Did you ever want to know just what the dominant cycle(s) was/were in a set of data. Have you wondered what a centered moving average and a channel around the CMA would look like.
Have you wanted a way to bring the CMA (which of course ends 1/2 it's length before the end of the data on your chart) forward to the last bar and maybe project forward of the end.
This indicator is available by paying a license fee of $100 USD.
A discussion of this indicator will follow but for now just look at these results:
And now look at a series of pictures on how to install indicator on a selected chart.
Start with nothing -- but watch the location for text/histogram base.
And this is what you get.
The following sequence is
self explanatory and then we will look at particulars of the
application to understand what these parameters that are being displayed mean.
An exciting and different look at ways of examining charts of stocks and commodities and a way of getting aid in making up your mind about what/when/how to trade a symbol. Continue below for more information.
This indicator is available by paying a license fee of $100 USD.
If you want to see a bit of a time study of this application, click on the following:
And if you want to know EXACTLY what was going on in realtime -- the following is it !
Did you ever want to know just what the dominant cycle(s) was/were in a set of data. Have you wondered what a centered moving average and a channel around the CMA would look like.
Have you wanted a way to bring the CMA (which of course ends 1/2 it's length before the end of the data on your chart) forward to the last bar and maybe project forward of the end.
As the TV peddler would say:
"Ladies and Gentlemen, the answer to your wishes is here."
I have built a single combination indicator which seems to accomplish all of these aspects of evaluation of cyclic conditions existing within any selected equity or futures contract. The routine to be discussed below starts out with the simple idea of computing an average on every bar that represents the average of data 1/2 length of the average AHEAD of and BEHIND the point at which the average is to be plotted. This is known as a CENTERED MOVING AVERAGE and is widely discussed in the book:
The Profit Magic of Stock Transaction Timing
by: J. M. Hurst
http://www.amazon.com/exec/obidos/tg/detail/-/0934380627/104-9503382-8610333?v=glance
On the day this was written (December, 2003) the above URL listed the book as available in a paperback form new for $20.00 and used at about 75% of that.
Unless you have studied this work and understand the concepts that J. M. Hurst develops in that work it may be difficult for you to get the most of this indicator.
Hurst shows how low risk buying and selling points exist whenever the price of an equity gets outside the bounds established by a properly defined channel around a centered moving average (CMA for short).
Although this picture is a "theoretical" market model consisting of 5 different period cyclic events of 5 different amplitudes and a long term trend, the picture shows how price tends to move from channel line to channel line and would offer excellent points of trade.
So let us look at a real life situation. The following picture is of Copper in December, 2003 and at a later date it will be a real test to see how things work out.
I have put small yellow ovals at most of the "out of channel" zones that I see. May be a couple that don't yield good results BUT there are a "whole bunch" that would have made you a considerable amount of cash.
The cyclic (Fourier) analysis portion of the indicator can provide some significant information about what periods seem to be most appropriate for creating a 1/2 length (see Hurst) CMA display with channels for this low risk opportunity trading.
Often you will find that changing the projection length and/or the CMA length to be of advantage but I would be very careful of such changes. Setting the projection length to zero (0) will cause the application to assume that the cycle period is 1/2 the CMA period and plot the projection based on that concept.
One thing to remember is that the projection to bring the CMA to some value at the current time and to project forward past the last bar on the chart is based on the PRIOR VALUES OF THE CMA. In this case, if we use the 34 bar period that is indicated, we will see just how this causes to projections to continue forward in the same direction. Care MUST be taken to insure that the continuation of prices is really following the projection.
SO NOW WE LOOK AT THE PARAMETERS FOR THIS MONSTER:
{*******************************************************************
Indicator : CMA_FHist_Project
Description : This Indicator plots Centered Moving Average and a
Histogram to use in selecting CMA lengths and
a projection of possible CMA values based on the CMA
values a specified length back of current projection.
Provided By : Clyde Lee, SYTECH Corporation (c) Copyright 2003
Purpose: Allow user to plot a power spectrum of a selected
price versus time series over a range of selected
periods.
The actual period is posted to the chart at peaks
in the amplitude spectrum and bars are color coded
to indicate 10's and 50's.
Routine uses FOURLINE for each period selected and
plots a histogram of amplitudes for periods selected
over last N cycles of data. Final amplitude displayed
can be a multiple of raw analytic data.
Notice : This is a copyrighted and licensed product. Any
person using or having possession of this product that
has not paid a license fee to SYTECH Corporation is in
violation of US Copyright law and subject to penalties
under that and other federal statutes.
******************************************************************** }
Inputs: EndDate(0), {Firmat: yyymmdd to stop computation after}
{that date for historical study of indicator}
LengCMA(69), {Length for CENTERED moving average. Will }
{be set to an odd number one greater if }
{input value is an even number }
{IF THIS VALUE IS SET NEGATIVE THEN THE CMA }
{VALUES PLOTTED ARE THE "REALTIME" VALUES }
{WHICH ARE SEE AS SERIES PROGRESSES. }
ChanPerc(7), {Percent of price for high/low channel line }
{Negative=multiplier for Standard Deviation }
{of same length as centered moving average. }
PlotMA(False), {Set false for channels only. True for the }
{Moving Average (plot1) and channel lines }
ProjSetBack(0), {If a positive value is input, the system }
{(on the last bar of the chart) will reach }
{back that number of bars and make the a }
{plot going forward from that value with }
{that value adjusted to match end of chart }
{data not perfect but it can help. }
{NOTE: This would normally be the length }
{of the average specified but may not be!!! }
{If this value is set to ZERO, the system }
{will assign a value that is twice the value}
{that is specified for the LengCMA input. }
{Unless there is strong indication of a need}
{to change this value, ZERO is recommended. }
{FOLLOWING FOR SPECTRAL ANALYSIS }
ShrtPeriod(11), {Shortest period for spectral analysis. }
LongPeriod(151), {Longest period for spectral analysis. }
NCycleAnal(2), {Number of cycles of period to use for the }
{analysis. If negative then this multiple }
{of the LONG period is used for ALL analyses}
{Values of 4 or 6 may give better results. }
SpreadFact(2), {spread out plot by incrementing the plot }
{points by this amount. All spectra points }
{are plotted if this is >=1. If this value }
{is less than 1 then an average of 1/n }
{values is made and plotted on increment=1 }
{lines between plot points. }
Pric4Txt(1100), {A price value on which to print peak values}
{If not given then lowest bar price is used.}
{This is also the base above which the freq }
{histogram is plotted. }
AmplMult(2); {A multiplier of the actual values that are }
{calculated to make values viewable or to }
{match peak to trough value (am=2). Set to }
{zero (0) to inhibit plotting of spectra. }
This indicator is available by paying a license fee of $100 USD. The license fee can be paid by clicking on the PayPal-Click Here To Buy and following the instructions.