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VertexFX Indicator

The DDAdaptiveEMA is an innovative VertexFX client-side indicator that trades in the direction of the trend.
As the name suggests, DDAdaptiveEMA is based on the Exponential Moving Average (EMA). However, unlike the EMA which has lag, the DDAdaptiveEMA indicator reduces the lag in order to provide better trade entries and exits. The DDAdaptiveEMA is based on two components, namely the Dual Differentiator (DD) filter, and an Adaptive EMA. Hence the name DDAdaptiveEMA.
In the first step, we calculate the phase (cycle period) of the price using the Dual Differentiator filter. It provides the optimal phase period over the recent FILTER_PERIOD. In the next step we calculate the EMA based on this optimal phase period. Since the optimal phase period can very for each bar the EMA for each bar may be calculated based on a different period. Hence the name Adaptive EMA.
Unlike using fixed period EMA, by employing adaptive EMA the indicator responds to the price changes faster and reduces the lag.
When the adaptive EMA is rising, the indicator is painted BLUE, whereas when it is falling it is painted RED. This ensures that traders enter BUY trades in rising markets and SHORT trades in falling markets.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the DD Adaptive EMA indicator turns BLUE. The stop-loss can be set to the nearest Swing Low. Traders are advised to employ a trailing stop when the trade turns profitable.
SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the DD Adaptive EMA indicator turns RED. The stop-loss can be set to the nearest Swing High. Traders are advised to employ a trailing stop when the trade turns profitable.
 

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The HLCTrend is a simple yet powerful VertexFX client-side indicator useful to identify trend reversals.
As the name implies, the HLC Trend indicator is based on High, Low and Close price series.

In the first step we calculate the Exponential Moving Averages (EMA) of the High, Low and Close prices with HIGH_PERIOD, LOW_PERIOD and CLOSE_PERIOD respectively. In the next step we calculate the Bullish (BLUE) and Bearish (RED) components. The Bullish component is calculated by subtracting the EMA of the High from the EMA of the Close. The Bearish component is calculated by subtracting the EMA of Close from the EMA of Low. When the price starts rising after a fall, the EMA of Close is rising but the EMA of the High does not rise with the same intensity. As a result the BLUE Bullish line is rising and marks the confirmation of a bullish trend. When the price is falling after a rise, the EMA of Low falls rapidily as compared to the EMA of Close thereby marking a bearish trend.

The value of CLOSE_PERIOD should be lesser than that of LOW_PERIOD and the value of the LOW_PERIOD should be smaller than the value of the HIGH_PERIOD.

BUY / EXIT SHORT - Enter LONG when the BLUE line is below zero and rising for 3 consecutive candles and the RED line is above zero and falling. The stop-loss can be set to the nearest Swing Low. Traders are advised to employ a trailing stop when the trade turns profitable.
SHORT / EXIT LONG - Enter SHORT when the RED line is below zero and rising for 3 consecutive candles and the BLUE line is above zero and falling. The stop-loss can be set to the nearest Swing High. Traders are advised to employ a trailing stop when the trade turns profitable.
 

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The iCompass is an innovative VertexFX client-side indicator based on the Simple Moving Average indicator.

In addition to using the Simple Moving Average (SMA), it uses a smoothing co-efficient to determine the strength of the trend. The SMA tells the user about the current trend. Typically, when the price is above SMA the trend is considered bullish, and when it is below the SMA it is considered bearish. However, such a general rule of thumb is not useful in real trading world because of lag which causes delayed trade entries and exits.
Therefore, the iCompass indicator uses recent range high, low and the median price to identify the strength of the trend. In the first step, the SMA of the recent MA_PERIOD candles is computed. Then, the Highest High and the Lowest Low of recent MA_PERIOD candles is calculated. This provides us with a trading range. Next, we calculate the smoothing co-efficent based on the current median price, and the trading range. When this co-efficient is low it implies price is at the lower end of the trading range and therefore bearish. The opposite is true for a bearish trend. Finally, we calculate the log-normal value of this co-efficient, which is used to identify the bullish and bearish trend of the iCompass. When this value is below zero it is considered a bearish trend and the indicator is colored RED. Likewise, if the log-normal co-efficient is above zero, the indicator is colored BLUE signifying a bullish trend.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the iCompass indicator turns BLUE from RED and is rising. Do not enter LONG trade if the indicator turns BLUE from RED but is still falling. However, SHORT positions can be exited under such conditions. The stop-loss can be set to the nearest Swing Low. Traders are advised to employ a trailing stop when the trade turns profitable.
SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the iCompass indicator turns RED from BLUE and is falling. Do not enter SHORT trade if the indicator turns RED from BLUE but is still rising. However, LONG positions can be exited under such conditions. The stop-loss can be set to the nearest Swing High. Traders are advised to employ a trailing stop when the trade turns profitable.
 

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The StochInMA is an innovative VertexFX client-side indicator that identifies trend reversals and trading levels.

The StochInMA as the name suggests is a combination of the Moving Average and the Stochastic Oscillator.

