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wallstreetd
Posted : Thursday, May 3, 2012 8:18:33 PM
Registered User
Joined: 7/5/2005
Posts: 2

Identify first 4/12 ema cross over after both ema's are above the 40ema.

Entry bar on 4/12 ema cross over must close in top 1/3 of daily range.

Bruce_L
Posted : Friday, May 4, 2012 9:59:36 AM


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

Checking for Price to be in the top third of a bar where the 4-Period Exponential Moving Average has crossed up through the 12-Period Exponential Moving Average while both Moving Averages are above the 40-Period Exponential Moving Average is fairly straightforward:

XAVGC4 > XAVGC12 AND XAVGC4.1 <= XAVGC12.1 AND XAVGC12 > XAVGC40 AND H - C < (H - L) / 3

Checking for this to be the first cross after both EMAs are above EMA40 is more problematic.

It is theoretically possible to use the technique given in the Days Since Last Peak (or other day-counting needs) topic to count the number of bars since the most recent cross of the EMA4 and EMA12. The same technique can be used to count the number of bars since one of these EMAs was most recently below EMA40. You could then compare these counts. That said, the resulting formulas end up being too long and slow for me to post in the forums unless the lookback period is quite short.

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