning of a trend change is provided by a zero-crossing of %F, the forecast oscillator. Prepare to tighten stops and look for changes in slope and coefficient of determination for confirmation. A change in trend is confirmed by a change in slope of the regression. Open positions in direction of trend change. To trade against the trend, look for peaks in slope and strength of the linear trend. The trend will usually change in the direction of %F. Always be prepared for a market move against the forecast. Use stops! A SAMPLE TRADING PLAN I have developed a forecast for the high, low and close for January 20, 1992, from the previous five

454

trading days, seen in Figure 1. The market was making new highs the previous week. Was a downward movement imminent? Let's look at the data from Friday, January 17, 1992: The market was trending moderately (0.4<= r 2 <0.6), but the forecast oscillator %F was negative for high, low and close, warning of a possible change in trend. The relatively small slope of the regression for the high meant the market was meeting resistance. The slope of the regression for the close had turned down from the high values during the recent strong uptrend. The forecast, however, called for a strong close near the highs of the day, but that seemed doubtful, given the low slopes in a moderating trend. The plan was to watch for a change in trend. If the market opened weak, a bearish strategy was called for. For example, I would consider buying the Standard & Poor's 100 Index OEX January 390 puts, or selling short the S&P 500 March futures contract. The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of me regression forecast approach. The market opened at the Friday close and weakness was evident at the open, as the S&P 500 futures opened lower. It was clear in early trading that the trend would be down, as the market traded well below the forecast high and close. Clearly, the forecast range provided a good scale, since it reinforced the concept that the market was weaker than the trend of the prior five days. A bearish stance would have been profitable. THE NATURE OF REGRESSION FORECASTS The high daily volume of OEX index options traded makes the S&P 100 index an interesting application of the regression forecast approach. I have examined a time period from early October 1991 to mid-January 1992. The OEX close and its forecast are in Figure 2; the r 2 values in Figure 3; %F in Figure 4, and Figure 5 has %F around the mid-November plunge. Several observations can be made from the OEX analysis. First, the forecast lags the OEX in an uptrend or in a downtrend. Second, the close and the forecast cross over several days before a trend change. This crossover can be seen as a zero crossing in the %F chart. Significant trend changes are preceded by trendless periods with values of r 2 near zero. Strong trends are accompanied by high values of r 2 and regression slope. These observations support the general rules of interpretation noted above. As Figure 5 shows, %F provided a timely warning of an impending trend change just before the OEX fell 15.68 points.

455

I have included data for wheat (cash) from 1989 to indicate the use of this approach with commodities. The market showed significant trends during this period with good periodicity, as shown in Figures 6, 7 and 8. The %F zero crossings were timely indicators of trend change. Features observed with OEX charts are also seen here; note in particular how %F can be used to identify extremes in the market from Figures 4 and 8. Simple linear regression yields forecasts of the high, low and close for stocks, indices or commodities. these forecasts can be used to develop a trading plan. You can trade with the trend, against the trend, intraday or interday. The forecast oscillator, %F, provides early warning of trend changes taken together with the regression slope and coefficient of determination. This approach works best in trending markets or trading range markets; it is only moderately useful in volatile markets with choppy price action. These objective forecasts will let you trade less emotionally and more mechanically. Profits will look up when you can look ahead. Tushar Chande holds a doctorate in engineering from the University of Illinois and a master's degree in business administration from the University of Pittsburgh. REFERENCES Lafferty, Patrick [ 1991 ]. "A regression-based oscillator," Technical Analysis of STOCKS & COMMODITIES, Volume 9: September. Merrill, Arthur [1991]. "Fitting a trendline by least squares," Technical Analysis of STOCKS & COMMODITIES, Volume 9: December. Pfaffenberger, Roger, and James Patterson [1987]. Statistical Methods for Business and Economics, Irwin.

-----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of Steve Karnish Sent: Thursday, January 10, 2002 10:34 AM To: metastock@metastock.com Subject: Forecast Oscillator

List, Does anyone have the math formula for Chande's Forecast Oscillator? Thanks, Steve

456

From my archives.....I found three different formulas for the True Strength Index: 1. rr:= Input("first smoothing r" ,1 ,100 ,25 ); ss:= Input("second smoothing s" ,1 ,100 ,13 ); uu:= Input("third smoothing u",1,100,1); numerator:=100*(Mov(Mov(Mov(ROC(C,1,$),rr,E),ss,E),uu,E)); denominator:=Mov(Mov(Mov(Abs(ROC(C,1,$)),rr,E),ss,E),uu,E); If(denominator<0,numerator/denominator,0); 2. 100*(Mov(Mov(ROC(C,1,$),40,E),20,E)/Mov(Mov(Abs(ROC(C,1,$)),40,E),20,E)) 3. rc:=Mov(Mov(ROC(C,1,$),40,E),20,E); rc1:=If(rc=0,1,Mov(Mov(Abs(ROC(C,1,$)),40,E),20,E)); 100*(rc/rc1) Take your pick. <g Claud neo wrote:

-----Original Message----From: owner-metastock@metastock.com [mailto:ownermetastock@metastock.com]On Behalf Of William Gross Sent: Wednesday, January 02, 2002 2:23 PM To: metastock@metastock.com Subject: True Strength Index Has anyone system tested to see if the 25/13 periods used in the formula for theTrue Strength Index in the Active Trader Magazine article this month is better or worse than some alternatives (like 17/9)? Especially on a 15 minute chart... William GrossVenice CA

Pds:=Input("Time Periods",1,1000,5); Fld:=Input("Price Field 1=C 2=O 3=H 4=L",1,4,1); PFld:=If(Fld=1,C,If(Fld=2,O,If(Fld=3,H,L))); Sig:=Input("Signal MA Periods",1,200,3); ForO:=((Pfld-(Ref(LinearReg(Pfld,Pds),-1)+ Ref(LinRegSlope(Pfld,Pds),-1)))*100)/Pfld; ForO; Mov(ForO,Sig,E); {end} Jeff, Try applying this method to Nokia (8% band around the FO), Intel (7%), Goldman Sachs (6%-see attachment). Don't forget to set system tester to -1 and open. This will initiate your trades on the opening of the following day you trigger a signal. Time travel into the next quarter and you will find the above issues being traded as part of the 50-75 "single stock futures". Then, with a ~$135 in profits (GS over the last two years), imagine how much fun it would be with only 20% margin. I can't wait until the "series 7" idiots start to trade in this arena. Take care, Steve ----- Original Message ----From: Jeff Haferman <Jeff_Haferman@yahoo.com To: <metastock@metastock.com Sent: Wednesday, January 23, 2002 8:50 AM Subject: Re: Forecast Oscillator

Thanks Steve, I'll study this. I'm very familiar with your site, I've been learning from it for the last couple of years ;) Jeff

Steve Karnish wrote: Jeff, Chande has the finest indicators (my humble, subjective opinion) I have ever

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"eyeballed". Unfortunately, I have never read or seen anything that would suggest that Chande knows how to apply "rules" to his fine work. I'm sure he uses them well, but I can find nothing that hints at his approach. The Forecast Oscillator can be a real gem. I like to use a 13 period FO. Typically, stocks that fluctuate more than 10% from the Forecast Oscillator seem to perform the best under testing. A simple optimisation would look like: Enter Long: Cross(opt1,ForecastOsc(CLOSE,opt3)) Close Long: Cross(ForecastOsc(CLOSE,opt3),opt2) I like to use 13 as a default for opt3 (or you can test). opt1 is the trigger level to trigger a long trade and opt2 triggers the sell to offset the position. If you are testing commodities or the Q's, just change the "Close Long" to Enter Short. If I know a stock ranges up to 15% from the linear regression formed by the Forecast Oscillator, I will test for points between 1 and 15, stepping up a point (1) and -1 to -15. Because of the way the formula is written, you must change the optimisation levels for each test. Some stocks don't trade beyond a percent or two of their price. Testing whole numbers above "one" wouldn't do you any good (under those circumstances). Attached is a chart of ERTS (I trade the stock publicly, at my site, with different rules), showing the FO13 and triggers of +10/-10 (I only use symmetrical triggers). During the last two years, it has triggered 11 winners and one loser. Anyway, this is just one way to use it. Take care, Steve

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CHANDE'S DYNAMIC MOMENTUM INDEX 'DMI is a momentum index that uses a variable length (number of days) determined by the volatility 'in price. If volatility is low, the calculation uses a long period. If volatility is high, the 'calculation uses a short period. ' 'The number of days is determined as follows: ' 'Std5 = Standard Deviation of the Close over past 5 days 'AvgStd = 10 day Average of Std5 'V = Today 's Std5 / AvgStd 'TD = Int(14 / V) ' 'Note that if the Std5 is greater than AvgStd then V will be greater than 1 and Td will be 'less than 14. If Std5 is less than AvgStd then V will be less than 1 and Td will be greater 'the 14. Td is limited to the range 5 to 30. ' 'Td is used as the period for calculating RSI ( Relative Strength Index ). ' 'Reference: 'Chande, Tushar S. and Kroll, Stanley. 'The New Technical Trader, New York: John Wiley, 1994. HTH, Andreas -----Ursprungliche Nachricht----Von: owner-metastock@metastock.com [mailto:owner-metastock@metastock.com]Im Auftrag von rudolf stricker Gesendet: Sonntag, 3. Februar 2002 17:38 An: metastock@metastock.com Betreff: Re: momentum indicators, using also o-h-l

On Thu, 31 Jan 2002 06:09:07 +0000, you wrote: Check your Metastock Manual for interpretation of Qstick. It has about a page of discussion. The manual says that Qstick is the moving average of the difference between the open and close. So Qstick seemingly is rather a trend indicator than a momentum indicator, (which I'm looking for, see the subject). Maybe, I should start with a given momentum indicator e.g. Chande's "Dynamic Momentum Index", and integrate o-h-l in an appropriate manner into it...

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Is the formula for the DMI available somewhere? mfg rudolf stricker | Disclaimer: The views of this user are strictly his own.

ADAPTIVE SYSTEMS

----- Original Message ----From: "John Manasco" <john@manasco.net To: <metastock@metastock.com Sent: Wednesday, February 06, 2002 8:01 PM Subject: Re: adaptive systems - how to define appropriate time windows ? Here is a discussion from another email list on adaptive systems. Adaptive systems is pretty complicated matter. There are several known ways of doing it, at least about 4. The math is not too complicated but arcane and the concept is hard to comprehend. There are several questions: what does adaptive system mean? what do you adapt it to? what to adapt? what do you adapt it based on? how do you do it? what is the math? how to you implement it in code? is it doable? Adaptive means the system's algorithm tunes itself up as the "market footprint" changes to maximise the performance criterion which is max reward at min risk. If you want to discuss adaptive first you have to discuss non adaptive systems like the ones you can code in TSs. The main objective of any system is to find the balance in between the risk and the reward - which is the main criteria. in TS we do that by running optimisation and finding the suitable peak in the optimisation function. Optimisation function (OF) has a dependent and independent variables. D dependent variables are Max Profit (MP) and Min Risk (MR), independent are your parameters / inputs ( I ) example: if you have 3 inputs 3 Is your OF will is 4 or 5 dimensional ( 3 Is + MR + MP ). this could be graphically representing as a multidimensional surface. the key is to find the peak of that surface( that's why if system has more than 3 inputs I toss it ) - hard to do because it's hard to visualise. You can see now that if a system does not adapt you have to find the peak manually or you have to compromise. *most systems fail because they are not adaptive - curvefitted!!! So, the purpose of adaptive system is to find that peak in OF in real time. To know the peak you need to know the OF. to know OF you have to know: MR, MP, and all Is. let's break it down. 461

MR and MP: you have to calculate systems performance in real time. But the system does not know how it performs itself. it needs some criteria to go by. how can a system know if it works on all cylinders and bangs out max profit at min reward or just barely making it? you have to give it a reference to go by. this ref performance is called system efficiency (SE). SE is calculated in % by comparing in real time the performance of real system to the performance of ideal system. Another term needs to be introduced - ideal system. Ideal system buys the very top and sells the very bottom. you can easily calculate that buy coding a function that will sell and buy in hindsight and give you max possible profit at zero risk. now, then you take ideal system as 100% efficiency, then your SE = real performance / ideal performance. say your average SE = 30% that means you are pulling out 30% or what you can pull out of the market. this becomes the criterion to go by in adaptation or Max SE. this can fluctuate from Min allowable SE say 20% to 100% ( will never be 100%). Based on statistical runs you can then calculate mean SE to go by, say 30%. now you know what to adapt to. next is what to adapt: well, obviously you have to adapt your parameters or inputs - your Is. you have to tune your inputs to get the highest SE. that's where it gets real tricky. to be able to do that you need OF- you need that curve to tell you what the parameters should be to get max SE. let's leave this out for a second. next is what do you adapt based on: you adapt based on changing market conditions or what I call changing "market footprint". every instrument traded out there has it's own particular market footprint which is: a compilation of statistical variables common to all instruments, like: average true range ( bar velocity), average volatility, volatility std, average volume, liquidity and so on. footprint is a set of statistical parameters that you can use as fingerprints To identify and differentiate between different instruments you trade. this footprint will change in real time... volatility will fluctuate, so will volume, average bar range, etc. one day SP can trade real narrow range with low volume, the next day volatility can explode - market footprint changed. Next is how to adapt it. well, the first thing that should pop into your mind is that you need a feedback loop of some sort. The rational loop is this: footprint changed -adjust parameters to maximise SE ratio -if SE drops means footprint changed -repeat. if you examine this loop you'll notice that you need at least 2 functions ( transfer functions ) to do that: 1. parameters = f ( footprint ) 2. SE = f( parameters ) of you can rewrite it as: SE = f ( f ( footprint ) ); tells you systems

