Download: MACDRS.ela
File Includes:
Indicator - MACDRS
Function - RS
Category: Indicator > Oscillators
Description:
This indicator was designed to identify positive and negative trading signals for stocks and mutual funds. The heart of the indicator involves applying an oscillator to the relative strength line. Trading signals result from identifying strong relative strength, which is a positive indication, while weak relative strength is considered a negative sign.
Usage:
Go long only if:
1. The MACD of the weekly stock/S&P ratio is greater than zero, and
2. The MACD is above its trigger line.
Go short if vice versa
Please read article to learn more
Inputs:
RsLen - number of bars to use in RS function calculation
FastMa - number of bars to use in fast MA calculation
SlowMa - number of bars to use in slow MA calculation
MacdMa - number of bars to use in MACD MA calculation
EasyLanguage Code:
INPUT: RSLEN(10),FASTMA(12),SLOWMA(26),MACDMA(9);
PLOT1(MACD(RS(RSLEN), FASTMA, SLOWMA),"DIFF");
PLOT2(XAVERAGE(MACD(RS(RSLEN), FASTMA, SLOWMA), MACDMA),"SIGNAL");
IF CHECKALERT THEN BEGIN
IF PLOT1 CROSSES ABOVE PLOT2 OR PLOT1 CROSSES BELOW PLOT2
THEN ALERT;
END;