Indicator plots Money Flow Indicator (Chaikin). This indicator looks
to improve on Larry William's Accumulation Distribution formula that
compared the closing price with the opening price. In the early 1970's,
opening prices for stocks stopped being transmitted by the exchanges.
This made it difficult to calculate Williams' formula. The Chaikin
Oscillator uses the average price of the bar calculated as follows
(High + Low) /2 instead of the Open.
The indicator subtracts a 10 period exponential moving average of the
AccumDist function from a 3 period exponential moving average of the
AccumDist function.
to improve on Larry William's Accumulation Distribution formula that
compared the closing price with the opening price. In the early 1970's,
opening prices for stocks stopped being transmitted by the exchanges.
This made it difficult to calculate Williams' formula. The Chaikin
Oscillator uses the average price of the bar calculated as follows
(High + Low) /2 instead of the Open.
The indicator subtracts a 10 period exponential moving average of the
AccumDist function from a 3 period exponential moving average of the
AccumDist function.
//////////////////////////////////////////////////////////// // Copyright by HPotter v1.0 12/05/2014 // Indicator plots Money Flow Indicator (Chaikin). This indicator looks // to improve on Larry William's Accumulation Distribution formula that // compared the closing price with the opening price. In the early 1970's, // opening prices for stocks stopped being transmitted by the exchanges. // This made it difficult to calculate Williams' formula. The Chaikin // Oscillator uses the average price of the bar calculated as follows // (High + Low) /2 instead of the Open. // The indicator subtracts a 10 period exponential moving average of the // AccumDist function from a 3 period exponential moving average of the // AccumDist function. //////////////////////////////////////////////////////////// study(title="Money Flow Indicator (Chaikin Oscillator)", shorttitle="MFI") Fast = input(3, minval=1) Slow = input(10, minval=1) hline(0, color=gray, linestyle=dashed) lenMax = max(Fast, Slow) lenMin = min(Fast, Slow) xDiv = (high - low) * volume SumMax = sum(iff(xDiv > 0, (close - open) / (high - low) * volume , 0) , lenMax) SumMin = sum(iff(xDiv > 0, (close - open) / (high - low) * volume , 0) , lenMin) emaMax = ema(SumMax, lenMax) emaMin = ema(SumMin, lenMin) nRes = emaMax - emaMin plot(nRes, color=blue, title="RMI")