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efficiency will fluctuate based on changing market conditions. so where do you get those functions: a. from a sample run: you do a pass over data, build your OF function and then build your parameter = f( footprint ) function. log it in and use it for the real time run. you can keep updating those functions in real time. this is similar to manual optimisation where you do sample runs but in addition to that the OF gets updated in real time. b. ramp up period. you start with a ramp up period and update your 1 and 2 functions as you go along your SE will start with 0% and will be improving as those functions will be more and more accurate. the system like this will start trading real bad and then improve it's performance as it adapts and learns to trade better and better. the performance will taper off and stabilise as those functions are saturated. c. multiple parallel models: you run multiple systems based on different parameters and find the best performing one under changing market footprint and trade that best one. This approach however does not guarantee that the best performing current model will continue to be the best tomorrow. John Clayburg implemented this approach by running parallel performance functions in TS. it showed a little bit of improvement but not much. the reason again that you are chasing the best performing model that will not necessarily continue to perform good tomorrow ( best fit today is not necessarily will be the best fit tomorrow ) d. my approach. since I already went through all of the bs in paragraphs a through c what I do is the direct analytical approach - a shortcut. I ask myself a question how this specific market variable will affect my SE ( systems efficiency, performance ) or my P&L through direct math. first I try to tie as many parameters to market footprint ( market variable ) it allows me to make a shortcut and I don't have to find parameter = f ( market footprint ) function. market footprint becomes the parameter itself. Next, I try to answer the question of how will this market variable affect my PL analytically I try to find SE = f ( footprint ) function by studying how, say, volatility affects my PL in the signal generator. if market becomes noisy how will it affect my PL in the system. the answer is simple: more noise you got less money you make. Last step is to measure market variable ( market footprint ) and through those functions adjust your algorithm to pump up your SE. This is the right approach and the best one. In short, your adaptive techniques should be built right into your trading algorithm. define market footprint ( which market variables hurt or improve your systems performance ) then: use those as your parameters so that the market will itself adjust those for you then define your signal generating algorithm to include those parameters and specify how those will affect your systems performance. -specify how your trading algorithm should change based on that parameter.

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that's it. it becomes self adaptive. an example: market footprint = noise level noise level = your parameter more noise -less profit less noise -more profit. if more noise then increase risk and lengthen time horizon to maximise profit and minimise loss. if less noise then decrease risk and shorten time horizon to maximise profit and minimise loss. a common parameter is lookback. in MA. well, going by what is said is MA lookback has anything to do with a market footprint market variable - nope. You can't differentiate markets by MA lookback - toss it. another common lookback variable - ATR ( lookback ) defines a lookback in average true range calculation. Can ATR be used as a market variable to define market footprint? possibly can. that's why ATR often referred to as "adaptive" variable - changing. but even ATR can vary based on lookback used. so, it's semi adaptive, you still have the lookback to deal with.

It is self evident that the first step in designing adaptive systems is to define market footprint in variables that require no parameters or allow only parameters will not affect variable measurement itself. If you try to define noise through ATR then ATR is dependent on lookback unless the lookback value is high. If lookback value is high, ATR will not be sensitive to it's most recent change. :-) go figure. Volatility also requires lookback. Almost everything there needs a damn lookback or a factor. However if you isolate the most recent swing (current trade) in the price and find pivot high and pivot low and find the duration of that swing and use that duration as a lookback then what your saying is that I only want to measure noise during the most current trade that I am in.. This becomes adaptive lookback and ATR becomes adaptive. then your market variable can be called - ATR of last tradable swing... and not ATR of some arbitrary lookback that you think is suitable. At the end it all comes down to about 4-5 market variables that you need to define and most of them have to do with volatility in one form of the other. Volatility is the main market variable! untradable volatility = noise = risk = lag min tradable volatility = vector deviation = min signal = reward = profit or loss differential. max tradable volatility = vector volatility = max signal = trend = sum of all positive and negative profit differentials ( profitable and unprofitable trades - risk and reward )= your total P&L. find noise then you can find the signal find the signal then you can find the trend.

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find the trend then you are done just don't use any fixed lookbacks and factors :-) This is pretty much it without any hard math thrown in. bilo. P.S. markets are dynamic, most systems are static that's why most systems don't work. and if you add irrational buy and sell rules on top of many input parameters, they don't work at all. ----- Original Message ----From: "rudolf stricker" <lists@tbus-muc.de To: <metastock@metastock.com Sent: Wednesday, February 06, 2002 12:16 PM Subject: adaptive systems - how to define appropriate time windows ?

List, using an adaptive system for day-to-day trading of DAX options, I wonder, which criteria might be helpful to define "the best" time window to deal with ... Presently, I use a 5 years window, where the rating criteria to select an appropriate system are weighted something like exponentially over time. But at these rapidly changing markets, I get some unsatisfactory results: While my system shows nice results e.g. for long puts over the last year or so, this potential couldn't be used: my money management (based on 5 years) nearly stops me out from trading these system results, because the strategy working well for the last year doesn't show good results for at least some of the years before. So my questions are: What time period may be appropriate to construct a(n adaptive) trading system for a given equity? What criterions (to read from the equity's historical data) could help to define "the best" time period? What other aspects may be important to define an appropriate time window? Any hint is welcome ... mfg rudolf stricker | Disclaimer: The views of this user are strictly his own.

I'm not sure what you're looking for. What are you trying to adapt to? If you are trying to adapt your system to the current cycle length look at some of Dr. John Elhers indicators that measure cycle length. If you're trading options why not make the system adaptive to current or historical volatility. Personally I don't believe a "best" time period exists. That is too restrictive for me. A

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strongly trending stock will probably have a long cycle length while that same stock may have a very short cycle length if it is in a trading range. The problem with cycle lengths is that they are based on the past and not the future but they may provide a best guess as to the future cycle length.

ON BALANCE VOLUME You will get a better feeling for open interest influence if you combine it with an on-balance-volume indicator. The best combination I found is OBVtd= OBVyest.+(( Close-open/ high-low)*VOLtoday). Try it, you'll like it. Ira Stewart Taylor wrote: Hi Stig; My interpretation of the OI drop is a bit different than yours. I consider a drop in OI as potentially bullish when it accompanies a violent/spike low or after a long trend.. hthe main requirement is that it occur over a relatively short period of time... My interpretation is that the last long that needed to capitulate capitulated and made the low and now buyers can begin to operate. Over a long period (like on the gold chart) I suspect that it is more an indication of lack of interest than anything else... funds don't employ margin in markets that are in trading ranges and markets in long-long trading ranges don't attract the trading publics attention. The good news... low levels of OI suggest that there is margin available to be deployed and support the trend (which ever way it materializes). Just another interpretation... Stew.

At 04:24 AM 2/8/2002 , StigO wrote: part II Technical indicators is, in my opinion very bullish. I brushed up on Drummond this morning to check open Interest. And he is very clear when he says that falling OI at bottoms are very bullish (all the shorts are closing their poitions and new longs don't have the courage to buy - yet) Check out the lower histogram and how OI has declined since the 1999 low The middle indicator STRSI shows a very promising "hidden Divergence" very reliable and bullish.

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The pink histogram is Robert Miners Dynamic time Projection, which projects trend changes with the help if past tops/bottom and fib ratios. Looks like the next top will be around March 15 (Spring Equinox March 20 which is notorious for trend changes in Gold!!) So all in Medium term bullish for Gold. The June Gold contract is next. To cut out the noise I have used closing prices, which gave sone surprising result not evident on Bar charts. The chart suggests we have broken many levels. 6. The 38,2 fib retracement og the AC decline 7. The 50% retracement of the BC decline which O associate to the 3 tops which also has been broken 8. No matter how you draw the trendlines they have been broken 3 days ago - 2 days ago they were tested and yesterday we took off again 9. If we break the 61.8% retracement level (at 302)of the BC decline it looks VERY promising (we are at 306 right now) 10. 2 forks with 50% offset (black and blue) have also been broken at the trendline level. If you use bar charts you get quite different meaningless result -try it out. Since most people use barcharts today (I guess), what you see in the close only chart is not so evident. Fridays are good days for explosions - let's see what happens today.... Thanks D for poking at me - now I am convinced - I'll keep my DROOY for a while longer. Regards Stig

MARKET COMMENTARY

In TS2000i and TS6 you can cut and past the following code for the "Analysis Commentary" which helps for debugging. ==================================== Commentary("", newline, newline , "timetrade=", timetrade, newline, "marketposition =", marketposition , newline, "TradeOK=", TradeOK, newline, "date =", date , newline, "date[1] =", date[1], newline, "High =", High , newline,

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"Low =", Low, newline, "condition50-Volume =", condition50 , newline, "totaltrades =", totaltrades , newline, ); ================================= 1- apply the code to the bottom of an indicator, a showme, a paintbar, a function, or a strategy. 2- apply the indicator, showme, etc. to a chart. 3- with the chart open, activate the "Analysis Commentary" button on the toolbar. It looks like a printed page and is to the left of the "drawing objects" button. 4- the cursor changes to a small pointer with the icon like a printed page near it. 5- click on the small pointer on the particular bar in which you want to see the indicator, etc. values for debugging purposes. Note: the commentary above has several components. A- the side on the left, which has words (such as "marketposition=") and than an = sign. B- the middle--- after the second quote mark, and between the two commas ---- to the left of the word 'newline' C- the side on the right with the word 'newline' followed by a comma 1- the left side is a label that appears on the chart when you activate the "Analysis Commentary". It identifies the value that will print out on the chart. Just change the words, but keep the quotes and keep the = sign. 2- the middle is the condition, or variable or piece of info you want the value of. 3- the word 'newline' is just a line carriage to make the "Analysis Commentary" more readable when you open it on the chart.

Inputs: LookBack(9), WhereToBuy(0.5); Variables: HighValue(0), LowValue(99999), BuyValue(0); LowValue = Lowest(Low, LookBack); HighValue = Highest(High, LookBack); BuyValue = (HighValue - LowValue) * WhereToBuy ; If MarketPosition = 0 Then Begin Buy tomorrow at BuyValue + LowValue Stop;

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If Close < LowValue[1] Then ExitLong at Open; If BarsSinceEntry = 9 and OpenPositionProfit < 0 Then ExitLong on Open;

Vars: Pivot(0), S1(0), S2(0), R1(0), R2(0); Pivot = (H[1] + L[1] + C[1]) / 3; R1 = 2*Pivot - L[1]; S1 = 2*Pivot - H[1]; R2 = Pivot + (R1 - S1); S2 = Pivot - (R1 - S1); Plot1(R1, "R1"); Plot2(S1, "S1");

October 2000 The following TradeStation code is from "Moving beyond the closing price" in the issue. For TradeStation users, the EasyLanguage code is:

Inputs: LookBack(20); Variable: PercChange(0), NewLevel(0), AvgPercChange(0); PercChange = (Close Close[1])/Close[1]; AvgPercChange = Average(PercChange,20); NewLevel = Close * (1 + AvgPercChange); Plot1[1](NewLevel,); ** Inputs: StDevs(1); Variable:StdDevChange(0), UpLevel(0), DownLevel(0); StdDevChange = StdDev(PercChange, 20); UpLevel = Close * (1 + AvgPercChange + StDevs * StdDevChange); DownLevel = Close * (1 + AvgPercChange StDevs * StdDevChange); Plot2[-1](UpLevel,); Plot3[-1](DownLevel,);

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** HighPercChange = (High - Close[1])/Close[1]; ** Input: VSStd(1); Vars: SumVS(0), AvgVS(0), DiffVS(0), StdVS(0), SetArr(0), SumArr(0), DiffArr(0), VSLow(0), VSMid(0), VSHigh(0); {First we define the array} Array: VS[20](0); {Then were using a loop function to fill it with the different price changes} For SetArr = 0 To 4 Begin VS[SetArr * 4 + 0] = (O[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; VS[SetArr * 4 + 1] = (H[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; VS[SetArr * 4 + 2] = (L[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; VS[SetArr * 4 + 3] = (C[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; End; For SumArr = 0 To 19 Begin If SumArr = 0 Then SumVS = 0; SumVS = SumVS + VS[SumArr]; If SumArr = 19 Then {Here we calculate the average price change over the period} AvgVS = SumVS / 20; For DiffArr = 0 To 19 Begin If DiffArr = 0 Then DiffVS = 0; {Then we calculate the standard deviation} DiffVS = DiffVS + Square(VS[DiffArr] - AvgVS); If DiffArr = 19 Then StdVS = SquareRoot(DiffVS / 20); End; End; {Finally, we add the moving average (and the standard deviations) to the latest close for an indication of tomorrows trading range}

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VSLow = C * (1 + (AvgVS - StdVS * VSStd)); VSMid = C * (1 + AvgVS); VSHigh = C * (1 + (AvgVS + StdVS * VSStd)); Plot1[-1](VSLow, VS Low); Plot2[-1](VSMid, VS Mid); Plot3[-1](VSHigh, VS High);

