Syntax
public TrendB(DataSeries ds, int period1, int period2, int m, int n, double c, bool useRMSNoise, string description)
public static TrendB Series(DataSeries ds, int period1, int period2, int m, int n, double c, bool useRMSNoise)
Parameter Description
| DataSeries |
Typically the Close DataSeries reference |
| period1 |
EMA fast period used for the CPC (cumulative price change) indicator. |
| period2 |
EMA slow period used for the CPC indicator. |
| m |
Period for the piecewise EMA of cumulative price change from the slow/fast CPC EMA crossovers. |
| n |
Period used for noise calculation. Generally you should specify n >= m |
| c |
Correction factor for the signal (trend) to noise ratio. |
| useRMSNoise |
Pass true to use an RMS noise calculation, otherwise false for linear noise. |
Description
The Trend Noise Balance (B-indicator) from the April 2004 issue of
Stocks & Commodities magazine determine trends
"with a procedure that attempts to recognize, in a timely way, promising and nonpromising (sic) price trends within the extracted semicycles as well as estimate their strength".
Fluctuating between 0 and 100, TrendB measures the strength of a trend but not its direction. Its value goes to 0 whenever the CPC EMAs with period1 and period2 cross. Per the author, David Sepiashvili, readings can be interpreted as follows:
- 50 - 65: weak trending
- 65 - 80: moderate trending
- above 80: strong trending
Calculation
(See open source)
Example
(Please request)