| Welcome Guest, please sign in to participate in a discussion. | Search | Active Topics | |
 Gold Customer
Joined: 2/8/2005
Posts: 17
|
Ergodic Indicator pcf
Can you possibly supply a pcf for the Ergodic indicator line signal indicator that I can paste into TC2000? I would like to test its effectiveness with various time lengths. Perhaps you may have an optimum recommendation
Many thanks
Petrus
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 18,819
|
I will assume you are looking for the Ergodic histogram. This is the difference between the TSI (True Strength Index) and its own moving average.
Give us a little time to play with a few things and we will check back with you here.
- Craig
Here to Help!
|
|
Gold Customer
Joined: 2/8/2005
Posts: 17
|
Craig
Thanks for your early reply. I am looking for the moving line indicator version, not a histogram type. The software that has itis ensign at (removed by Moderator)
Petrus
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 18,819
|
Gotcha...
Tune in later to see what we (Bruce) can come up with.
- Craig
Here to Help!
|
|
Registered User
Joined: 12/31/2004
Posts: 3
|
Using the average of changes divided by the average of the absolute of all changes as the definition of the TRUE STRENGTH INDEX I came up with the following for a 12 day. I plotted it as an oscillator with a 3 day average. It appears to be an interesting index
TRUE STRENGTH INDEX ((C-C12)/12)/ ((ABS(C-C1)+ABS(C1-C2)+ABS(C2-C3)+ABS(C3-C4)+ABS(C4-C5) +ABS(C5-C6)+ABS(C6-C7)+ABS(C7-C8)+ABS(C8-C9)+ABS(C9-C10)+ABS(C10-C11) +ABS(C11-C12))/12)
Larry
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 18,819
|
OK... here is what I have for you to try.... Bruce will not be able to look at this until tonight. In the meantime can you take a look at this for me?
1) Create Custom Indicator
2) For the indicator formula use this:
(XAVGC5-XAVGC5.1)/ (((ABS(C-C1)*5)+ (ABS(C1-C2)*4)+ (ABS(C2-C3)*3)+ (ABS(C3-C4)*2)+ (ABS(C4-C5)*1))/15)
You can change the 5 to any period you like. You will need to change the sequence to the right of the divisor to reflect the change. Hopefully you can see the pattern.
3) For the smoothing average in the Custom Indicator window, make it exponential and 5. Again, you can change this at will.
4) Close this and you should have the indicator on the screen now.
5) The Ergodic is just an exponential moving average of this TSI. Right click on your new indicator and add a moving average to it. That MA should be your Ergodic. You can right click on the parent Custom Indicator, edit it and uncheck VISIBLE to hide it.
Look this over and let me know what you think. I am not sure it is perfect but it is something to look at until Bruce gets his hands dirty...
- Craig
Here to Help!
|
|
Gold Customer
Joined: 2/8/2005
Posts: 17
|
Craig, (and others)
Thanks for your input so far. I have pasted the formula exactly as you have suggested as a custom indicator. But my indicator window says " FormulaFORMULAERROR!!!Divide by Zero)5 Period "
Iam not sure how to do this, and wonder why it says to, when your formula is presumably tested, since I copied it as per below
(XAVGC5-XAVGC5.1)/ (((ABS(C-C1)*5)+ (ABS(C1-C2)*4)+ (ABS(C2-C3)*3)+ (ABS(C3-C4)*2)+ (ABS(C4-C5)*1))/15)
Any further help much appreciated.
Petrus
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 18,819
|
I would guess you are looking at it on a stock that has not traded in the last 5-days. Jump to DJ-30 and you should be fine.
- Craig
Here to Help!
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 18,819
|
I bet you are looking at a stock that has not traded in awhile. Go to MSFT and you should see the indicator fine.
- Craig
Here to Help!
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 4,308
|
I tested Craig's response, and got your error. I found a stock with no trading volume, and got a divide by zero error.
- Doug
Teaching Online!
|
|
Worden Trainer
Joined: 10/7/2004
Posts: 65,138
|
Here's what I have so far:
Plot a Custom Indicator with Visible unchecked, Center Zero Line and Exponential both checked and the Smoothing Average set to the Short EMA: SGN(C-C1)
Add a Visible, Exponential MA to the Custom Indicator with Shift Left unchecked and the Period set to the Long EMA. This line is the Ergodic Indicator.
Now add another Visible, Exponential MA to the first MA with Shift Left unchecked and the Period set to the Signal Line period in a different color. This line is the Ergodic Signal Line.
This seems way too simple to be right, so I'm going to do some more research to try and verify things before posting back with PCF versions.
-Bruce
Personal Criteria Formulas
TC2000 Support Articles
|
|
Gold Customer
Joined: 2/8/2005
Posts: 17
|
Craig and Bruce et al,
Thanks again for your input so far. I have now got your first suggested formula to work. As per your suggestion.
I appreciate your efforts and look forward to anything else you may come up with if you have the time available!
Petrus
|
|
Worden Trainer
Joined: 10/1/2004
Posts: 18,819
|
Petrus, is there a source you can compare my results to? Bruce and do not have access to the indicator from another source to compare our work to.
- Craig
Here to Help!
|
|
Gold Customer
Joined: 2/8/2005
Posts: 17
|
The only source I know of re the ergodic is the site at ensign,which I referred to earlier.
They do their own proprietary stuff it would seem, but do have newsletters that are free. I took out a one month subscription to it on the recommendation of another trader, but only used them to get the ergodic, rather than get into deep discussion with their traders who are pretty expert in their own fields it would seem.
As for me, I have diffculty even writing custom pcfs, so tend to prefer all the excellent worden ready made ideas that I have been following for the last year or two.
Petrus
|
|
|
Guest-1 |