Variables: RelStr(0), AvgRelStr(0), CalcRelStr(0), AvgOBV(0), CalcOBV(0), CalcStr(0); RelStr = IFF(AvgPrice = 0, 0, AvgPrice / AvgPrice Data2); AvgRelStr = Average(RelStr, 5); CalcRelStr = IFF(RelStr = 0, 0, RelStr / AvgRelStr); AvgOBV = Average(OBV, 5); CalcOBV = IFF(OBV = 0, 0, OBV / AvgOBV); CalcStr = CalcRelStr * CalcOBV; If CalcStr Crosses Above 1.0 and MarketPosition = 0 Then Buy on Close; If CalcStr Crosses Below 1 Then ExitLong on Close; If Close < EntryPrice * 0.96 Then ExitLong on Close;

Condition1 = MarketPosition = 0 and Close Average(Close, 50) and High High[1] and (close[1] < close[2] and close[2] < close[3]); If Condition1 = True Then Buy tomorrow at Market; ExitLong ("Stop") tomorrow at Lowest(Low, 2) Stop; If PositionProfit 0 Then ExitLong ("Exit") tomorrow at Market;

{Data1 = Either the SPY S&P 500 index tracking stock or the S&P 500 commodity futures contract. Data2 = Advancing issues of the Nyse.} Inputs: RL(7), BZ(3), SZ(1); If ROC(Close Data2, RL) > BZ Then Buy; If ROC(Close Data2, RL) < SZ Then Sell;

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Vars: TrendIndicator(0), RiskReward(0); If ADX(14) > ADX(14)[1] Then TrendIndicator = 4; If ADX(14) <= ADX(14)[1] Then TrendIndicator = 2; Condition1 = MarketPosition = 0 and Close > Average(Close, 50) and Open Tomorrow > High and TrendIndicator = 4; If Condition1 Then Begin Buy Tomorrow at High Limit; RiskReward = AvgTrueRange(20); End; If MarketPosition = 1 Then Begin ExitLong ("Profit") Tomorrow at (EntryPrice + RiskReward * TrendIndicator) Limit; ExitLong ("Loss") Tomorrow at (EntryPrice - RiskReward * TrendIndicator) Stop; If Close < Average(Close, 50) Then ExitLong ("Trend") at Market; End;

Vars: TotTr(0), Prof(0), TradeStr2(), CumProf(1), ETop(0), TradeStr2(""),CumProf(1), EBot(0), EDraw(0), TradeStr2(""); TotTr = TotalTrades; If TotTr > TotTr[1] Then Begin Prof = 1 + PositionProfit(1) / (EntryPrice(1) * BigPointValue); CumProf = CumProf * Prof; ETop = MaxList(ETop, CumProf); EBot = MinList(EBot, CumProf); EDraw = CumProf / ETop; TradeStr2 = NumToStr((Prof - 1) * 100, 2) + , + NumToStr((CumProf - 1) * 100, 2) + "," + NumToStr((ETop - 1) * 100, 2) + , + NumToStr((EBot - 1) * 100, 2) + "," + NumToStr((EDraw - 1) * 100, 2) + NewLine;

{Make sure that you have a temp directory on your hard drive, or re-write the path inside the FileAppend command to an exsisting directory of your choice.}

FileAppend("C:\Temp\Chap1-2.csv", TradeStr2); End;

Vars: SumVS(0), AvgVS(0), DiffVS(0), StdVS(0), SetArr(0), SumArr(0), DiffArr(0), VSLow(0), VSMid(0), VSHigh(0), RiskReward(0);

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Array: VS[20](0); For SetArr = 0 To 4 Begin VS[SetArr * 4 + 0] = (Open[SetArr] - AvgPrice[SetArr + 1]) / AvgPrice[SetArr + 1]; VS[SetArr * 4 + 1] = (High[SetArr] - AvgPrice[SetArr + 1]) / AvgPrice[SetArr + 1]; VS[SetArr * 4 + 2] = (Low[SetArr] - AvgPrice[SetArr + 1]) / AvgPrice[SetArr + 1]; VS[SetArr * 4 + 3] = (Close[SetArr] - AvgPrice[SetArr + 1]) / AvgPrice[SetArr + 1]; End; For SumArr = 0 To 19 Begin If SumArr = 0 Then SumVS = 0; SumVS = SumVS + VS[SumArr]; If SumArr = 19 Then AvgVS = SumVS / 20; For DiffArr = 0 To 19 Begin If DiffArr = 0 Then DiffVS = 0; DiffVS = DiffVS + Square(VS[DiffArr] - AvgVS); If DiffArr = 19 Then StdVS = SquareRoot(DiffVS / 20); End; End; VSLow = AvgPrice * (1 + (AvgVS - StdVS * 2)); VSMid = AvgPrice * (1 + AvgVS); VSHigh = AvgPrice * (1 + (AvgVS + StdVS * 2)); If MarketPosition = 0 Then Begin Buy ("Buy") Tomorrow at VSLow Limit; RiskReward = VSMid-VSLow; End; If MarketPosition = 1 Then ExitLong ("PT") Tomorrow At VSHigh Limit; If MarketPosition = 1 Then ExitLong ("TS") Tomorrow At VSLow Stop;

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If Open Tomorrow >= VSLow Then ExitLong ("SLa") From Entry ("Buy") At (VSLow-(VSMid-VSLow)) Stop; If Open Tomorrow < VSLow Then ExitLong ("SLb") From Entry ("Buy") At (Open Tomorrow-(VSMid-VSLow)) Stop;

Vars: MaLen(21), Ratio2(0), Ratio3(0), MaRatio2(0), MaRatio3(0), DiffMaRatio2(0), DiffMaRatio3(0), ProdDiff(0), UpperProdDiff(0), LowerProdDiff(0); Ratio2 = C / C Data2; Ratio3 = C / C Data3; MaRatio2 = Average(Ratio2, MaLen); MaRatio3 = Average(Ratio3, MaLen); DiffMaRatio2 = Ratio2 / MaRatio2; DiffMaRatio3 = Ratio3 / MaRatio3; ProdDiff = DiffMaRatio2 * DiffMaRatio3; UpperProdDiff = 1 + StdDev(ProdDiff, MaLen) * 1; LowerProdDiff = 1 - StdDev(ProdDiff, MaLen) * 2; If MarketPosition = 0 and BarsSinceExit(1) > 1 and ProdDiff > UpperProdDiff and ProdDiff > ProdDiff[2] Then Buy ("Go Long") at Close; If MarketPosition = 1 and ProdDiff < ProdDiff[4] Then ExitLong ("End Long") at Market; ExitLong ("Trailing Long") tomorrow at Lowest(Low, 2) Stop; If MarketPosition = 0 and BarsSinceExit(1) > 1 and ProdDiff < LowerProdDiff and ProdDiff < ProdDiff[2] Then Sell ("Go Short") at Close; If MarketPosition = -1 and ProdDiff > ProdDiff[4] Then ExitShort ("End Short") at Market; ExitShort ("Trailing Short") tomorrow at Highest(High, 2) Stop; If BarsSinceEntry = 8 and OpenPositionProfit < 0 Then Begin ExitLong at Market; ExitShort at Market; End;

April 2001 "Trading the VIX," by Price Headley: This is the system code (written in EasyLanguage for TradeStation), where Data1 is the OEX and Data2 is the VIX index.

{Code by Price Headley, BigTrends.com} If Close of Data1 > Average(Close of Data1, 10) and Close of Data2[5] < BollingerBand(Close of Data2, 21, 2)[5] and Close of Data2[6] > BollingerBand(Close of Data2, 21, 2)[6] Then Buy on Close of Data1;

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If BarsSinceEntry = 5 and Close of Data1 < Close of Data1[5] Then ExitLong on Close of Data1; If Close of Data1 < Average(Close of Data1, 10) and Close of Data2[10] > BollingerBand(Close of Data2, 21, -2)[10] and Close of Data2[11] < BollingerBand(Close of Data2, 21, -2)[11] Then Sell on Close of Data1; If BarsSinceEntry = 5 and Close of Data1 > Close of Data1[5] Then ExitShort on Close of Data1;

Inputs: Len(63); Vars: PointRange(0), SumPosRange(0), SumNegRange(0), AvgPosRange(0), AvgNegRange(0); PointRange = High - Low; If Close > Close[1] Then SumPosRange = SumPosRange * (Len - 1) / Len + PointRange; If Close < Close[1] Then SumNegRange = SumNegRange * (Len - 1) / Len + PointRange; AvgPosRange = SumPosRange / Len; AvgNegRange = SumNegRange / Len; {Plot statements to use in indicator only} Plot1(AvgPosRange, ""); Plot2(AvgNegRange, ""); {Buy/sell statements to use in system only} {This identifies the up trend} If PosRange > NegRange and MarketPosition = 0 Then Buy on O; If PosRange < NegRange Then ExitLong ("Down Trend") on Open; {This identifies the down trend} If NegRange > PosRange * 1.06 and NegRange >= NegRange[1] and PosRange < PosRange[1] and MarketPosition = 0 Then Sell on O; If NegRange < PosRange * 1.06 Then ExitShort ("Up Trend") on O; {This is the short-term trading rules within the up trend} If BarsSinceEntry >=1 Then Begin ExitLong ("Loss Long") tomorrow at EntryPrice - NegRange stop; ExitLong ("Trail Long") tomorrow at Open tomorrow - NegRange stop; ExitLong ("Profit Long 2") tomorrow at Open tomorrow + 3*PosRange limit; ExitLong ("Profit Long 1") tomorrow at EntryPrice + 6*PosRange limit; End; {This is the short-term trading rules within the down trend} If BarsSinceEntry >=1 Then Begin ExitShort ("Loss Short") tomorrow at EntryPrice + PosRange stop; ExitShort ("Trail Short") tomorrow at Open tomorrow + PosRange stop; ExitShort ("Profit Short 2") tomorrow at Open tomorrow - 2*NegRange limit;

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For the Trading System Lab: Input: VSStd(1); Vars: SumVS(0), AvgVS(0), DiffVS(0), StdVS(0), SetArr(0), SumArr(0), DiffArr(0), VSLow(0), VSMid(0), VSHigh(0), RiskReward(0); Array: VS[20](0); For SetArr = 0 To 4 Begin VS[SetArr * 4 + 0] = (O[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; VS[SetArr * 4 + 1] = (H[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; VS[SetArr * 4 + 2] = (L[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; VS[SetArr * 4 + 3] = (C[SetArr] - C[SetArr + 1]) / C[SetArr + 1]; End; For SumArr = 0 To 19 Begin If SumArr = 0 Then SumVS = 0; SumVS = SumVS + VS[SumArr]; If SumArr = 19 Then AvgVS = SumVS / 20; For DiffArr = 0 To 19 Begin If DiffArr = 0 Then DiffVS = 0; DiffVS = DiffVS + Square(VS[DiffArr] - AvgVS); If DiffArr = 19 Then StdVS = SquareRoot(DiffVS / 20); End; End; VSLow = C * (1 + (AvgVS - StdVS * VSStd)); VSMid = C * (1 + AvgVS); VSHigh = C * (1 + (AvgVS + StdVS * VSStd)); If MarketPosition = 0 and BarsSinceExit(1) > 1 Then Begin If Average(Close, 80) > Average(Close, 80)[11] Then Buy ("Buy") tomorrow at VSLow limit; If Average(Close, 80) < Average(Close, 80)[11] Then Sell tomorrow at VSHigh limit; End; If BarsSinceEntry >= 1 Then Begin ExitLong on Close; ExitShort on Close; End;

{Tushar Chande 2001: VIDYA/CDMA} Input: Len(10); Vars: Diff(0), MyConst(0), MyAdx(0), Varma(0), EmaIndex(0); { Index of EMA } If Len > 0 then EmaIndex = (2 / (1 + Len)) else EmaIndex = 0.20; { Stochastic oscillator using ADX }

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MyAdx = ADX(20); Diff = Highest(MyAdx, 20) - Lowest(MyAdx, 20); If Diff > 0 then MyConst = (MyAdx - Lowest(MyAdx, 20))/Diff else MyConst = EmaIndex; { Clamp length to that implied by input value of Len } If MyConst > EmaIndex then MyConst = EmaIndex; { Create the variable MA } If CurrentBar < 50 then Varma = Close else Varma = (1 - MyConst) * Varma[1] + MyConst * Close; Plot1(Varma, VarMA) ; Plot2(XAverage(Close, Len), XAvg

July 2001

Trading System Lab: Volume-weighted average Vars: MaLen(9), AvgVolume(0), Turbo(0), InvTurbo(0), MaWeight(0), TurboMA(0); AvgVolume = Average(V, MaLen); Turbo = (AvgVolume - Lowest(AvgVolume, MaLen)) / (Highest(AvgVolume, MaLen) Lowest(AvgVolume, Malen)); InvTurbo = 1 - Turbo; If MaLen > 2 Then MaWeight = (2 / (1 + MaLen)) Else MaWeight = 0.67; TurboMA = TurboMA * InvTurbo + AvgPrice * Turbo; If Date < 1000401 Then Begin If MarketPosition = 0 and C < TurboMA and TurboMA < TurboMA [1] Then Buy Tomorrow on Highest(High, 2) Stop; End; If MarketPosition = 1 and C < TurboMA Then Begin ExitLong on Close; ExitLong Tomorrow on EntryPrice * 0.96 Stop; End; If Date >= 1000401 Then Begin If MarketPosition = 0 and C > TurboMA and TurboMA > TurboMA [1] Then Sell Tomorrow on Lowest(Low, 2) Stop; End; If MarketPosition = -1 and C > TurboMA Then Begin ExitShort on Close; ExitShort Tomorrow on EntryPrice * 1.04 Stop; End;

