//+------------------------------------------------------------------+
//| Traders Dynamic Index.mq4 |
//| Copyright © 2006, Dean Malone |
//| www.compassfx.com |
//+------------------------------------------------------------------+
//+------------------------------------------------------------------+
//| |
//| Traders Dynamic Index |
//| |
//| This hybrid indicator is developed to assist traders in their |
//| ability to decipher and monitor market conditions related to |
//| trend direction, market strength, and market volatility. |
//| |
//| Even though comprehensive, the T.D.I. is easy to read and use. |
//| |
//| Green line = RSI Price line |
//| Red line = Trade Signal line |
//| Blue lines = Volatility Band |
//| Yellow line = Market Base Line |
//| |
//| Trend Direction - Immediate and Overall |
//| Immediate = Green over Red...price action is moving up. |
//| Red over Green...price action is moving down. |
//| |
//| Overall = Yellow line trends up and down generally between the |
//| lines 32 & 68. Watch for Yellow line to bounces off |
//| these lines for market reversal. Trade long when |
//| price is above the Yellow line, and trade short when |
//| price is below. |
//| |
//| Market Strength & Volatility - Immediate and Overall |
//| Immediate = Green Line - Strong = Steep slope up or down. |
//| Weak = Moderate to Flat slope. |
//| |
//| Overall = Blue Lines - When expanding, market is strong and |
//| trending. When constricting, market is weak and |
//| in a range. When the Blue lines are extremely tight |
//| in a narrow range, expect an economic announcement |
//| or other market condition to spike the market. |
//| |
//| |
//| Entry conditions |
//| Scalping - Long = Green over Red, Short = Red over Green |
//| Active - Long = Green over Red & Yellow lines |
//| Short = Red over Green & Yellow lines |
//| Moderate - Long = Green over Red, Yellow, & 50 lines |
//| Short= Red over Green, Green below Yellow & 50 line |
//| |
//| Exit conditions* |
//| Long = Green crosses below Red |
//| Short = Green crosses above Red |
//| * If Green crosses either Blue lines, consider exiting when |
//| when the Green line crosses back over the Blue line. |
//| |
//| |
//| IMPORTANT: The default settings are well tested and proven. |
//| But, you can change the settings to fit your |
//| trading style. |
//| |
//| |
//| Price & Line Type settings: |
//| RSI Price settings |
//| 0 = Close price [DEFAULT] |
//| 1 = Open price. |
//| 2 = High price. |
//| 3 = Low price. |
//| 4 = Median price, (high+low)/2. |
//| 5 = Typical price, (high+low+close)/3. |
//| 6 = Weighted close price, (high+low+close+close)/4. |
//| |
//| RSI Price Line & Signal Line Type settings |
//| 0 = Simple moving average [DEFAULT] |
//| 1 = Exponential moving average |
//| 2 = Smoothed moving average |
//| 3 = Linear weighted moving average |
//| |
//| Good trading, |
//| |
//| Dean |
//+------------------------------------------------------------------+
#property indicator_buffers 6
#property indicator_color1 Black
#property indicator_color2 MediumBlue
#property indicator_color3 Yellow
#property indicator_color4 MediumBlue
#property indicator_color5 Green
#property indicator_color6 Red
#property indicator_separate_window
extern int RSI_Period = 13; //8-25
extern int RSI_Price = 0; //0-6
extern int Volatility_Band = 34; //20-40
extern int RSI_Price_Line = 2;
extern int RSI_Price_Type = 0; //0-3
extern int Trade_Signal_Line = 7;
extern int Trade_Signal_Type = 0; //0-3
double RSIBuf[],UpZone[],MdZone[],DnZone[],MaBuf[],MbBuf[];
int init()
{
IndicatorShortName("Traders Dynamic Index");
SetIndexBuffer(0,RSIBuf);
SetIndexBuffer(1,UpZone);
SetIndexBuffer(2,MdZone);
SetIndexBuffer(3,DnZone);
SetIndexBuffer(4,MaBuf);
SetIndexBuffer(5,MbBuf);
SetIndexStyle(0,DRAW_NONE);
SetIndexStyle(1,DRAW_LINE);
SetIndexStyle(2,DRAW_LINE,0,2);
SetIndexStyle(3,DRAW_LINE);
SetIndexStyle(4,DRAW_LINE,0,2);
SetIndexStyle(5,DRAW_LINE,0,2);
SetIndexLabel(0,NULL);
SetIndexLabel(1,"VB High");
SetIndexLabel(2,"Market Base Line");
SetIndexLabel(3,"VB Low");
SetIndexLabel(4,"RSI Price Line");
SetIndexLabel(5,"Trade Signal Line");
SetLevelValue(0,50);
SetLevelValue(1,68);
SetLevelValue(2,32);
SetLevelStyle(STYLE_DOT,1,DimGray);
return(0);
}
int start()
{
double MA,RSI[];
ArrayResize(RSI,Volatility_Band);
int counted_bars=IndicatorCounted();
int limit = Bars-counted_bars-1;
for(int i=limit; i>=0; i--)
{
RSIBuf[i] = (iRSI(NULL,0,RSI_Period,RSI_Price,i));
MA = 0;
for(int x=i; x<i+Volatility_Band; x++) {
RSI[x-i] = RSIBuf[x];
MA += RSIBuf[x]/Volatility_Band;
}
UpZone[i] = (MA + (1.6185 * StDev(RSI,Volatility_Band)));
DnZone[i] = (MA - (1.6185 * StDev(RSI,Volatility_Band)));
MdZone[i] = ((UpZone[i] + DnZone[i])/2);
}
for (i=limit-1;i>=0;i--)
{
MaBuf[i] = (iMAOnArray(RSIBuf,0,RSI_Price_Line,0,RSI_Price_Type,i));
MbBuf[i] = (iMAOnArray(RSIBuf,0,Trade_Signal_Line,0,Trade_Signal_Type,i));
}
//----
return(0);
}
double StDev(double& Data[], int Per)
{return(MathSqrt(Variance(Data,Per)));
}
double Variance(double& Data[], int Per)
{double sum, ssum;
for (int i=0; i<Per; i++)
{sum += Data[i];
ssum += MathPow(Data[i],2);
}
return((ssum*Per - sum*sum)/(Per*(Per-1)));
}
//+------------------------------------------------------------------+
Sample
Analysis
Market Information Used:
Indicator Curves created:
Implements a curve of type DRAW_NONE
Implements a curve of type DRAW_LINE
Indicators Used:
Relative strength index
Moving average indicator
Custom Indicators Used:
Order Management characteristics:
Other Features: