Sunday, July 22, 2012

Metatrader Indicator

Everybody is aware of the metatrader Platform for forex.  Its popularity and use is wide ranged and surpasses any software for trading,   It  has proved to be the incubator for a wide variety of indicators and systems.  The Russians have a very great contribution t development of many of these Indicators. I have always been intrigued by these Indicators and have attempted to translate many of these indicators in to Amibroker AFLS. Some of these are already available at my web site.  

Forex has its own peculiarities in terms of volatility, globalized and 24 hours trading. Many of the indicators which seem to work well in forex trading would not work for stocks and other instruments. So it is difficult to use these indicators as they are. We need to modify / fine tune these to suit for trading other instruments. 

The first Indicator we are going to look at is a very popular one called the "STEP MA". It was developed by the Igor of Trend laboratory yahoo group.  Then came variation of the same like Step MA stochastic and even Step RSI...

The Step Moving Average is an indicator which is only allowed to change in discrete steps calculated based on the Range calculation or constant step size. When price is within the constraints of the step size the moving average line remains flat. When price is trending, the moving average moves incrementally in the direction of the trend. 

Here is a Image of the MT4 Indicator

Now a Image of the same Indicator in Amibroker

Friday, July 20, 2012

The leaves that were green turned to brown ..

The first question that would arise in anybody’s mind would be “Why this Blog now?”

This is not my first Blog... My first Blog was “Stock Technician” when I released the now famous NMA. Then a Blog on Volume Spread Analysis followed. Slowly I progressed to my own Website

The process of starting a web site was a unique experience for me. Learning about CMS, playing around with Joomla was all very interesting and many times painful.  Unfortunately some Hackers had developed a particular liking for my website and were enjoying repeatedly destroying my web site. The latest is a gang of cyber goons from Pakistan.

A couple of months I was rather roughly reminded me the fragility of life. I was confidentially moving ahead taking the twists and turn of life with ease. All was fine till one fine day I ended up in the ICU after what the doctors loving called a MI, Myocardial Infarction. A rude reminder that there may not be much time to do what all I wanted to do in life.  Age was slowly catching up.  The words from the Simon and Garfunkel song keeps coming to my mind .. “The leaves that were green turned to brown ..”

I always wanted to leave something back. Something that would be used and talked about even long after I am gone. That way my work on VPA is already all over the internet. Whatever I put on my web site would be trashed by the service provider once the contract period gets over. However I am sure a blog would remain alive for much longer time. And also the headache of maintaining a web site would also not be there.

I would be sharing all my thoughts on Volume spread Analysis, Technical Analysis and some general musing on this blog… Also I am planning to close my web site slowly and concentrate on my experiments and Blog… Hope the little group which found my work interesting would continue to benefit from this Blog….