If (Maxlist(High[3], Close[4]) > High[4] Or Maxlist(High[3], Close[4]) > High[2] Or Maxlist(High[3], Close[4]) > High[1]) and Close < Close[1] and Open Tomorrow <= High[3] Then Buy 1 Contract Tomorrow on (Maxlist(High[3], Close[4]) * 1.001) Stop;

477

If (Minlist(Low[3], Close[4]) < Low[4] Or Minlist(Low[3], Close[4]) < Low[2] Or Minlist(Low[3], Close[4]) < Low[1]) and Close > Close[1] and Open Tomorrow >= Low[3] Then Sell 1 Contract Tomorrow on (Minlist(Low[3], Close[4]) * 0.999) Stop; If EntryPrice > 0 Then Begin If MarketPosition = 1 Then Begin ExitLong on EntryPrice * 0.96 Stop; ExitLong on EntryPrice * 1.12 Limit; End; If MarketPosition = -1 Then Begin ExitShort on EntryPrice * 1.04 Stop; ExitShort on EntryPrice * 0.88 Limit; End; End; If BarsSinceEntry >= 3 Then SetExitOnClose; ExitLong on Close; ExitShort on Close; End;

September 2001

ADX spreadsheet from Indicator Insight Beta values spreadsheet (Note: If prompted to update links within the spreadsheet when Excel opens, click "No.") Programming code for 3L-R and GAP-2H patterns (from "Keeping it simple," by Michael Harris). {***************************************************** Description : 3L-R Pattern Entry Signal Developed By : Michael Harris, Tradingpatterns.com *****************************************************} if l[1] < l[2] and l[2] < l[3] and h[0] > h[3] then buy ("3L-R") next bar on the open; {***************************************************** Description : 3L-R Pattern Long Exit Signal Developed By : Michael Harris, Tradingpatterns.com Comments: ptarget and stopl are in percentage terms *****************************************************} variables: profitprice(0), stopprice(0); input: ptarget(8), stopl(8); profitprice = entryprice*(1+ptarget/100); stopprice = entryprice*(1-stopl/100); if marketposition =1 then begin exitlong ("3L-R Exit") at profitprice limit; exitlong ("3L-R Stop") at stopprice stop; end; ** {*********************************************** Description : GAP-2H Pattern Entry Signal Developed By : Michael Harris, Tradingpatterns.com

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***********************************************} if h[0] > h[1] and h[2] > l[2] and l[0] > l[1] and l[1] > h[2] and h[1] > l[0] then buy ("GPA-2H") next bar on the open; {*********************************************** Description : GAP-2H Pattern Long Exit Signal Developed By : Michael Harris, Tradingpatterns.com Comments: ptarget and stopl are in percentage terms ***********************************************} variables: profitprice(0), stopprice(0); input: ptarget(7), stopl(7); profitprice = entryprice*(1+ptarget/100); stopprice = entryprice*(1-stopl/100); if marketposition =1 then begin exitlong ("GAP-2H Exit") at profitprice limit; exitlong ("GAP-2H Stop") at stopprice stop; end;

** October 2001

Formula for the Beta Value system found in the Trading System Lab (p. 82) Inputs: DepPrice(Close of data1), IndPrice(Close of data2); Vars: Length(63), iBeta(1), Ind(0), Dep(0), SumX(0), SumY(0), SumXY(0), SumXsq(0), j(0); Dep = (DepPrice - DepPrice[1]) / DepPrice[1]; Ind = (IndPrice - IndPrice[1]) / IndPrice[1]; If CurrentBar >= Length Then Begin SumX = Summation(Ind, Length); SumXY = 0; SumY = Summation(Dep, Length); SumXsq = 0; For j = 0 to Length - 1 Begin SumXY = SumXY + (Ind[j] * Dep[j]); SumXsq = SumXsq + Square(Ind[j]); End; If SumXY <> 0 and SumX <> 0 Then iBeta = ((Length * SumXY) - (SumX * SumY)) / ((Length * SumXsq) - Square(SumX)); If IndPrice > Average(IndPrice, Length) and iBeta > 1 and MarketPosition <> 1 Then Buy 1 Contract Tomorrow at Lowest(Low, 5) Limit; If IndPrice < Average(IndPrice, Length) and iBeta < 1 and MarketPosition <> -1 Then SellShort 1 Contract Tomorrow at Highest(High, 5) Limit; If EntryPrice > 0 Then Begin If Close < EntryPrice * 0.96 or Close > EntryPrice * 1.12 Then Sell Tomorrow at Market; If Close > EntryPrice * 1.04 or Close < EntryPrice * 0.88 Then BuyToCover Tomorrow at Market; End; End;

479

November 2001

Formula for the Harris 3L-R pattern variation system found in the Trading System Lab (p. 74) Inputs: PTarget(12), StopL(4); Variables: ProfitPrice(0), StopPrice(0); If L[1] < L[2] and L[2] < L[3] and H[0] > H[3] Then Buy ("3L-R") Next Bar on Open; ProfitPrice = EntryPrice * (1 + PTarget / 100); StopPrice = EntryPrice * (1 - PTarget / 100); If MarketPosition = 1 Then Begin Sell ("3L-R Exit") Next Bar at ProfitPrice Limit; Sell ("3L-R Stop") Next Bar at StopPrice Stop; End;

December 2001

Formula for the Deep Pockets system found in the Trading System Lab (p. 58) Inputs: MaxLength(5); Variables: MarPos(0), LongLoss(0), ShortLoss(0); If BarsSinceEntry >= (MaxLength - 2) Then SetExitOnClose; If MarketPosition <> 1 and Close < AvgPrice and AvgPrice < AvgPrice[5] Then Begin If Open Tomorrow < AvgPrice Then Begin Buy ("Long") tomorrow at AvgPrice Stop; End; End; If MarketPosition <> -1 and Close > AvgPrice and AvgPrice > AvgPrice[5] Then Begin If Open Tomorrow > AvgPrice Then Begin SellShort ("Short") tomorrow at AvgPrice Stop; End; End; MarPos = MarketPosition; If MarPos <> MarPos[1] and MarPos = 1 Then LongLoss = Low[1]; If MarPos <> MarPos[1] and MarPos = -1 Then ShortLoss = High[1]; If EntryPrice > 0 Then Begin If BarsSinceEntry >= 1 Then Begin LongLoss = MaxList(LongLoss, Low); ShortLoss = MinList(ShortLoss, High); End Else Begin LongLoss = MaxList(LongLoss, Low); ShortLoss = MinList(ShortLoss, High); End; If MarketPosition = 1 Then Begin Sell ("LS") tomorrow at LongLoss Stop; Sell ("LT") tomorrow at Highest(High, 5) Limit; End; If MarketPosition = -1 Then Begin BuyToCover ("SS") tomorrow at ShortLoss Stop; BuyToCover ("ST") tomorrow at Lowest(Low, 5) Limit; End; End;

480

January 2002

Formula for the Pair-trade system found in the Trading System Lab Variables: LenRC(5), TradeLenRC(5), RiskCalc(0), RC1(0), RC2(0), RC3(0), RC4(0), RC5(0), RC6(0), RC7(0), RC8(0), RC9(0), RC10(0); RC1 = RateOfChange(Close Data1, LenRC); RC2 = RateOfChange(Close Data2, LenRC); RC3 = RateOfChange(Close Data3, LenRC); RC4 = RateOfChange(Close Data4, LenRC); RC5 = RateOfChange(Close Data5, LenRC); RC6 = RateOfChange(Close Data6, LenRC); RC7 = RateOfChange(Close Data7, LenRC); RC8 = RateOfChange(Close Data8, LenRC); RC9 = RateOfChange(Close Data9, LenRC); RC10 = RateOfChange(Close Data10, LenRC); If MarketPosition = 0 and RC1 = MinList(RC1,RC2,RC3,RC4,RC5,RC6,RC7,RC8,RC9,RC10) Then Begin Buy Next Bar at Market; RiskCalc = AvgTrueRange(5); End; If MarketPosition = 0 and RC1 = MaxList(RC1,RC2,RC3,RC4,RC5,RC6,RC7,RC8,RC9,RC10) Then Begin Sell Next Bar at Market; RiskCalc = AvgTrueRange(5); End; If BarsSinceEntry >= TradeLenRC Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Formula for the True Strength Index (TSI): TSI(close,r,s) = 100*EMA(EMA(mtm,r),s)/EMA(EMA(|mtm|,r),s) where mtm = closetoday - closeyesterday EMA(mtm,r) = exponential moving average of mtm with alpha = r EMA(EMA(mtm,r),s) = exponential moving average of EMA(mtm,r) with alpha = s |mtm| = absolute value of mtm r = 25, s = 13 ** For MetaStock, use the Indicator Builder: 100*(Mov(Mov((CLOSE - Ref(CLOSE,-1)),25,E),13,E))/(Mov(Mov(Abs(CLOSE - Ref(CLOSE,1)),25,E),13,E)) For CQGNet, you first create the momentum (MTM) value, then create the TSI indicator in the custom studies module. Under the User Values tab create a new User Value "MTM" (Figure 2): Close(@) - Close (@)[-1]

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Next, under the Custom Studies tab create the new Custom Study TSI (Figure 3): 100*( MA(MA( V.mtm(@),Exp,25.000),Exp,13.000) )/( MA(MA( Abs( V.mtm(@)),Exp,25.000),Exp,13.000) )

February 2002

Formula for the Pair-trade II system found in the Trading System Lab Vars: Ratio(0), AvgRatio(0), RiskCalc(0); Ratio = Close Data1 / Close Data2; AvgRatio = XAverage(Ratio, 9); If AvgRatio Crosses above AvgRatio[9] Then Begin Buy at market; RiskCalc = AvgTrueRange(9); End; If AvgRatio Crosses below AvgRatio[9] Then Begin Sell at market; RiskCalc = AvgTrueRange(9); End;

March 2002

Formula for the system dicussed in "Putting stops to the test," by Thomas Stridsman (p. 82): {This code is for a ShowMe} If High[1] < High[3] and Close[1] < Open[1] and Open < High[1] and High > High[1] Then Plot1(High * 1.01, ""); If Low[1] > Low[3] and Close[1] > Open[1] and Open > Low[1] and Low < Low[1] Then Plot2(Low * 0.99, ""); {End ShowMe} {This code is for a signal} Inputs: TestRuns(9), ExitLevels(0); Variables: EntryTrigger(0), LongStopLoss(0), ShortStopLoss(0), ExitTrigger(0); EntryTrigger = IntPortion(Random(2)); ExitTrigger = (ExitLevels / 5 + 0.2) / 100; If EntryTrigger = 1 and MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; LongStopLoss = 1 - ExitTrigger; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; ShortStopLoss = 1 + ExitTrigger; End; End; If MarketPosition = 1 Then ExitLong Next Bar at EntryPrice * LongStopLoss Stop; If MarketPosition = -1 Then ExitShort Next Bar at EntryPrice * ShortStopLoss Stop; If BarsSinceEntry = 4 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End;

482

Variables: NoTrades(0), MarPos(0), TrProfit(0), SumTrProfit(0), AvgTrade(0), TestString(""), FileString(""); NoTrades = TotalTrades; MarPos = MarketPosition; If NoTrades > NoTrades[1] Then Begin If MarPos[1] = 1 Then TrProfit = (ExitPrice(1) - EntryPrice(1)) * 100 / EntryPrice(1); If MarPos[1] = -1 Then TrProfit = (EntryPrice(1) - ExitPrice(1)) * 100 / EntryPrice(1); SumTrProfit = SumTrProfit + TrProfit; End; If LastCalcDate = Date + 1 Then Begin AvgTrade = SumTrProfit / NoTrades; TestString = LeftStr (GetSymbolName, 5) + "," + NumToStr(TestRuns, 0) + "," + NumToStr(ExitTrigger*100, 2) + "," + NumToStr(AvgTrade, 2) + NewLine; FileString = "D:\Temp\StopTest-" + RightStr(NumToStr(CurrentDate, 0), 4) + ".csv"; FileAppend(FileString, TestString); End; {End Signal}

