Petra on Programming: Truncated Indicators

Cumulative indicators, such as the EMA or MACD, are affected not only by previous candles, but by a theoretically infinite history of candles. This makes them return slightly different results depending on the tested period. Although this effect is often assumed negligible, John Ehlers demonstrated in his July S&C article that it is not so. At least not for some indicators, such as a narrow bandpass filter. Continue reading “Petra on Programming: Truncated Indicators”

Petra on Programming: The Correlation Cycle Indicator

The previous article dealt with indicators based on correlation with a trend line. This time we’ll look into another correlation-based indicator by John Ehlers. The new Correlation Cycle indicator (CCY) measures the price curve correlation with a sine wave. This works surprisingly well – not for generating trade signals, but for a different purpose.

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Petra on Programming: A Unique Trend Indicator

This months project is a new indicator by John Ehlers, first published in the S&C May 2020 issue. Ehlers had a unique idea for early detecting trend in a price curve. No smoothing, no moving average, but something entirely different. Lets see if this new indicator can rule them all.

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Petra on Programming: The Smoothed OBV

In his article in the S&C April 2020 issue, Vitali Apirine proposed a modified On Balance Volume indicator (OBVM). The hope was that OBVM crossovers and divergences make great trade signals, especially for stock indices. I got the job to put that to the test.

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Petra on Programming: A New Zero-Lag Indicator

I was recently hired to code a series of indicators based on monthly articles in the Stocks & Commodities magazine, and to write here about the details of indicator programming. Looking through the magazine, I found many articles useful, some a bit weird, some a bit on the esoteric side. So I hope I won’t have to code Elliott waves or harmonic figures one day. But this first one is a very rational indicator invented by a famous algo trader.

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