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Strategies & Market Trends : The 56 Point TA; Charts With an Attitude

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To: Doug R who wrote (23379)11/23/1998 12:05:00 AM
From: Magnatizer  Read Replies (1) of 79194
 
From TA from A to Z

(the equis site would not let me pull up this page so it is coming to you via my fingers, caveate emptor)

1. add each periods high , low, and close and divide this sum by 3. this calculates the typical price

2. Calculate an n-period simple moving average of the typical prices computed in Step 1

3. For each of the prior n-periods, subtract today's Step 2 value from Step 1s value n days ago. For example, if you were calculating a five-day CCI, you would perform five subtractions using todays Step 2 value)

4. Calculate an n-period simple mov ave of the absolute values of each of the results in step 3.

5. Multiply the value in Step 4 by 0.015

6. Subtract the value from Step 2 from the value in Step 1

7. Divide the value in Step 6 by the value in Step 5

simple eh?

ht
david
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