Re: McClellan oscillator

[jgilca@xxxxxxx]

Dear co-listers:

I have just discovered the McClellan Oscillator. It is a standard 
indicator listed in Metastock 6.5, that gives interesting graphics 
showing the divergencies betwen the chart and the oscillator.

But we can read in the Equis site:
"The McClellan Oscillator, developed by Sherman and Marian McClellan,
is a  market breadth indicator that is based on the smoothed
difference between the number of advancing and declining issues on
the New York Stock Exchange. The McClellan Oscillator is one of the
most popular breadth indicators. Buy signals are typically generated
when the McClellan Oscillator falls into the oversold area of -70 to
-100 and turns up. Sell signals are generated when the oscillator
rises into the overbought area of +70 to +100 and then turns down."

Therefore, if I display that indicator on the Microsoft's chart, 
what does the oscillator's graphic developped in the chart mean? From 
the above explanation, the graphic is not derived from the chart, but 
from the data of advancing and declining issues. Could it be a 
diferent indicator?

Thanks and good trading

Jgilca