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Voltility adjusted moving average Rate this Topic:
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nxasokan
Posted : Tuesday, November 3, 2015 1:37:40 PM
Registered User
Joined: 7/18/2011
Posts: 16

Is there a way to cconstruct a 10 day simple moving average wchich factors in the volatility of the underlying stock and adjusts accordigly? I would like to use 1-3x ATR for 10 days as a measure of volatility.

This wil be usefuli in eliminating false signals. Thanks.

Bruce_L
Posted : Tuesday, November 3, 2015 1:54:31 PM


Worden Trainer

Joined: 10/7/2004
Posts: 65,138

Keltner Channels are plotted the ATR Multiplier above and below a central moving average of (H + L + C) / 3. If this is not what you want, we would need further clarification from you as to how you want to use volatility to adjust the moving average.



-Bruce
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nxasokan
Posted : Tuesday, November 3, 2015 3:06:45 PM
Registered User
Joined: 7/18/2011
Posts: 16

This article will better explain what I am looking for.

www.marketvolume.com/technicalanalysis/volatilitymovingaverage.asp

Thanks

Bruce_L
Posted : Tuesday, November 3, 2015 3:14:48 PM


Worden Trainer

Joined: 10/7/2004
Posts: 65,138

The article does not describe how it is calculated, so I cannot use it to try and create a Custom PCF Indicator version for TC2000.



-Bruce
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