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While I agree that there is no perfect solution to a trend indicator, what I
personally
use to indicate a trending market is as follows.
Up trend:
Sum(C >= Ref(Mov(Typical(),3,S),-1),3)=3
Down trend:=
Sum(C <= Ref(Mov(Typical(),3,S),-1),3)=3
There is a misconception that I had difficulty overcoming.... the fallacy
is:
Look for an indicator that will determine a trend before a trend occurs.
The fact is: a trend is not a trend UNTIL it completes a certain
predetermined
number of bars ( time ) up or down ( price ). So a trend should not be used
as
a predictive indication. I also DO NOT use the above
indicator to give a trade signal, I simply determine if the market is
"trending"
or in "congestion". If the market is trending, then one set of rules are
used to
trade by, if the market is in congestion, then a different set of rules are
used.
Below is a chart showing the price while trending versus congestion.
Adam Hefner
----- Original Message -----
From: Lionel Issen <lissen@xxxxxxxxx>
To: <metastock@xxxxxxxxxxxxx>
Sent: Monday, February 05, 2001 9:59 PM
Subject: Re: looking for trend
> There is no indicator or group of indicators that will always give you
> correct answers as to trend. If prices abruptly gap up or gap down, the
> trend indicators will usually not anticipate this.
> Lionel Issen
> lissen@xxxxxxxxxxxxxx
> ----- Original Message -----
> From: "Michael Arnoldi" <arnoldi@xxxxxxxxxxxxx>
> To: "aMETASTOCK" <metastock@xxxxxxxxxxxxx>
> Sent: Monday, February 05, 2001 4:57 PM
> Subject: looking for trend
>
>
> > a formula to place in the "expert corner" to show bullish / bearish
trend.
> > i tried several ideas ( moving averages, macd >0) but i am not satisfied
> > yet.
> > i searched in "gupy" & "equis" but found nothing real good.
> > any ideas ?
> >
>
>
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