This technical indicator is an attempt to find the good momentum of trend : is it actually trending or in a range market?
Interestingly, it follows that π is not only the ratio between the length of a circle to its diameter, it is also a constant rather appears in statistics and, oddly enough, in the relationship between the distance between a price oscillation and a straight line.
- If the signal / noise ratio is less than or equal to 1/2 π, we will be in a trading range or range.
- If the signal / noise ratio is greater than 1/2 π, we are in a trending market.
Code converted from the Metatrader4 version, by request on Spanish forums.
Description from x-trader.net website.
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//PRC_SignalToNoiseRatio | indicator //21.12.2016 //Nicolas @ www.prorealcode.com //Sharing ProRealTime knowledge //Converted from MT4 version // --- parameter MyLookBackShift = 14 // --------------- MyClose = Close LookBackShift = MyClose[MyLookBackShift] AbsCh = Abs(MyClose - MyClose[1]) MyDistance = Abs(MyClose-LookBackShift) MyB = 0 for y = 0 to MyLookBackShift + 1 do MyB = MyB + AbsCh[y] next MyWalk = MyB MyDTWRatio = MyDistance/MyWalk MyPiRatio = 1/3.14159265358979/2 Buf0 = MyDTWRatio Buf1 = MyPiRatio return Buf0 as "signal to noise ratio",Buf1 as "signal to noise level" |
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Filename : download the ITF files
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Sin duda,esta es la conversión correcta.Le quedo eternamente agradecido Nicolas.
¿Hay algún problema para hacerlo público también en un blog que tengo?Entiendo que es un código de libre acceso.Gracias por todo Nicolas.
Mientras el código y los comentarios permanezcan intactos por supuesto. Un enlace a este post también será muy apreciado 🙂
Thanks a lot, this is something I had been looking for for quite a while. Are there any other indicators on this site that can be used to decide whether the market is in a sideward range or trending ? I know the ADX and the RAVI for example. Anything else ?
You can also use the choppiness index, which is also an oscillator made to detect ranging market : http://www.prorealcode.com/prorealtime-indicators/choppiness-index/
Respected sir, I would be grateful if you could send me signal to ratio indicator for Amibroker. Thanking you in advance. Regards Sanjiv modi
Hello Nicolas,
I found this indicator by a google search. since I am mt4 user and you wrote that you have taken a mt4 version as a basis my question, is it possible to get this from you?
Greetings robcole
Hi Rob, sorry I do not offer MT4 support and I coded this one months ago, I think you’ll have to find it by yourself in the forums or elsewhere on the web 🙂
Thx for your reply, i understand, my hope was that you stillhave the mt4 version… however, can you point me into the right direction with the name of the mt4 version, i was searching with google without luck untill now :/ THX