This Indicator uses the Relative Strength Index, On Balance Volume, and ADX to identify viable trading trends.
A quick description of what is on display:
1.) Green Triangle = OBV crossing over OBV MA
2.)Red Triangle = OBV Crossing under OBV SMA
3.) The background coloring between the RSI Oversold and Overbought Values has multiple conditions.
The Relative Strength Index (RSI) developed by J. Welles Wilder is a pulse oscillator that measures the speed and change of price movements. The RSI hovers between zero and 100. Traditionally, the RSI is considered overbought when it is above 70 and oversold when below 30. Signals can be generated by looking for divergences and error...
This strategy takes the ADX Indicator I wrote and applies it to a strategy for back testing purposes.
I've also applied a date filter so you can back test specific date ranges and a moving average filter so you can choose whether to filter your longs/shorts based on a moving average.
A simple indicator of trend by using 3 EMAs of multiplies of 2, 5 and 10, filtered by standard positive/negative directional movements (DM) which are the base of Average Directional Index (ADX).
The "Trend Strength" option is included to set the EMA multipliers and also the variation between DM+ and DM- which interpret the trend as a weak or a strong one.
This trend following indicator is made up of 3 parts.
A normalized (OBV) On Balance Volume (the gray line) which ranges between -100 and 100 and has a 55 period SMA overlayed (the orange line) to give an indication of the overall trend as far as volume goes.
- If the volume decreases without a drop in price, it might indicate a move down.
- If volume increases...
Mashed together Chris Moody's ADX thing with his DMI thing.
So you can see trend strength + direction
green-ish = uptrend-ish//red-ish = downtrend-ish
Colors can be adjusted though.
below 10 = gray, not much going on
10 - 20 = light green/light red, could be the beginning o something
20 - 40 = bright green / bright red, something is going on
above 40 = dark...
Moving Average Convergence Divergence – MACD
The MACD is an extremely popular indicator used in technical analysis. It can be used to identify aspects of a security's overall trend. Most notably these aspects are momentum, as well as trend direction and duration. What makes the MACD so informative is that it is actually the combination of two different types of...
Directional Movement Indicator:
+DI and -DI
I changed the color of the bar bars according to the crossed of +DI and -DI . It helps us to have an idea of whether the trend is continuing or not.
+DI crossover to -DI barcolor is Aqua, if not bar color is Red.
It also helps us to find the lowest and highest points of the graph according to the positions of Adx +DI...
Trend-following strategies are cool because they allow you to catch potential high returns.
The main limit of such strategies are:
False signals > the asset is not experiencing a strong trend. The strategy gets stuck with a sideways move or, worst, with the beginning of a downtrend.
The sell signal may come later than the actual top, leading in some cases...
This indicator plots Dynamic Momentum Index indicator. The Dynamic Momentum
Index (DMI) was developed by Tushar Chande and Stanley Kroll. The indicator
is covered in detail in their book The New Technical Trader.
The DMI is identical to Welles Wilder`s Relative Strength Index except the
number of periods is variable rather than fixed. The...
This indicator helps determine the exit point of a play. Lots of green candles making you money? Got one red candle and now you're worried if this is the top? Check this indicator! A red arrow helps confirm that bearish pressure is rising while bull pressure is declining, and this may be your chance to exit. Works the opposite way for short plays, giving a...
Directional Movement Oscillator is simply the difference of Di+ and Di- which helps traders to see the crosses of BUY/SELL signals more effectively.
Di+ crosses above Di- when indicator crosses above 0 which can be considered as a BUY signal.
and conversely Di+ crosses below Di- when indicator crosses below 0 which can be considered as a SELL...
DIRECTIONAL MOVEMENT INDEX + FISHER PRICE ACTION WITH LABELS
Directional Movement Index shows buy and sell pressure.
Fisher transform shows price action trending bullish or bearish.
Caution dots notify you of conflicting trends.
***HOW TO USE***
The top lines are the fisher transform showing you the price action trend.
The bottom lines filled with color shows...
This is a Directional Movement Index (DMI) with a twist, instead of plotting the positive direction of +DI and negative direction for -DI, we subtract the +DI with the -DI on scales of 100 to -100.
The result is plotted with a oscillator to identify the current trend.
DMI Modified supports multiple moving averages (default is JMA with length of 3). You can disable...
There is a nice writeup about a system that uses DMISTO here, which includes decent statistics:
I have not yet done any back testing on the system as a whole myself, but thought the DMISTO was an interesting indicator, so ported it over for those who might want to play with it and create their own systems. I added dots that denote signals similar...