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Registered User
Joined: 10/7/2004
Posts: 25
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I’m having a problem understanding how the Cumulative Indicator works. With the following condition: UP CONDITION: C>C10 DOWN CONDITION: C<C10. VALUE TO ADD/SUBTRACT: SQR(V). Using data for DJ-30 weekly chart on 5/29/08 the UP CONDITON is FALSE. The DOWN CONDITION is TRUE. Therefore the SQR(V) result should be negative. The result of the VALUE TO ADD/SUBTRACT: SQR(V) is 1436.72 a positive number. Should it not be a negative number to be added to the cumulative?
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Administration
Joined: 9/30/2004
Posts: 9,187
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No, the number itself isn't negative, but because the Down Condition is True, that value will be subtracted from the Cumulative total.
Adding a negative, subtracting a postive, same result.
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Registered User
Joined: 10/7/2004
Posts: 25
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QUOTE (StockGuy) No, the number itself isn't negative, but because the Down Condition is True, that value will be subtracted from the Cumulative total.
Adding a negative, subtracting a postive, same result.
What puzzles me is that when I chart this cumulative indicator the line on the chart does not turn down when the result is subtracted from the cumulative. Does that mean that unless the cumulative is a negative number the line will always appear to advance but at a lesser number. Does the direction of the plotted cumulative indicator depend on whether the cumulative is above or below zero when the indicator result is added to or subtracted from the cumulative?
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Administration
Joined: 9/30/2004
Posts: 9,187
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As you can see, the line moves up AND down.
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