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SEAN W. HUNT wrote:
>
>
> Basic ROC formula is: Price - Price(n periods). Price can be anything you
> want; Close, High, Low, or combination thereof. I.E. a 5 period ROC =
> Close[0] - Close[5].
>
> A variation of the above that I like is: (Close[0] - Close[n] / squareroot
> of the time period used).
>
> ((Close[0] - Close[5]) / squareroot (5)).
>
> Regards,
>
> Sean Hunt
> San Francisco
I have also seen %ROC, where the % price change over the period is used
instead of the absolute price change, used to adjust for stocks that are
very volatile.
DanG
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