April 2002

Formula for the April Trading System Lab (p. 62): Variables: LenRC(5), TradeLenRC(5), RiskCalc(0), MMExport(1), RC1(0), RC2(0), RC3(0), RC4(0), RC5(0), RC6(0), RC7(0), RC8(0), RC9(0), RC10(0), TrendFilter(0); RC1 = RateOfChange(Close Data1, LenRC); RC2 = RateOfChange(Close Data2, LenRC); RC3 = RateOfChange(Close Data3, LenRC); RC4 = RateOfChange(Close Data4, LenRC); RC5 = RateOfChange(Close Data5, LenRC); RC6 = RateOfChange(Close Data6, LenRC); RC7 = RateOfChange(Close Data7, LenRC); RC8 = RateOfChange(Close Data8, LenRC); RC9 = RateOfChange(Close Data9, LenRC); RC10 = RateOfChange(Close Data10, LenRC); TrendFilter = Average(Close Data11, 80); If TrendFilter > TrendFilter[11] Then Begin If MarketPosition = 0 and RC1 = MinList(RC1,RC2,RC3,RC4,RC5,RC6,RC7,RC8,RC9,RC10) Then Begin Buy Next Bar at Market; RiskCalc = AvgTrueRange(5); End; If MarketPosition = 0 and RC1 = MaxList(RC1,RC2,RC3,RC4,RC5,RC6,RC7,RC8,RC9,RC10) Then Begin Sell Next Bar at Market; RiskCalc = AvgTrueRange(5); End; End; If TrendFilter < TrendFilter[11] Then Begin If MarketPosition = 0 and RC1 = MinList(RC1,RC2,RC3,RC4,RC5,RC6,RC7,RC8,RC9,RC10) Then Begin Sell Next Bar at Market; RiskCalc = AvgTrueRange(5); End; If MarketPosition = 0 and RC1 =

483

MaxList(RC1,RC2,RC3,RC4,RC5,RC6,RC7,RC8,RC9,RC10) Then Begin Buy Next Bar at Market; RiskCalc = AvgTrueRange(5); End; End; If BarsSinceEntry >= TradeLenRC Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Formula for the system dicussed in "Balancing stop size and trade length" by Thomas Stridsman (p. 66): Inputs: TestRuns(9), ExitLevels(0), BarsInTrade(0); Variables: EntryTrigger(0), LongStopLoss(0), ShortStopLoss(0), ExitTrigger(0); EntryTrigger = IntPortion(Random(2)); ExitTrigger = (ExitLevels / 5 + 0.2) / 100; If EntryTrigger = 1 and MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; LongStopLoss = 1 - ExitTrigger; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; ShortStopLoss = 1 + ExitTrigger; End; End; If MarketPosition = 1 Then ExitLong Next Bar at EntryPrice * LongStopLoss Stop; If MarketPosition = -1 Then ExitShort Next Bar at EntryPrice * ShortStopLoss Stop; If BarsSinceEntry = BarsInTrade+1 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Variables: NoTrades(0), MarPos(0), TrProfit(0), SumTrProfit(0), AvgTrade(0), TestString(""), FileString(""); NoTrades = TotalTrades; MarPos = MarketPosition; If NoTrades > NoTrades[1] Then Begin If MarPos[1] = 1 Then TrProfit = (ExitPrice(1) - EntryPrice(1)) * 100 / EntryPrice(1); If MarPos[1] = -1 Then TrProfit = (EntryPrice(1) - ExitPrice(1)) * 100 / EntryPrice(1); SumTrProfit = SumTrProfit + TrProfit; End; If LastCalcDate = Date + 1 Then Begin AvgTrade = SumTrProfit / NoTrades; TestString = LeftStr(GetSymbolName, 5) + "," + NumToStr(TestRuns, 0) + "," + NumToStr(ExitTrigger*100, 2) + "," + NumToStr(BarsInTrade+1, 2) + "," + NumToStr(AvgTrade, 2) + NewLine; FileString = "D:\Temp\StopTest-" + RightStr(NumToStr(CurrentDate, 0), 4) + ".csv"; FileAppend(FileString, TestString); End;

May 2002

484

Formula for the system discussed in "Looking for a target," by Thomas Stridsman (p. 84): Inputs: BarsInTrade(0), ProfitExit(0), LossExit(0); Variables: EntryTrigger(0), LongStop(0), ShortStop(0), LongTarget(0), ShortTarget(0), LimitExit(0), StopExit(0); EntryTrigger = IntPortion(Random(2)); LimitExit = (ProfitExit / 2 + 0.5) / 100; StopExit = (LossExit / 5 + 0.2) / 100; If EntryTrigger = 1 and MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; LongStop = 1 - StopExit; LongTarget = 1 + LimitExit; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; ShortStop = 1 + StopExit; ShortTarget = 1 - LimitExit; End; End; If MarketPosition = 1 Then Begin ExitLong Next Bar at EntryPrice * LongStop Stop; ExitLong Next Bar at EntryPrice * LongTarget Limit; End; If MarketPosition = -1 Then Begin ExitShort Next Bar at EntryPrice * ShortStop Stop; ExitShort Next Bar at EntryPrice * ShortTarget Limit; End; If BarsSinceEntry = BarsInTrade+1 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Variables: NoTrades(0), MarPos(0), TrProfit(0), SumTrProfit(0), AvgTrade(0), TestString(""), FileString(""); NoTrades = TotalTrades; MarPos = MarketPosition; If NoTrades > NoTrades[1] Then Begin If MarPos[1] = 1 Then TrProfit = (ExitPrice(1) - EntryPrice(1)) * 100 / EntryPrice(1); If MarPos[1] = -1 Then TrProfit = (EntryPrice(1) - ExitPrice(1)) * 100 / EntryPrice(1); SumTrProfit = SumTrProfit + TrProfit; End; If LastCalcDate = Date + 2 Then Begin AvgTrade = SumTrProfit / NoTrades; TestString = LeftStr(GetSymbolName, 5) + "," + NumToStr(BarsInTrade+1, 2) + "," + NumToStr(LimitExit*100, 2) + "," + NumToStr(StopExit*100, 2) + "," + NumToStr(AvgTrade, 2) + NewLine; FileString = "D:\Temp\StopTest-" + RightStr(NumToStr(CurrentDate, 0), 4) + ".csv"; FileAppend(FileString, TestString); End; Formula for the May Trading System Lab (p. 70): {Three black candle sticks for entry:} If High < High[1] and High [1] < High[2] and High[2] < High[3] and

485

Close < Open and Close[1] < Open[1] and Close[2] < Open[2] Then Buy Tomorrow at High Stop; {Trailing stop:} ExitLong Tomorrow at Low Stop; {Profit taking Gap higher:} If MarketPosition <> 0 and Open Tomorrow > High Then ExitLong Tomorrow at Open; { Retracement bar:} If High > High[1] and Close < Close[1] Then SetExitOnClose; MetaStock formula for the StochRSI (p. 52): (Sum(RSI(5)-LLV(RSI(5),3),3)/Sum(HHV(RSI(5),3)-LLV(RSI(5),3),3))*100

June 2002

Formula for the June Trading System Lab (p. 70): Inputs: BarsInTrade(8), ProfitExit(8), LossExit(4); Variables: LongStop(0), ShortStop(0), LongTarget(0), ShortTarget(0), LimitExit(0), StopExit(0); LimitExit = (ProfitExit / 2 + 0.5) / 100; StopExit = (LossExit / 5 + 0.2) / 100; If MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; LongStop = 1 - StopExit; LongTarget = 1 + LimitExit; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; ShortStop = 1 + StopExit; ShortTarget = 1 - LimitExit; End; End; If MarketPosition = 1 Then Begin ExitLong Next Bar at EntryPrice * LongStop Stop; ExitLong Next Bar at EntryPrice * LongTarget Limit; End; If MarketPosition = -1 Then Begin ExitShort Next Bar at EntryPrice * ShortStop Stop; ExitShort Next Bar at EntryPrice * ShortTarget Limit; End; If BarsSinceEntry = BarsInTrade+1 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Formula from "Simple but Effective" by Michael Harris (p. 64)

MetaStock Code {Long positions only, profit target = 1 point, stop-loss = 1 point, entry at the open of next day}

486

(Ref(c,-5)>Ref(c,-4)) and (Ref(c,-4)>Ref(c,-3)) and (Ref(c,-3)>Ref(c,-2)) and (Ref(c,2)>Ref(c,0)) and Ref(c,0)>Ref(c,-1)) EasyLanguage Code (2000i) input:targetpoints(0), stoppoints(0), multiplier(1); variables: profitprice(0), stopprice(0); If c[5]>c[4] and c[4]>c[3] and c[3]>c[2] and c[2]>c[0] and c[0]>c[1] then begin Buy next bar on the open; If marketposition = 0 then begin exitlong next bar at open of tomorrow+ (targetpoints * multiplier) points limit; exitlong next bar at open of tomorrow- (stoppoints * multiplier) points stop; end; end: if marketposition = 1 then begin profitprice = entryprice + (targetpoints * multiplier) points; stopprice = entryprice - (stoppoints * multiplier) points; exitlong at profitprice limit; exitlong at stopprice stop: end;

MetaStock Code {Long positions only, profit target = 3%, stop-loss = 3% (of entry price), entry at the open of next day} (Ref(c,0)>Ref(c,-2)) and (Ref(c,-2)>Ref(c,-1)) and (Ref(c,-1)>Ref(c,-3)) and (Ref(c,-3)>Ref(c,4)) and Ref(c,-4)>Ref(c,-5)) EasyLanguage Code (2000i) input:ptarget(0), stop1(0); variables: profitprice(0), stopprice(0); If c[0]>c[2] and c[2]>c[1] and c[1]>c[3] and c[3]>c[4] and c[4]>c[5] then begin Buy next bar on the open; If marketposition = 0 then begin exitlong next bar at open of tomorrow * (1 + ptarget/100) limit; exitlong next bar at open of tomorrow * (1 - stop1/100) stop; end; end: if marketposition = 1 then begin profitprice = entryprice * (1 + ptarget/100) points; stopprice = entryprice * (1 - stop1/100) points; exitlong at profitprice limit; exitlong at stopprice stop: end;

MetaStock Code {Long positions only, profit target = 10%, stop-loss = 10% (of entry price), entry at the open of next day} (Ref(c,-1)>Ref(c,0)) and (Ref(c,0)>Ref(c,-2)) and (Ref(c,-2)>Ref(c,-3)) and (Ref(c,-3)>Ref(c,4)) and Ref(c,-4)>Ref(c,-5)) EasyLanguage Code (2000i)

487

input:ptarget(0), stop1(0); variables: profitprice(0), stopprice(0); If c[1]>c[0] and c[0]>c[2] and c[2]>c[3] and c[3]>c[4] and c[4]>c[5] then begin Buy next bar on the open; If marketposition = 0 then begin exitlong next bar at open of tomorrow * (1 + ptarget/100) limit; exitlong next bar at open of tomorrow * (1 - stop1/100) stop; end; end: if marketposition = 1 then begin profitprice = entryprice * (1 + ptarget/100) points; stopprice = entryprice * (1 - stop1/100) points; exitlong at profitprice limit; exitlong at stopprice stop: end; Programming code from "Happy Trails" by Thomas Stridsman (p. 76) The EntryTrigger at the top of the code ensures that each signal will be traded at random so that every trading sequence will be unique. The bottom part of the code exports the necessary data for further analysis in Excel. Note: If you use the system in live trading, you need to get rid of the EntryTrigger variable. Inputs: BarsInTrade(0), ProfitExit(0), LossExit(0); Variables: EntryTrigger(0), LongStop(0), ShortStop(0), LongTarget(0), ShortTarget(0), LimitExit(0), StopExit(0), Top(0), Bottom(0); EntryTrigger = IntPortion(Random(2)); LimitExit = (ProfitExit / 2 + 0.5) / 100; StopExit = (LossExit / 5 + 0.2) / 100; If EntryTrigger = 1 and MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; Top = High; LongStop = 1 - StopExit; LongTarget = 1 + LimitExit; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; Bottom = Low; ShortStop = 1 + StopExit; ShortTarget = 1 - LimitExit; End; End; If MarketPosition = 1 Then Begin Top = MaxList(Top, High); ExitLong Next Bar at Top * LongStop Stop; ExitLong Next Bar at EntryPrice * LongTarget Limit; End; If MarketPosition = -1 Then Begin Bottom = MinList(Bottom, Low); ExitShort Next Bar at Bottom * ShortStop Stop; ExitShort Next Bar at EntryPrice * ShortTarget Limit; End; If BarsSinceEntry = BarsInTrade+1 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Variables: NoTrades(0), MarPos(0), TrProfit(0), SumTrProfit(0), AvgTrade(0), TestString(""), FileString("");

488

NoTrades = TotalTrades; MarPos = MarketPosition; If NoTrades > NoTrades[1] Then Begin If MarPos[1] = 1 Then TrProfit = (ExitPrice(1) - EntryPrice(1)) * 100 / EntryPrice(1); If MarPos[1] = -1 Then TrProfit = (EntryPrice(1) - ExitPrice(1)) * 100 / EntryPrice(1); SumTrProfit = SumTrProfit + TrProfit; End; If LastCalcDate = Date + 2 Then Begin AvgTrade = SumTrProfit / NoTrades; TestString = LeftStr(GetSymbolName, 5) + "," + NumToStr(BarsInTrade+1, 2) + "," + NumToStr(LimitExit*100, 2) + "," + NumToStr(StopExit*100, 2) + "," + NumToStr(AvgTrade, 2) + NewLine; FileString = "D:\Temp\StopTest-" + RightStr(NumToStr(CurrentDate, 0), 4) + ".csv"; FileAppend(FileString, TestString); End;

July 2002

Formula for the July Trading System Lab (p. 70): Variables: RiskCalc(0); If MarketPosition <> 1 and Average(Close, 9) Crosses above Average(Close, 36) Then Begin RiskCalc = 4 * AvgTrueRange(10); Buy Next Bar at Market; End; If Average(Close, 9) Crosses below Average(Close, 36) Then ExitLong Next Bar at Market; If MarketPosition = 1 and EntryPrice > 0 Then ExitLong Next Bar at EntryPrice - RiskCalc Stop;

