Hi,
I am looking for an indicator which indicate the buy/sell pressure in a histogram by using a combination of volume and momentum and/or RSI.
At the moment I use the CMO indicator as a histogram to measure the buy/sell pressure.
I do not know if an indicator as described already exists or what it is called.
Does anybody have any suggestions?
Thank you………
Accumulation / Distribution? It’s a default PRT Indicator so it be easy for you to assess?
Thanks Grahal,
The problem I am faced with is that there is no Volume for all of the (commodity) CFD’s & Forex pairs I trade.
That is why I am looking for an indicator which uses a substitute for theVolume.
Volume is Volume, a valuable information that can’t be simulated by any other scholarly calculations 🙂
Though, a good tip would be to measure the speed of the market in any direction on a chart with no link to time (like in a tick charts with a “speedometer” for instance : how much bars of X ticks were created in one hour).
Great idea, but how to convert it to an indicator? or does an inicator like the ‘speedometer’ already exits?
I already coded this indicator for a customer, so I can’t share it publicly of course..Sorry.. Maybe someone could re-code it from scratch? ❓
Thanks Grahal,
Last night I tested them out with a strategy I am working on.
For now, I think I stick to the CMO/Bollinger indicator which gives me a better view on the momentum.
But if you not agree with that I would be pleased to hear from you which Indicator gives the best view in your opinion.
What is CMO / Bollinger? 🙂 Chande Momentum Oscillator?
Yes, The horizontal lines are replaced by Bollinger bands to adjust the Chande Momentum Oscillator to the (deviation) volatility and make this more dynamic and less static.
The zero line is than replaced by the midline of the Bollinger Bands.
You can also make this adjustment on other oscilators like the RSI.
Make sence?
Yes it makes good sense, is there an Indicator already set up on here or is it a manual set up?
The problem is dat I cannot fix a Histogram from the BB midline.
If you can explain a bit more and with pictures, maybe I could help.
Hi Nicolas,
Thanks for your interest in this indicator. I included the screenshots you asked for.
#1: The way I use the combination of CMO and Bollinger Bands.
#2: The indicator with Histograms.
The problem is that the histograms are built up from the zero line.
What I look for is histograms which are built up from the midline of the Bollinger bands of the indictor. This to capture the dynamic character of the indicator.
