New version 18 available now


Download software Tutorial videos
Subscription & data-feed pricing Class schedule


New account application Trading resources
Margin rates Stock & option commissions

Welcome Guest, please sign in to participate in a discussion. Search | Active Topics |

Target Entry Prices Rate this Topic:
Previous Topic · Next Topic Watch this topic · Print this topic ·
PaulRidout
Posted : Wednesday, August 08, 2018 3:28:29 PM
Gold Customer Gold Customer

Joined: 5/14/2006
Posts: 3

I am trying to write the opposite of the 'Volatility Stop', to write an indicator in TC2000 v18 that will display on my charts an optimal entry order price based on recent price volatility, Long or Short.

The Volatility Stop is handy, I just need it to work in the other direction.  I hope that makes sense.

 

Bruce_L
Posted : Wednesday, August 08, 2018 3:54:03 PM


Worden Trainer

Joined: 10/7/2004
Posts: 63,971

I really couldn't help you create this without some sort of more concrete description of the math or algorithm behind the indicator you are trying to create.

I mean if the algorithm is essentially the same, then you already have built in entry points if you just think of the long stops as the short entries and the short stops as the long entries.



-Bruce
Personal Criteria Formulas
TC2000 Support Articles
Al_Gorithm
Posted : Wednesday, August 08, 2018 5:55:31 PM

Gold Customer Gold Customer

Joined: 6/30/2017
Posts: 1,144

That's actually an interesting idea.

The algorithm for the Volatility Stop does exist on the interwebs at https://www.linnsoft.com/techind/volatility-stop-vstop.

That said, I'm pretty sure it's not PCF-able, so I'm not sure if anything can be done.

You might be able to plot a 1-period moving average of the VolStop, and do something with that. 

What exactly, I'm not sure ... today's sugar & caffeine doses are both wearing off right about now.

PaulRidout
Posted : Friday, August 10, 2018 10:33:14 AM
Gold Customer Gold Customer

Joined: 5/14/2006
Posts: 3

Thanks guys,

I wrote some code for this years ago (on another platform) but cannot find or remember it!

It seesm to me that it might work on TC2000 v18 if I were able to enter a negative value in the Volatility Stop True Range Muliplier?

Using the opposing values (Long Stop as Short Entry and vice versa) does not give a workable value if the predominant trend is already in place and I'm looking to trade a breakout from a consolidation phase.

A quick current example could be AAPL.  I like to factor recent price volatility into target entry prices.

Thanks.

Bruce_L
Posted : Friday, August 10, 2018 10:54:34 AM


Worden Trainer

Joined: 10/7/2004
Posts: 63,971

You can't change the sign of the True Range Multiplier in the ATR indicator (OK, you can, but it won't plot).

You could play around with really simplistic versions of this sort of thing.

MAX(MAXC5 - 2 * ATR20, 10)

MIN(MINC5 + 2 * ATR20, 10)

The formulas don't switch based on the trend and aren't going to line up exactly with the Volatility Stop most of the time, but use similiar but simpler concepts.

What these formula do allow you to however is to overlay them into the same pane and scale as price using Custom PCF Indicators and then play around with things.

For example, try changing the - to a + in the formulas. Try replacing C with H or L in the formulas. Instead of having both items be MAX or MIN in the formulas, mix them up. You can also change the 2, 5, 10, and 20 to different settings.



-Bruce
Personal Criteria Formulas
TC2000 Support Articles
PaulRidout
Posted : Friday, August 10, 2018 2:19:26 PM
Gold Customer Gold Customer

Joined: 5/14/2006
Posts: 3

QUOTE (Bruce_L)

You can't change the sign of the True Range Multiplier in the ATR indicator (OK, you can, but it won't plot).

So I found!

QUOTE (Bruce_L)

You could play around with really simplistic versions of this sort of thing.

MAX(MAXC5 - 2 * ATR20, 10)

MIN(MINC5 + 2 * ATR20, 10)

The formulas don't switch based on the trend and aren't going to line up exactly with the Volatility Stop most of the time, but use similiar but simpler concepts.

What these formula do allow you to however is to overlay them into the same pane and scale as price using Custom PCF Indicators and then play around with things.

For example, try changing the - to a + in the formulas. Try replacing C with H or L in the formulas. Instead of having both items be MAX or MIN in the formulas, mix them up. You can also change the 2, 5, 10, and 20 to different settings.

That's very cool Bruce - thanks a million!

Bruce_L
Posted : Friday, August 10, 2018 2:20:50 PM


Worden Trainer

Joined: 10/7/2004
Posts: 63,971

Some additional notes. There are things you can do with two lines that aren't possible with just a single line.

You can look for the lines to cross. You can look for if price is between the lines or above or below both of the lines.

And it is possible to make switched versions of these sorts of indicators. which choose between which line to plot. I am just not sure it is actually worth the effort (specially since it will only get plotted in a single color).



-Bruce
Personal Criteria Formulas
TC2000 Support Articles
Users browsing this topic
Guest-1

Forum Jump
You cannot post new topics in this forum.
You cannot reply to topics in this forum.
You cannot delete your posts in this forum.
You cannot edit your posts in this forum.
You cannot create polls in this forum.
You cannot vote in polls in this forum.