Syntax
public static WilderMA Series(DataSeries source, int period)
public WilderMA(DataSeries source, int period, string description)
Parameter Description
| source |
The source DataSeries |
| period |
Indicator calculation period |
Description
WilderMA is sometimes call Wilder's Smoothing, and it returns a moving average as calculated by Welles Wilder in his book
New Concepts in Technical Trading. This indicator is similar to the
Exponential Moving Average. Compared to other moving averages, WildersMA responds slowly to price changes. A n-period WilderMA gives similar values to a 2n period
EMA. For example, a 14-period
EMA has almost the same values as a 7-period WilderMA.
Interpretation
- WilderMA can be interpreted in the same way as other moving averages. The WilderMA is like a EMA with half number of periods. See the EMA indicator for more information.
- You should use a WilderMA when calculating other Wilder's indicators to ensure consistent results with other systems and users.
- If you are after a smoothing indicator for general use, consider using another average like SMA, EMA, WMA, etc.
Calculation
WilderMA is calculated for periods "n" as follows:
Wilder MA = ( Previous Wilder MA * ( n - 1 ) + DataSeries Value ) / n
where,
n = number of periods
DataSeries Value = data you wish to average
Example
using System;
using System.Collections.Generic;
using System.Text;
using System.Drawing;
using WealthLab;
using WealthLab.Indicators;
namespace WealthLab.Strategies
{
public class MyStrategy : WealthScript
{
protected override void Execute()
{
// Compare a Simple and Exponential Moving Average with Wilder's MA
int n = 14;
PlotSeries( PricePane, WilderMA.Series( Close, n ), Color.Lime, LineStyle.Solid, 2 );
PlotSeries( PricePane, SMA.Series( Close, n ), Color.Red, LineStyle.Solid, 1 );
PlotSeries( PricePane, EMA.Series( Close, 2*n, EMACalculation.Modern ), Color.Blue, LineStyle.Solid, 1 );
}
}
}