Volatility Paintbars

["Carl Soderholm" <Carl@xxxxxxxxxxxx>]

Here is a simple volatility paintbar for groups discussion.

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Input: LookBack(10), RngLimit(2);

If Highest(High, LookBack) - Lowest(Low, LookBack) < RngLimit *
Average(TrueRange,30) then begin;
  Plot1(High,"PBHigh");
  Plot2(Low,"PBLow");
  IF CheckAlert Then Alert = TRUE;
End;

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The ELA, a chart and some discussion on how to use the indicator is
available at:  http://www.linkshore.com/    click on Technical Indicators
on the left side menu area.

The inputs seem to work OK on most EOD charts. You will need to adjust to
taste on intraday data.

The study is intended to mark bars during periods of relatively low
volatility.

I'd be very interested in comments and improvements.

Carl