August 2002

Formula for the July Trading System Lab (p. 70): If MarketPosition <> -1 Then Sell Next Bar at Close[1] + 2 * AvgTrueRange(5) limit; If MarketPosition <> 1 Then Buy Next Bar Close[1] - 2 * AvgTrueRange(5) limit; If MarketPosition = 1 Then Begin ExitLong Next Bar at EntryPrice - AvgTrueRange(5) Stop; ExitLong Next Bar at EntryPrice + 2 * AvgTrueRange(5) Limit; End; If MarketPosition = -1 Then Begin ExitShort Next Bar at EntryPrice + AvgTrueRange(5) Stop; ExitShort Next Bar at EntryPrice - 2 * AvgTrueRange(5) Limit; End;

489

Inputs:Option(1); Vars:x(0),Counter(0),BarBack(0),Str(""); Counter=0; For x=0 to 3 begin If Option<=1 Or Option>3 then begin {Refer the closes in the condition} If (C[x]>=L[BarBack]) and (C[x]<=H[BarBack]) then Counter=Counter+1; end; If Option=2 then begin {Refer the opens in the condition} If (O[x]>=L[BarBack]) and (O[x]<=H[BarBack]) then Counter=Counter+1; end; If Option=3 then begin {Refer both in the condition} If (C[x]>=L[BarBack]) and (C[x]<=H[BarBack]) and (O[x]>=L[BarBack]) and (O[x]<=H[BarBack]) then Counter=Counter+1; end; end; If Counter=4 then begin {If the condition is true plot the congestion bars} For x=0 to 3 begin Plot1[x](H[x],"H"); Plot2[x](L[x],"L"); end; end; If Counter=4 then Barback=BarBack+1 else BarBack=4; {If the condition is true use the engulfing bar as reference}

NARROW RANGE 4 (NR4) DAYS A Narrow Range 4 day occurs when the range of today's prices (the high minus the low) is the smallest range of the past four days. A Narrow Range 4 day appears as follows:

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As you can see, the price range (high - low) of the most recent day on the right is smaller than the price range of the previous three days. Unlike some of the other patterns discussed here, the Narrow Range 4 day occurs with moderate frequency. Here is a chart of November 2001 soybeans, with each Narrow Range 4 Day colored in red and marked by an upward pointing arrow beneath the bar.

Similar to an Inside Day, the Narrow Range 4 day signals a period of reduced price volatility that may be the prelude to a significant price move in the market. When an NR4 day occurs, traders should position themselves to trade in the direction of a price breakout NARROW RANGE 7 (NR7) DAYS A Narrow Range 7 day occurs when the range of today's prices (the high minus the low) is the smallest range of the most recent seven days. A Narrow Range 7 day appears as follows:

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As you can see, the price range (high - low) of the most recent day on the right is smaller than the price range of all the other price bars. Here is a chart of November 2001 soybeans, with each Narrow Range 7 Day colored in red and marked by an upward pointing arrow beneath the bar.

Similar to an Inside Day, the Narrow Range 7 day signals a period of reduced price volatility that may be the prelude to a significant price move in the market. When an NR7 day occurs, traders should position themselves to trade in the direction of a price breakout. HISTORICAL VOLATILITY Just as markets will trade higher or lower in price, markets also enter periods of increased or reduced volatility. This relative volatility of the market can be used as an indicator of future market expansion or contraction. When the market enters into a period of contraction, prices don't move significantly, the overall range is low and volatility is reduced. Periods of contraction invariably lead to periods of price expansion, when price moves in a defined price trend and changes in price are substantial. One way of identifying periods of market expansion and contraction is by calculating a ratio of recent volatility over long term volatility, and then forecasting a period of market expansion when the short-range volatility drops below 50% of the long-range volatility. The chart below of the Eurodollar market shows the ratio of 10 day historical volatility to 100 day historical volatility. When this ratio (marked in red on the chart) crosses below the 50% threshold (marked in green), the market has entered 492

into a short-term period of significant contraction. Traders may anticipate that the market is about to expand significantly and enter into a pronounced price trend, so the traders can plan accordingly.

As you can see from the chart above, in the middle of June, the ratio of 10 day historical volatility to 100 day historical volatility dropped below 50% (the green line). It persisted there for about ten market days, and then exploded higher, as the Eurodollar market dropped significantly. BOLLINGER BANDS Standard Deviation or Bollinger Bands are price bands that are used to monitor trends in prices as well as overall market volatility. The upper Bollinger band represents a fixed number of standard deviations above the average, and the lower Bollinger band represents a fixed number of standard deviations below the average. By using standard deviations rather than a fixed percentage, the bands adjust for volatility. During volatile periods, the bands move further away from the average, while during market lulls, the bands move closer to the average. For those who don't recall high school statistics, the Standard Deviation is a measure of how widely values are dispersed from the average value (the mean). The calculation for standard deviation is:

Bollinger bands are usually included in most charting software. Here is a chart of November 2001 soybeans, with the 20 day Bollinger bands colored in red with a 20 day moving average colored in green.

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The area between the higher and lower Bollinger bands is the area in which prices should trade most frequently. Consequently, when price hits either the higher or lower Bollinger band, it tends to reverse direction and go to the other Bollinger Band, especially if the Bollinger bands themselves do not appear to reflect a major trend (they are flat or sideways). Bollinger bands can also be used to identify periods of market contraction and reduced volatility. When the higher and lower Bollinger bands are very close together, traders should be ready for market action that boosts volatility back to average levels - i.e., some kind of significant price move is about to take place.

OUTSIDE DAY, NR4 AND MOVING AVERAGE The combination of an NR4 day followed by an Outside Day that penetrates the moving average following a pullback from the long-term trend can represent an excellent short-term trading opportunity. Let's look at an example from the Canadian Dollar market:

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At the point marked #1, we see that although both the Bollinger Bands and the Moving Averages have been moving higher, the market has moved lower on a shortterm basis, closing below the 20 day moving average (marked in blue). The subsequent day is an NR4 day. The third day opens below the low of the NR4 day but immediately begins trading higher. In anticipation of an Outside Day formation, traders could have bought the market while protecting themselves by placing their stop loss order at the low of the day. As markets traded higher and penetrated the 20 day moving average, the opportunity for a rebound has grown stronger. Traders could have added to their long positions the following day as the market traded above the high of the outside day, again while maintaining their stop loss at the low of the Outside Day. NR7, INSIDE DAY AND BOLLINGER BAND Following a pronounced price move in the markets, the emergence of an NR7 day can signify that the market is pausing before making a significant price move. The following example from the Canadian Dollar market shows:

As prices move up towards the upper Bollinger Band (marked in red, point #1), the market experiences a day of consolidation that is both an Inside Day and an NR7 day. At this point, traders should expect a significant price breakout. In this case, the next day traded lower and although the long-term trend was higher, the confluence of these two patterns offered the opportunity for a trade with lower risk as the stop-loss order could have been placed just above the high of the NR7 day. One of the most compelling features of the Trader's Toolbox is the fact that it can identify a wide range of trading setups in a given market. In the following example, we explore a number of trade setups that occurred in the November 2001 Soybean market.

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Trade Setup #1 Following a period when the upper and lower Bollinger Bands became extremely close to one another, the soybean market gapped lower in price towards the end of December 2000. Soon after the gap move, the market had an inside day (marked by the yellow #1). Following the pattern interpretation described in the Toolbox, traders could seek to get short in the direction of the prevailing trend the following day by placing a sell stop at a tick below the low of the inside day and a protective buy stop at a tick above the high of the inside day. The trade would be filled that day, as the market proceeded to trade lower throughout the day. When it comes to managing the trade, the protective buy stop could be maintained at a tick above the high of the inside day for three days at which time the trader could reassess the trading situation. At that time, the trader may wish to take off part of the trading position (if multiple contracts were used), adjust their protective buy stop lower to protect some of their open profits or exit the position all together. It's important to note, however, that with this type of setup, the trade is allowed to run for three days before the trader seeks to exit with profits. Of course, the trade could be stopped out at any time should the market reverse action. There is one caveat to this "three day rule" - should the lower Bollinger Band be pointing at an angle that is 45 degrees or more - that is, a very steep angle, the trader might wait FIVE DAYS before re-assessing the trade, moving up stops or taking profits. This is because the market has entered into a pronounced trend move and may continue moving lower for an extended period of time. The market continued to hug the lower Bollinger band for about two and a half weeks before entering into a consolidation phase (signified by the yellow #2). The market then experienced an Outside Day that closed higher. Given the sharp decline experienced in the previous weeks, this could be used as the signal to exit the trade and lock in profits.

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Trade Setup #2 On the second day following the Outside Day that had prompted an exit from the first trade setup, the market puts in another Inside Day (marked in yellow #3). Again, like the first trade, a sell stop is placed one tick below the low of the Inside Day while a protective buy stop is placed above the high of the Inside Day (note that we're only looking to sell here, not buy, since the longer-term trend of the market is obviously lower). We are filled on the final day and maintain our protective stop order at one tick above the high of the Insiday Day for three days at which time we re-appraise the situation (marked in yellow, #4). The trader could decide to exit the trade completely, move their protective stop lower in order to lock in some profits or exit the position partially.

Trade Setup #4 As the market rebounds from its latest downmove, it begins to approach the 20 period moving average. As the market has been moving in a pronounced downtrend for the past month, traders could look for this opportunity to get short the market as oftentimes the price will approach the moving average but not penetrate, instead continuing downward to the lower Bollinger band in a continuation of the downtrend.

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At the point marked #5 in yellow, the market attempted to trade higher than the moving average but failed to hit it, instead turning downward and forming an Outside Day in the process. Traders could have gotten short at the low of the previous day in anticipation of this reversal, placing a protective buy stop just above the high of the day. As the market continued lower, the trader should wait for the third day to reappraise the trade: deciding either to move their stops, take partial profits or get out of the trade all together. Note that since the lower Bollinger Band is NOT demonstrating a sharp decline (in fact, it's pointing up a little bit), you would wait only THREE DAYS and not FIVE DAYS to re-appraise the situation.

Trade Setup #4 At the point marked in yellow, #7, we have an Outside Day where the market opened above the high of the previous day but then traded lower below the low fo the previous day. This bearish formation should have been traded on the short side, with the trade being entered at a tick below the low of the previous day with the protective stop at the high of the Outside Day. Unfortunately, two days after entering this trade, the market gapped higher, stopping out the trade at a loss.

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Trade Setup #5 At point #9 marked in yellow, the market puts in another Inside Day. Again, to position ourselves, we place a buy stop above the high of the Insiday Day and a protective sell stop below the low of the Inside Day. Because the market is trading above the 20 day moving average (in blue), we are willing to take a buy signal whereas earlier, when the market was trading below the 20 day moving average, we would be more reluctant to do so. The next is an Outside Day and the buy signal is taken while the sell stop is maintained as a protective measure. The market trades higher over the next couple of days. After three days, the trader can re-assess whether to maintain the position, move up the protective stop, or exit the position partially.

Like any other craft, trading requires the right tool(s) for the job. In this case, combining a simple trend indicator with a bull/bear momentum calculation creates an excellent timing tool for short-term traders.

By THOMAS A. BIEROVIC Many winning trading strategies rely on two technical indicators one to determine a markets underlying trend and another to time a trade. The Powertool strategy is a good example: It uses Joseph Stowells three-bar net line as the trend indicator and Dr. Alexander Elders bull power/bear power as the timing indicator. Together, the two indicators create synergy i.e., a whole greater than the sum of its parts: Trading with the three-bar net line is more precise when trades are timed with bull power/bear power; and trading with bull power/bear power is more consistent when trades are taken in the direction of the three-bar net line.

To draw a three-bar net line (see Figures 1 and 2, below) when price has been rising recently, first find the highest high for the current upswing and label it bar 1. Next, look to the left and

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find the most recent low that is lower than the low of bar 1 and label it bar 2. Finally, look left again and find the most recent low that is lower than the low of bar 2 and label it bar 3. The three-bar net line is a horizontal line extending right from bar 3s low. The trend is up until price closes below the current three-bar net line.

The process is inverted for drawing a three-bar net line when prices have been falling (see Figures 1 and 3, below). Bar 1 is the lowest low of the downswing. Look to the left: The most recent high that is higher than the high of bar 1 is bar 2. Look left again: The most recent high that is higher than the high of bar two is bar 3. Now, draw the three-bar net line to the right

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across the chart from the high of bar 3. The trend is down until price closes above the current three-bar net line.

One note: Inside bars (those with lower highs and higher lows than the bars preceding them) dont count, so just skip over them. Bull power/bear power indicators Dr. Elders bull power measures the bulls ability to pull price higher; his bear power measures the bears ability to push price lower. Bull power is the current price bars high minus a 13-bar exponential moving average (EMA) of closing prices. Bear power is the current price bars low minus the 13-bar EMA. The logic behind bull power/bear power is that the price high represents the maximum power of bulls, the price low represents the maximum power of bears, and the EMA represents, in Dr. Elders words, the average consensus of value. The distance between the high and the EMA defines bull power, while the distance between the low and the EMA defines bear power (see Figure 4, below).

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Bull power and bear power are plotted as separate histograms below a bar chart (see Figure 5, below).

