Registered User Joined: 10/7/2004 Posts: 70

Bruce,
These formulas are used in a bloomberg stochastic:
Stochastics measures the velocity of a security's price movement to identify overbought and oversold conditions. The indicator measures current price relative to highs and lows over a time period. In an uptrend, markets tend to close near the high and while in a downtrend they to close nearer to the lows. This indicator is calculated with the following formula:
%K = 100*Closing Range/Total Range
where:
Closing Range = Close  Range Minimum
Total Range = Range Maximum  Range Minimum
The extent of the Range is determined by the %K period parameter.
%D = Nperiod moving average of %K where N is the %D period parameter.
%K with %D is sometimes referred to as the Fast Stochastics. %DS and %DSS, sometimes referred to as the Slow Stochastics, have additional smoothing as determined by their respective period parameters. Stochastics can be used to recognize potential turning points to help make entry/exit decisions.
If %K , %D, and %DS , %DSS are 7,3,5,2 how do the relate to TC's version ? with only 3 inputs ?
thank you
TC2000 has 3 inputs and an OFFSET field.

Worden Trainer
Joined: 10/7/2004 Posts: 63,198

Based on an internet search, the Bloomberg Stochastic appears to be a "fast stochastic" with two more moving average lines than in most other software.
Stochastic Oscillator
So you would use the following settings for the Stochastic itself.
 Period: use Bloomberg Stochastic %K
 %K: 1
 Average Type: Simple
The settings for the %D would be as follows.
 Period: use Bloomberg Stochastic %D
 Offset: 0
 Average Type: Simple
Then you would add a moving average to the %D indicator using the following settings.
 Period: use Bloomberg Stochastic %DS
 Offset: 0
 Average Type: Simple
 Label: %DS (and possibly the %DS period).
Then you would add a moving average the %DS indicator using the following settings.
 Period: use Bloomberg Stochastic %DSS
 Offset: 0
 Average Type: Simple
 Label: %DSS (and possibly the %DSS period).
You probably want to set different colors for each of the four indicators.
Bruce Personal Criteria Formulas TC2000 Support Articles

Registered User Joined: 10/7/2004 Posts: 70

Thanks much !

Registered User Joined: 10/7/2004 Posts: 70

one more question please:
is it possible to replicate the bloomberg structure (formula) for TC platform ?
thanks

Worden Trainer
Joined: 10/7/2004 Posts: 63,198

Yes, you could write all four lines using formulas.
Bloomberg Stochastic %K line:
STOCk
Bloomberg Stochastic %D line:
STOCk.d
Bloomberg Stochastic %DS line:
AVG(STOCk.d, x)
Bloomberg Stochastic %DSS line:
AVG(AVG(STOCk.d, x), y)
Where k is the Bloomberg Stochastic %K period.
Where d is the Bloomberg Stochastic %D period.
Where x is the Bloomberg Stochastic %DS period.
Where y is the Bloomberg Stochastic %DSS period.
You need to actually replace k ,d , x , and y in the formula templates with the periods you want to use when you create a formula based on one of the templates given above.
Bruce Personal Criteria Formulas TC2000 Support Articles

Registered User Joined: 10/7/2004 Posts: 70

as always, thank you !

Worden Trainer
Joined: 10/7/2004 Posts: 63,198

You're welcome.
Bruce Personal Criteria Formulas TC2000 Support Articles
