WLMA (Wealth-Lab Moving Average)
Modified on 2012/02/02 11:00 by Eugene — Categorized as: Community Indicators
WLMA (Wealth-Lab Moving Average): Indicator Documentation
Syntax
DataSeries WLMA(
Bars
bars, DataSeries ds,
int
howManySwings)
Parameter Description
bars
A Bars object
ds
DataSeries to apply WLMA to
howManySwings
How many recent swing points to take when computing the indicator
Description
WLMA (Wealth-Lab Moving Average) is an adaptive, market-driven simple moving average created by Gene Geren. Its lookback period is dynamically changing with market conditions, driven by the
Adaptive Lookback Period
indicator.
The WLMA is calculated just like
SMA
, but the key difference is that there's no fixed lookback period. WLMA's lookback period is variable-length and is determined by the Adaptive Lookback value obtained using the specified
howManySwings
parameter.
Since WLMA heavily depends on Adaptive Lookback, it's advised to review the indicator's
online documentation
to understand its construction and interpretation guidelines.
Example
See how more responsive is WLMA (10 last swings) when compared to a short-term 10-bar SMA:
WLMA vs. SMA