Interpreting bull power/bear power In a neutral (sideways) market, bull power is usually above zero (i.e., the high is above the EMA), and bear power is usually below zero (i.e., the low is below the EMA.) In an uptrend, however, both bull and bear power are frequently above zero (the high and low are both above the EMA). In a downtrend, both bull and bear power are frequently below zero (the high and low are both below the EMA). Figure 5 illustrates this.

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You probably wont want to buy a market when price has already climbed so steeply that the low is above the EMA, or sell it short when it has already declined so sharply that the high is below the EMA. Instead, when price is in an uptrend, wait for bear power to cross below zero (e.g., for the low to fall below the EMA) to avoid buying when the market is overbought. Then wait for bear power to tick up (to be greater than it was yesterday), which indicates the countertrend decline has lost its downward momentum. With that setup in effect, place an order to buy above the previous price bars high. Similarly, in a downtrend, wait for bull power to cross above zero (e.g., for the high to rise above the EMA) so you wont be selling short when the market is oversold. Then wait for bull power to tick down (to be less than it was yesterday), suggesting the countertrend rally has run its course. With the setup in effect, place an order to sell short below the previous price bars low. Traders use oscillators such as rate-of-change (ROC), the relative strength index (RSI) and stochastics to identify exhaustion points in a market. These indicators typically fluctuate above and below a neutral axis (hence the name oscillator) as the market swings, with high oscillator values reflecting overbought conditions and low oscillator values reflecting oversold conditions. Oscillators are most effective in trading ranges. If the range of values for an oscillator is between zero and 100 (as is the case for the RSI), overbought is typically (i.e., for a default 14-bar indicator) defined as 70 or higher while oversold is 30 or lower. If the market is moving sideways, these levels often correspond closely to swing highs and lows and provide excellent trade points. However, if the market is trending, the oscillator values will shift, reflecting the power of the trend. During an uptrend, oscillator values are usually skewed to the upside and often never reach oversold levels; similarly, during downtrends, oscillators are pushed to the downside and may not reach their overbought levels. For example, in a strong downtrend, the overbought level may be closer to 55 and the oversold level closer to 15 Figure 1 (below) is a daily chart with a five-day RSI. Notice that during the downtrend the RSI values are persistently near the oversold level of 30 and never reach the overbought level of 70. Similarly, when the stock was trending up, the RSI never dropped to the oversold level of 30. Ultimately, had you been waiting for the oscillator to indicate an overbought reading in the downtrend (which would have given a sell signal), or an oversold reading during the uptrend (generating a buy signal), you would have missed out.

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Despite these drawbacks, it is nevertheless apparent the RSI tended to behave in an orderly manner relative to the trend. The shorter-term swings were still reflected in the RSI and there were somewhat identifiable oversold-overbought ranges during the downtrend (approximately 20-45) and the uptrend (approximately 45-85); the range simply shifted up while Microsoft was in the uptrend. What is necessary is a tool that will reflect relative overbought and oversold levels by adapting to trend changes such as the one in Figure 1. The Stochastic RSI (StochRSI), which was developed by Tushar Chande, combines elements of the stochastic oscillator and the RSI to create an indicator that captures price turns more effectively in different market conditions. Formula for the system discussed in "Looking for a target," by Thomas Stridsman (p. 84): Inputs: BarsInTrade(0), ProfitExit(0), LossExit(0); Variables: EntryTrigger(0), LongStop(0), ShortStop(0), LongTarget(0), ShortTarget(0), LimitExit(0), StopExit(0); EntryTrigger = IntPortion(Random(2)); LimitExit = (ProfitExit / 2 + 0.5) / 100; StopExit = (LossExit / 5 + 0.2) / 100; If EntryTrigger = 1 and MarketPosition = 0 Then Begin If High < High[2] and Close < Open and Open Next Bar < High Then Begin Buy Next Bar at High Stop; LongStop = 1 - StopExit; LongTarget = 1 + LimitExit; End; If Low > Low[2] and Close > Open and Open Next Bar > Low Then Begin Sell Next Bar at Low Stop; ShortStop = 1 + StopExit; ShortTarget = 1 - LimitExit; End; End; If MarketPosition = 1 Then Begin ExitLong Next Bar at EntryPrice * LongStop Stop; ExitLong Next Bar at EntryPrice * LongTarget Limit; End; If MarketPosition = -1 Then Begin ExitShort Next Bar at EntryPrice * ShortStop Stop; ExitShort Next Bar at EntryPrice * ShortTarget Limit; End; If BarsSinceEntry = BarsInTrade+1 Then Begin ExitLong Next Bar at Market; ExitShort Next Bar at Market; End; Variables: NoTrades(0), MarPos(0), TrProfit(0), SumTrProfit(0), AvgTrade(0), TestString(""), FileString(""); NoTrades = TotalTrades; MarPos = MarketPosition; If NoTrades > NoTrades[1] Then Begin If MarPos[1] = 1 Then TrProfit = (ExitPrice(1) - EntryPrice(1)) * 100 / EntryPrice(1); If MarPos[1] = -1 Then TrProfit = (EntryPrice(1) - ExitPrice(1)) * 100 / EntryPrice(1); SumTrProfit = SumTrProfit + TrProfit; End; If LastCalcDate = Date + 2 Then Begin AvgTrade = SumTrProfit / NoTrades;

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TestString = LeftStr(GetSymbolName, 5) + "," + NumToStr(BarsInTrade+1, 2) + "," + NumToStr(LimitExit*100, 2) + "," + NumToStr(StopExit*100, 2) + "," + NumToStr(AvgTrade, 2) + NewLine; FileString = "D:\Temp\StopTest-" + RightStr(NumToStr(CurrentDate, 0), 4) + ".csv"; FileAppend(FileString, TestString); End; Formula for the May Trading System Lab (p. 70): {Three black candle sticks for entry:} If High < High[1] and High [1] < High[2] and High[2] < High[3] and Close < Open and Close[1] < Open[1] and Close[2] < Open[2] Then Buy Tomorrow at High Stop; {Trailing stop:} ExitLong Tomorrow at Low Stop; {Profit taking Gap higher:} If MarketPosition <> 0 and Open Tomorrow > High Then ExitLong Tomorrow at Open; { Retracement bar:} If High > High[1] and Close < Close[1] Then SetExitOnClose; MetaStock formula for the StochRSI (p. 52):

(

Type : Indicator, Name : Nonlinear Ehlers Filter

Sum(RSI(5)-LLV(RSI(5),3),3)/Sum(HHV(RSI(5),3)-LLV(RSI(5),3),3)

Inputs: Price((H+L)/2), Length(15); Vars: count(0), SumCoef(0), Num(0), Filt(0); Array: Coef[25](0); {Coefficients can be computed using any statistic of choice ------- a five-bar momentum is used as an example} For count = 0 to Length - 1 begin Coef[count] = AbsValue(Price[count] - Price[Count + 5]); {The line above is all that needs to be

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changed to use other statistics. For example: Coef[count]=AbsValue(Price[count]Filt[count+1]);} end; {Sum across the numerator and across all coefficients} Num = 0; SumCoef =0; For count = 0 to Length -1 begin Num = Num + Coef[count]*Price[count]; SumCoef = SumCoef + Coef[count]; end; Filt = Num / SumCoef; Plot1(Filt, "Ehlers");

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This exemplary filter has 15 coefficients ["Length(15)"], although the array of coefficients is dimension experimentation using a longer filter. If you want a filter longer than 25, the dimension of the Coef arra

In the first calculation, you find each coefficient in the filter as the five-bar momentum. The next comp as the product of each coefficient and the price (the x's in the general equation) at each corresponding s alone. Finally, the filter is completed by taking the ratio of the numerator to the coefficient sum. The pe 2 in the article. If you'd rather use a spreadsheet, an example done in Microsoft Excel is shown in Figure 1.

FIGURE 1: EXCEL SPREADSHEET. Starting from the prices on the left, here is a way to compute a n momentum as the embedded filter. --John Ehlers

The EasyLanguage for both the function and indicator will be available for download at www.tradestat "EhlersFilter.ELS." -- Ramesh Dhingra, Product Manager, EasyLanguage TradeStation Technologies, Inc. (formerly Omega Research, Inc.)

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A wholly owned subsidiary of TradeStation Group, Inc. http://www.TradeStation.com Znalezione na/w/od: http://www.traders.com NEW MARKET PARADIGM SYSTEM Home

New Ma

To implement the strategie generate studies and system indicators, paintbars and sy standard deviation function

Input: Price(NumericSe value1 = BollingerBand value2 = BollingerBand Condition1 = value1 < -WD} Condition2 = value1 > Condition3 = Condition IF Condition1 then New IF Condition2 then New IF Condition3 then New

This system will eventually phases, or plug in existing Setting Defaults for NMP s

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Else NmpC = 0; {Contra If NewMarketParadigm(P Else NmpE = 0; {Expans If NewMarketParadigm(P Else NmpT = 0; {Transi use it. No Counter is {*2.} Condition1 = NmpE > 1 If Condition1 then beg Trigger = 1; End; {*3.} If Trigger = 1 then be Buy Highest(High,10) + Sell Lowest(Low,10) End;

1. First, write a set of been added to the c occurrences. Use th 2. Next, establish the

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3. The following code changing this to a c initial testing phase into the market at th

The original CIS bow-tie/ Setting Defaults for NMP Name: NMP SYSTEM 2 Stops: None Properties: Check "Do n

Input: Price(close),Le value1 = StdDev(Price If value1 = Lowest(val If SlowD(Length) > 75 IncludeSystem: "Parabo End; End;

-- Walt Downs, Internet: ht Znalezione na/w/od: http://www.traders.com Home BETTER BOLLINGER BANDS BY DENNIS MCNICHOLL

______________________

(Futures 10/98) Type : Indicator, Name : Better Bollinger Bands

{Denvelope Indicator} inputs: lookback(20), mult(2);

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vars: alpha(0), mt(0), ut(0), dt(0), mt2(0), ut2(0), dt2(0), but(0), blt(0); alpha = 2 / (lookback + 1); mt = alpha * close + (1 - alpha) * mt; ut = alpha * mt + (1 - alpha) * ut; dt = ((2 - alpha) * mt - ut) / (1 - alpha); mt2 = alpha * absvalue(close - dt) + (1 - alpha) * mt2; ut2 = alpha * mt2 + (1 - alpha) * ut2; dt2 = ((2 - alpha) * mt2 - ut2) / (1 - alpha); but = dt + mult * dt2; blt = dt - mult * dt2; plot1(dt,"CenterB"); plot2(but,"UpperB"); plot3(blt,"LowerB");

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Copyright 2001 Empire Systems Design [ 03.06.01 04:12 PM ] Znalezione na/w/od: http://www.empire-systems.com

Home _____________________________________________________________________________

In "Identifying trends with volume analysis" in this issue, Stephen Kling using volume. The TradeStation Traders' Tip this month is based on the v presented in the article. For TradeStation and SuperCharts, we'll call the indicator can plot both the short-term and long-term versions of the oscil

The indicator uses a total of four inputs: FastX determines the length of t moving average of the volume force; SlowX determines the length of the moving average of the volume force; Trigger determines the length of th used to smooth the KVO line; and Smooth determines the amount of smo lines using a summation of the values. The Smooth input allows for the g for longer-term analysis. If the Smooth input is set to 1 or zero, no smoot

The process of developing this indicator begins with the creation of two f These two functions basically provide supporting calculations, which wil be easily referenced from other custom studies. The two functions should presented below, using their assigned names. Type: Function, Name: VForce

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Vars: TSum(0), Trend(0), DM(0), CM(0); TSum = High + Low + Close; IF TSum > TSum[1] Then Trend = 1 Else Trend = -1; IF Trend = Trend[1] Then CM = CM + Range Else CM = Range + Range[1]; IF CM <> 0 Then VForce = Volume * AbsValue(2 * (DM/CM) -1) * Trend * 100;

Inputs: FastX(Numeric), SlowX(Numeric); Vars: FXAvg(0), SXAvg(0); FXAvg = XAverage(VForce, FastX); SXAvg = XAverage(VForce, SlowX); KVO = FXAvg - SXAvg;

Once the two functions have been created and verified, the indicator can should be scaled to "screen." Type: Indicator, Name: Klinger Volume Oscillator

Inputs: FastX(34), SlowX(55), TrigLen(13), Smooth(1); Vars: Trigger(0); Trigger = XAverage(KVO(FastX, SlowX), TrigLen); IF Smooth <= 1 Then Begin Plot1(KVO(FastX, SlowX), "KVO"); Plot2(Trigger, "KVO Trigger"); End Else Begin Plot1(Summation(KVO(FastX, SlowX), Smooth), "KVO"); Plot2(Summation(Trigger, Smooth), "KVO Trigger"); End;

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Plot3(0, "Zero"); IF Plot1 Crosses Above Plot2 OR Plot1 Crosses Below Plot2 O Plot2 Crosses Above Plot3 OR Plot2 Crosses Below Plot3 Then Alert = True;

{ TPF_REVERSAL2002 }

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If jfcbmb = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If jfcbmb = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If jfcbmb = 431 then begin If C>C[Consec] then Cntr = Cntr + 1;

