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Rt'ers,
Here is the latest version of the FEAR!! indicators.
Indicators can now be adjusted to incorporate any period
length (Before, you could only go as high as 25). They will
also use the same calculations for odd days as for the even
days.
This makes the indicator set much more "test" friendly :).
I played around with various volatility settings, and finally
decided to leave them the way they are.
Also, I didn't like the way the FEAREnv worked, so I changed it.
The new version looks somewhat like the oldest version, except that
it is scaled to "same as Price data" and also incorporates a
secondary indicator showing possible retracement points. Now, it
works the way it should; as an envelope that indicates possible
OB/OS conditions.
I also made a few changes in the way the paintbars call alerts,
so you will want to load them too.
Defaults:
FearEnv: whatever colors you want. Length = 20 and 45
FEAR : Hi plot = Yellow line thinnest Lo plot = RED line thinnest
Length: 20
FEARfast : Cyan Lin thinnest Length: 1
Use of the indicators and Paintbars:
FEAR
When the market is trending, it will tend to run under
the RED plot for Bear markets, and over the YELLOW plot in bull
markets. On a Bull run, look for retracements to the RED plot.
As these retracements deepen, look for the market to reverse.
Either SELL when the market breaks through the YELLOW plot, or
wait for SEVERAL bars to have their FULL ranges under the RED plot,
and SELL the next time prices get near the RED plot.
The reverse is true for Bear markets.
FEAREnv: In cyclical markets such as the grains, this indicator
calls reversals well.
As well as the outer lines, you will also
notice inner dotted lines. These inner lines show possible 50%
and smaller retracement areas within the larger envelope.
In a trending market, when prices are topping out almost daily
against the outer FEAREnv line, watch closely for a series of
plateaus, or steps to form. (You will se what I mean when you
look at it). The market is usually ready to fold when it gets
into its third plateau.
FEARfast: You will notice that the default Length is shorter than
before. Using th " 1 " setting. you will see that the CYAN line
often "peaks" above a price bar, or series of price bars. AT this
peak, the small specs are "all in". Look for the market to have a
minor retracement.
If people want a GIF to go along with the newer indicators, let
me know, and I'll post a few.
My NEXT project is to write a 3D confirming FEAR indicator that
will run in a subgraph. I forget the name of the individual
that suggested the idea, but THANKS! :)
Attachment Converted: "c:\eudora\attach\Fear!!1.ela"
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