| Welcome Guest, please sign in to participate in a discussion. | Search | Active Topics | |
Registered User
Joined: 5/20/2006
Posts: 101
|
There is abook out by Phil Town. I would like to make a PCF That uses his Buy/sell signals. It is very Mechanical. here it is:
Buy Signal:
after all 3 occur:
Price moves ABOVE 10D MA
and
8-17-9 MACD histogram crosses ABOVE zero
and
slow stochastic 14period crossesover ABOVE its 5period MA
Sell Signal:
After all 3 occur:
Price moves BELOW 10D MA
and
8-17-9 MACD histogram crosses BELOW zero
and
slow stochastic 14period crossesover BELOW its 5period MA
So I would like to create 2 PCF's A buy and a sell and then I will create a % true indicator.
Just need help creating the PCF's Thanks
|
|
Registered User
Joined: 10/7/2004
Posts: 82
|
My suggestion is to start playing with SnapSheets (http://www.snapsheets.com). The criteria you setup is very easy to do in SnapSheets and you can use the BackScanner (http://www.backscanner.net) with it after you create the Blocks diagram for it.
|
|
Registered User
Joined: 10/7/2004
Posts: 1,006
|
Per your request, the buy Signal, after all three PCF conditions occur, to combine all three PCFs, see PCF Number 4.
For the sell Signal, use the same PCFs but reverse all the < or >
1. Price Crossing UP SMA10, Today.
C > AVGC10 AND C1 < AVGC10.1
2, Simple MACD 8,17,9 Histogram Crossing  UP Simple SL9, Today or (Simple Histogram Crossing UP 0.
(AVGC8-AVGC17) - (AVG(AVGC8,9) - AVG(AVGC17,9)) > 0 AND (AVGC8.1 - AVGC17.1) –
(AVG(AVGC8.1,9) - AVG(AVGC17.1,9)) < 0
3. Simple STOC14 SD (Slow) crossing UP its SMA5
AVG(STOC14.1.0,1) > AVG(STOC14.1.0,5) AND AVG(STOC14.1.1,1) < AVG(STOC14.1.1,5)
4. Combine all three PCFs with AND:
C > AVGC10 AND C1 < AVGC10.1 AND
(AVGC8 - AVGC17) - (AVG(AVGC8,9) - AVG(AVGC17,9)) > 0 AND (AVGC8.1 - AVGC17.1) - (AVG(AVGC8.1,9) - AVG(AVGC17.1,9)) < 0 AND
AVG(STOC14.1.0,1) > AVG(STOC14.1.0,5) AND AVG(STOC14.1.1,1) < AVG(STOC14.1.1,5)
One caveat, this may be mechanical but may not reflect the real world.
Hope this helps
Winnie
|
|
Registered User
Joined: 5/20/2006
Posts: 101
|
Thanks Winnie...It was the crossings that I was not sure about..Thanks again. I want to back test this and see what happens. I will post the results
JD
|
|
Registered User
Joined: 1/28/2005
Posts: 6,049
|
I would think it rare that all these happen on the same day.
I think you want a buy when all 3 PCF's are true:
C>10 MAV
Histogram positive
Stoc > then MAV
I don't think you want to look at the cross from negative to positive
only if it is positive.
(notice the after all 3 occur statement) (it does not say on the same day)
Just my thought process.
Thanks
diceman
|
|
Registered User
Joined: 5/20/2006
Posts: 101
|
No Diceman, you are absolutely correct..Thanks for pointing that out..I was trying tofigure out why I wasd not getting my 100% true indication..Now I know, it was because the way it reads now i they must occur on the same day. That is not what I want. The buy is the day after ALL are positive and sell after ALL(or any 2) are negative.
Thanks again
JD
|
|
Registered User
Joined: 8/22/2006
Posts: 15
|
What was the final formula for this to figure out if the signals were true instead of on the same day
|
|
Worden Trainer
Joined: 10/7/2004
Posts: 65,138
|
mauramo,
One of the simpler ways to write a Personal Criteria Formula for the "first time" all three Conditions are True would be:
Buy:
C > AVGC10 AND AVGC8 - AVGC17 > AVG(AVGC8,9) - AVG(AVGC17,9) AND STOC14 > STOC14.5 AND (C1 <= AVGC10.1 OR AVGC8.1 - AVGC17.1 <= AVG(AVGC8.1,9) - AVG(AVGC17.1,9) OR STOC14.1.1 >= STOC14.5.1)
Sell:
C < AVGC10 AND AVGC8 - AVGC17 < AVG(AVGC8,9) - AVG(AVGC17,9) AND STOC14 < STOC14.5 AND (C1 >= AVGC10.1 OR AVGC8.1 - AVGC17.1 >= AVG(AVGC8.1,9) - AVG(AVGC17.1,9) OR STOC14.1.1 >= STOC14.5.1)
It doesn't require all of the Conditions to have been False to return True when all of the Conditions are True. Only one of the Conditions has to have been False on the previous Bar. It generally assumes the formulas provided by Winnie are correct although there might be some questions both as to use of Simple Moving Averages throughout and the interpretation of the term Slow Stochastic.
TeleChart uses a Full Stochastic. The settings for Stochastics available in TeleChart include the Period, SK Period, SD Period and Average Type. Full Stochastics can be used to reproduce both Fast and Slow Stochastics.
Full Stochastic (x,1,y) = Fast Stochastic (x,y)
Full Stochastic (x,y,y) = Slow Stochastic (x,y)
There are other interpretations as well. You may wish to review the following:
Slow Stochastics
You may wish to review the following:
Moving Average PCF Templates
Understanding MACD
Understanding Stochastics
Things to check if your moving averages don't "seem right" or "seem to match"
How to create a Personal Criteria Forumula (PCF)
PCF Formula Descriptions
Handy PCF example formulas to help you learn the syntax of PCFs!
-Bruce
Personal Criteria Formulas
TC2000 Support Articles
|
|
Registered User
Joined: 3/8/2008
Posts: 20
|
Thanks
|
|
Worden Trainer
Joined: 10/7/2004
Posts: 65,138
|
jboogz2000,
You're welcome. Our pleasure.
-Bruce
Personal Criteria Formulas
TC2000 Support Articles
|
|
|
Guest-1 |