If C<C[Consec] then Cntr = 0; {IF Cntr >= Count then begin Plot1(H+.6,"Sell"); zz= PlaySound("e:\pages\high.wav"); end;} If C<C[Consec] then BCntr = BCntr + 1; If C>C[Consec] then BCntr = 0; {IF BCntr >= Count then begin Plot2(L-.6,"Buy"); zz= PlaySound("e:\pages\low.wav"); end;}

IF Cntr > 0 and Cntr >= Sens then TPF_Reversal2002 = -1; IF BCntr > 0 and BCntr >= Sens then TPF_Reversal2002 = 1; If (BCntr = 0 and BCntr[1] >= Sens) then TPF_Reversal2002 = 0; If (Cntr = 0 and Cntr[1] >= Sens) then TPF_Reversal2002 = 0;

end;

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{EXHAUSTION +++++++++++++++++++++++++++++++++++++++++++} Input: L1(21),SU(1),SD(-1), L2(8); Vars: PassFlag(0); DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR; DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF CurrentBar = 1 Then Begin PassFlag = 0; PassFlag = LTInitializeFromINI; end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 1 and jfcbmb = 431 then begin Plot1(BollingerBand(H,L1,SU),"Hi Exh"); Plot2(BollingerBand(L,L1,SD),"Lo Exh"); Plot3((BollingerBand(H,L1,SU) - BollingerBand(L,L1,SD))/2 +BollingerBand(L,L1,SD) ,"Avg"); Plot4(LinearRegValue(C,L2,0), "Avg2");

end;

{EXHAUSTION 2 +++++++++++++++++++++++++++++++++++++++++++} Input: L1(21),SU(1),SD(-1), L2(8); Vars: LRV(0); Vars: PassFlag(0); DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR;

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DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF CurrentBar = 1 Then Begin PassFlag = 0; PassFlag = LTInitializeFromINI; end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); LRV = LinearRegValue(C,L2,0); If PassFlag = 1 and jfcbmb = 431 then begin

If LRV[1] > BollingerBand(H,L1,SU) and LRV < LRV[1] then begin Plot1(LRV[1],"EHigh"); end; If LRV[1] < BollingerBand(L,L1,SD) and LRV > LRV[1] then begin Plot2(LRV[1],"ELow"); end; end;

{MARKET DIRECTION}

Vars: NuHi(0), NuLo(999999), Med(0), UpCntr(0), DnCntr(0), CumCntr(0); Vars: PassFlag(0); DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR; DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF D<>D[1] Then Begin PassFlag = 0; PassFlag = LTInitializeFromINI;

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end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If PassFlag = 1 and jfcbmb = 431 then begin If T = Sess1FirstBarTime then begin NuHi = C; NuLo = C; UpCntr = 0; DnCntr = 0; CumCntr = 0; end; If T>Sess1StartTime and T < CalcTime(Sess1StartTime,+5) then begin If H>NuHi then NuHi = H; If L<NuLo then NuLo = L; end; If T > CalcTime(Sess1FirstBarTime,+5) then begin Med = NuLo + ((NuHi-NuLo)/2); end; If C>Med then UpCntr = UpCntr + 1; If C<Med then DnCntr = DnCntr + 1; CumCntr = UpCntr - DnCntr; Plot1(UpCntr,"Adv"); Plot2(-DnCntr,"Dec"); Plot3(CumCntr,"Total"); end; { REAL TIME PIVOT 2000 ======================== } Inputs: BB(numeric), SS(numeric); Vars: rtp(0);

518

If

jfcbmb = 431 then begin If FastD(45) < 30 and FastD(7)[1] < BB and FastD(7)>FastD(7)[1] then begin {Plot1(Low-.2,"JR Buy");} rtp = 1; end; If FastD(45) > 30 or FastD(7)[1] > BB or FastD(7)<FastD(7)[1] then rtp = 0; If FastD(45) > 70 and FastD(7)[1] >SS and FastD(7)<FastD(7)[1] then begin {Plot2(High + .2,"JR Sell");} rtp = -1; end;

RealTimePivot2000 = rtp;

end ;

{ VOLATILITY STOP INDICATOR ========================= } { Programmed by Dr. John F. Clayburg Registered Commodity Trading Advisor Omega Research Solution Provider Omega Research EasyLanguage Expert 29568 Hwy 141 Coon Rapids, Iowa 50058-7178 (712) 684-5239 Voice & Fax

Vars: PassFlag(0);

519

DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR; DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF CurrentBar = 1 Then Begin PassFlag = 0; PassFlag = LTInitializeFromINI; end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If PassFlag = 1 and jfcbmb = 431 then begin Inputs: Length(21), Factor(3); Vars: UVL(0), DVL(0), HClose(0), LClose(0), Up(true), Dn(true), UNuHi(0), DNuLo(999999); If CurrentBar = length then begin UNuHi = H; DNuLo = L; end; HClose = UNuHi; LClose = DNuLo; If CurrentBar = length then UVL = H - Factor*(Average(Range,Length)); If CurrentBar > length then UVL = HClose - Factor*(Average(Range,Length)); If CurrentBar = length then DVL = L + Factor*(Average(Range,Length)); If CurrentBar > length then DVL = LClose + Factor*(Average(Range,Length)); If C < UVL[1] then begin Up = false; Dn = true; end; If C > DVL[1] then begin Dn = false; Up = true; end; If Up then begin

520

If C > UNuHi then UNuHi = C; DNuLo = 999999; end; If Dn then begin If C < DNuLo then DNuLo =C; UNuHi = 0; end; {Print("D",d,"T",t,"VUP",VolUp(21,4),"VDN",VolDn(21,4));} {Print("D",d,"UP",up,"DN",dn,"UNuHi",Unuhi,"DNuLo",dnulo);} If Up and UVL > 0 then Plot1(uvl,"UVL"); If Dn and DVL < 999999 then Plot2(dvl,"DVL");

{ CLUSTER 20000 =============== } Vars: PassFlag(0), LRV(0), BRT(false), SRT(false), BE(false), SE(false), BR(false), SR(false),{ BB(12), SS(88),} BRS(5), sss(false), bbb(false); If jfcbmb = 431 then begin {********real time pivot indicator********} Vars: BRTBar(0); If RealTimePivot2000(12,88) = 1 then begin BRT = true; BRTBar = barnumber; end;

If RealTimePivot2000(12,88) = -1 then begin SRT = true; BRTBar = barnumber; end; If Barnumber > BRTbar + brs then begin SRT = false; BRT = false; end; {********exhaustion indicator********}

521

Vars: EBar(0), L1(21),SU(1),SD(-1), L2(8); LRV = LinearRegValue(C,L2,0); If LRV[1] > BollingerBand(H,L1,SU) and LRV < LRV[1] then begin SE = true; EBar = barnumber; end; If LRV[1] < BollingerBand(L,L1,SD) and LRV > LRV[1] then begin BE = true; EBar = barnumber; end; If Barnumber > Ebar + brs then begin SE = false; BE = false; end;

REVERSAL INDICATOR

Vars: SBar(0) {S(0), B(0),Sens(9)}; IF TPF_Reversal2002(9) = -1 then begin SR = true; SBar = barnumber; end; IF TPF_Reversal2002(9) = 1 then begin BR = true; SBar = barnumber; end; If Barnumber > Sbar + brs then begin SR = false; BR = false; end; {********cluster indicator code********}

Vars: BBC(false), BBS(false), BBCBar(0), cl(0); If (BR = false and BR[1] = true{consecutive indicator stops}) or BE or BRT then begin BBC = true; BBCBar = barnumber;

522

end; If Barnumber > BBCBar + brs then begin BBC = false; BE = false; BRT = false; end; If BBS and SE and SRT then sss = true else sss = false; If cl = -1 and cl[1] = -1 then cl = 0; If sss and sss[1] = false then cl = -1 ;

If BBC and BE and BRT then bbb = true else bbb = false; If cl = 1 and cl[1] = 1 then cl = 0; If bbb and bbb[1] = false then cl = 1 ; {plot1(L-plt,"BUY");} If (SR = false and SR[1] = true{consecutive indicator stops}) or SE or SRT then begin BBS = true; BBCBar = barnumber; end; cluster2000 = cl; end; {end for pass flag loop} { HI LO PIVOTS } {Programmed by Dr. John F. Clayburg Omega Research Solution Provider Omega Research EasyLanguage Expert 29568 Hwy 141 Coon Rapids, Iowa 50058-7178 (712) 684-5239 Voice & Fax e mail: clayburg@pionet.net http://elwood.pionet.net/~clayburg/ }

Inputs: Strength(2); DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; Vars: PassFlag(0); IF CurrentBar = 1 Then Begin PassFlag = 0;

523

PassFlag = LTInitializeFromINI; end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If PassFlag = 1 and jfcbmb = 431 then begin If SwingHighBar(1,High,Strength,(Strength + 1)) = Strength then begin Plot1[Strength](High[Strength],"High"); end; If SwingLowBar(1,Low,Strength,(Strength + 1)) = Strength then begin Plot2[Strength](Low[Strength],"Low"); end; end; { INTRADAY HI LO =============== } Inputs: Pts(3); Vars: NuHI(0), NuLo(0); Vars: PassFlag(0); DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR; DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF CurrentBar = 1 Then Begin PassFlag = 0; PassFlag = LTInitializeFromINI; end;

524

If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If PassFlag = 1 and jfcbmb = 431 then begin If d<>d[1] then begin NuHi = C; NuLo = C; end; If H>NuHI then NuHi = H; If L<NuLo then NuLo = L;

If H + pts > NuHi then Plot1(NuHi,"DayHi"); If L - pts < NuLo then Plot2(NuLo,"DayLo"); end; { PB LONG ======= }

Vars: FastMA(5),SlowMA(34),MacdMA(8){,Length(9) ,x(5)},v2(85); Vars: TrK(0),TrDF(0), TrDS(0),factor(0), zz(false); vars: TrDSavg ( 0 ) , TrDFavg ( 0 ) , MultX ( 0 ) ; Vars: PassFlag(0); DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR; DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF CurrentBar = 1 Then Begin

525

PassFlag = 0; PassFlag = LTInitializeFromINI; end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If PassFlag = 1 and jfcbmb = 431 then begin MultX = {X}5 ;

TrDF = sfd( {length}9 , {X}5 ,{ X}5 ) ; TrDs = ssd( {length}9 , {X}5 ,{ X}5 ) ;

TrDSavg = average ( average ( TrDS , 3 ) , 2 ) ; TrDFavg = average ( average ( TrDF , 3 ) , 2 ) ; condition1 = TrDSavg > v2 and TrDFavg > v2 and (absvalue ( TrDFavg - TrDSavg ) <2); condition2 = TrDSavg < ( 100 - v2) and TrDFavg < ( 100 - v2 ) and ( ( TrDFavg TrDSavg ) > 2 ) ; condition3 = TrDFavg > ( 100 - v2 ) and ( TrDFavg > TrDSavg ) ; if condition1 = true or condition2 = true or condition3 = true then value8 = 10 else value8 = 0 ;

value50 = slowk(21);

526

value51 = slowd(21);

condition11 = value50 > v2 and value51 > v2 and ( absvalue ( value50 - value51 ) < 2 ); condition12 = value51 < ( 100-v2 ) and value50 < ( 100 - v2 ) and ( ( value50 value51 ) > 2 ); condition13 = value50 > ( 100 - v2 ) and ( value50 > value51 ) ; if condition11 = true or condition12 = true or condition13 = true then value18 = 10 else value18 = 0;

if (value99 > 0 and value8 = 10) and {MACD} {plot1 (high,"long");} {Value 8 works with KFastD function} (value18 = 10 and value8 = 10) and {Regular Stochastic} {plot2 (MedianPrice,"long");} ( value98 > 0 and value8 = 10) then begin (LOW,"long");} zz= PlaySound("e:\pages\low.wav"); Plot1(H,"H"); Plot2(L,"L"); end; end; {end for passflag loop} {RSI} {plot3

{ PB SHORT ========= }

Vars:FastMA(5),SlowMA(34),MacdMA(8),Length(9),x(5),v2(85);

527

vars: TrDSavg ( 0 ) , TrDFavg ( 0 ) , MultX ( 0 ) ; Vars: PassFlag(0); DefineDLLFunc: "JCB1Lock.dll",FLOAT, "LTCalcRef",LPFloat,LPFloat,LPFloat,LPFloat,LPSTR; DefineDLLFunc: "JCB1lock.dll", FLOAT, "LTCalcVal", FLOAT, FLOAT, FLOAT, FLOAT, LPSTR; DefineDLLFunc: "JCB1Lock.dll",INT,"LTInitializeFromIni"; IF CurrentBar = 1 Then Begin PassFlag = 0; PassFlag = LTInitializeFromINI; end; If PassFlag = 0 and d = currentdate and DataCompression = 0 and T > Sess1StartTime and T < CalcTime(Sess1StartTime,5) then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " );

If PassFlag = 0 and d = currentdate and t = Sess1FirstBarTime then Value97 = Text_New(CurrentDate,Sess1FirstBarTime,O, "STUDY HAS EXPIRED. Call 712.684.5239 for new password " ); If PassFlag = 1 and jfcbmb = 431 then begin MultX = {X}5 ; { Trk = sfk( {Length}9 , MultX ) ; } TrDF = sfd( {Length}9 , {X}5 , {X}5 ) ; TrDs = ssd( {Length}9 , {X}5 , {X}5 ) ; TrDSavg = ave