The Moving Average by itself provides the direction of the trend and critical reversal levels. When the price is above the Moving Average the trend is considered bullish. Contrarily, when the price is below the Moving Average the trend is considered bearish. However, Moving Average by itself has a lag and results in late entries or exits.
The StochInMA adds a new dimension to the Moving Average indicator by color coding the Moving Average based on the Stochastic Oscillator levels. Traders find the Stochastic Oscillator useful in identifying trend reversals. When the Stochastic Oscillator crosses above the upper threshold it typically is a sign of bullish breakout, and below the lower threshold a sign of bearish breakout. By coloring the Moving Average based on the strength of the Stochastic Oscillator, traders get a better perspective of the strength of the trend. One of the major advantages of the StochInMA indicator is it prevents traders from false entries and early exits.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the StochInMA indicator turns BLUE from either GREEN or RED. The stop-loss can be set to the nearest Swing Low. Traders are advised to employ a trading stop when the trade turns profitable. Do not enter fresh LONG trades if the indicator turns BLUE from YELLOW.
SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the StochInMA indicator turns RED from either GREEN or BLUE. The stop-loss can be set to the nearest Swing High. Traders are advised to employ a trading stop when the trade turns profitable.Do not enter fresh SHORT trades if the indicator turns RED from YELLOW.
 

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The SVEStochasticRSI is a powerful VertexFX client-side indicator that identifies market cycles and the strength of a trend.
As the name implies, it is an enhancement of the Stochastic RSI and was originally created by Sylvain Vervoort. The main advantage over the traditional StochasticRSI is that the method of calculating the RSI in this indicator is more responsive to price changes. As a result the lag is minimal.

In the first step we calculate the RSI using the enhanced SVE method. We use a smoothing co-efficient ALPHA, which is the square-root of the reciprocal period for calculating the RSI. The price changes used to calculate the normal RSI are multiplied by the smoothing co-efficient to derive the SVE RSI. In the next step we calculate the Stochastic value of this RSI which is called the SVEStochasticRSI.
The advantage of applying the Stochastic indicator to the RSI is that is when the price starts trending the indicator starts moving upwards or downwards very quickly thereby helping the traders identify the trend very quickly.
The indicator is painted BLUE when it is rising and RED when it is falling. It is recommended to use this indicator on H1 and higher time-frames.

BUY / EXIT SHORT - Enter LONG when the indicator turns BLUE at the zero level. If a SHORT position is open, exit the SHORT position when the indicator turns BLUE at any level. The stop-loss can be set to the nearest Swing Low. Traders are advised to employ a trailing stop when the trade turns profitable.
SHORT / EXIT LONG - Enter SHORT when the indicator turns RED at the zero level. If a LONG position is open, exit the LONG position when the indicator turns RED at any level. The stop-loss can be set to the nearest Swing High. Traders are advised to employ a trailing stop when the trade turns profitable.
 

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RSIofPSAR is a VertexFX indicator that identifies trend reversals, it is based on two underlying indicators namely the Parabolic Stop-And-Reverse (PSAR) and the Relative Strength Index (RSI).

The PSAR indicator is very useful in trend-following techniques when the trend is clear. However, it leads to whipsaws in sideways markets leading to losses. The RSI indicator is useful in identifying trend reversals and sideways markets. RSIofPSAR is created by combining these characteristics from the two indicators providing use with a composite indicator the identifies trend reversals.
In the first step, we calculate the Parabolic Stop-And-Reverse (PSAR) of the price series. In the next step, we calculate the Relative Strength Index (RSI) of the PSAR calculated in the previous step. Instead of calculating the RSI using the standard technique, we use a smoothing co-efficient to eliminate the lag.

The RSIofPSAR is a bounded oscillator ranging between 0 and 100. It turns BLUE when it is rising and turns RED when it is falling.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the RSIofPSAR turns BLUE from RED below the 50 level. Place the stop-loss below the nearest Swing Low. It is recommended to employ a trailing stop when the trade turns profitable.

SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the RSIofPSAR turns RED from BLUE above the 50 level. Place the stop-loss above the nearest Swing High. It is recommended to employ a trailing stop when the trade turns profitable.
 

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iDoubleChannel is a powerful VertexFX indicator that closely follows the price trends. The indicator comprises three components, namely the Upper (BLUE) trend, the Lower (RED) trend, and the Center (YELLOW) trend.

When the Lower (RED) component is above the Upper (BLUE) component it signals a bullish trend. Likewise, when the Upper (BLUE) component is above the Lower (RED) component it signals a bearish trend. Traders should avoid trading against the trend. The Center (YELLOW) trend provides a guideline to the price movement. When the Center trend is between the Upper and Lower trends it implies a continuation of the trend. When the Center trend deviates outside the Upper and Lower trend it signals the end of a trend and the probability of a trend reversal is very high. The Center trend is the Simple Moving Average (SMA) of the Close over the recent CHANNEL_PERIOD candles. The Upper trend is calculated from the cumulative sum of the High and difference between the High and Close over the CHANNEL_PERIOD. Likewise, the Lower trend is calculated from the cumulative sum of the Low and the difference between the Low and Close over the CHANNEL_PERIOD.

One of the main advantages of the iDoubleChannel indicator over other indicators is that it reduces the lag.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the BUY arrow is displayed and the RED (Upper) component of the iDoubleChannel indicator is above the BLUE (Lower) component of the indicator. Place the stop-loss below the nearest Swing Low. It is recommended to employ a trailing stop when the trade turns profitable.

SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the SELL arrow is displayed and the BLUE (Upper) component of the iDoubleChannel indicator is above the RED (Lower) component of the indicator. Please the stop-loss above the nearest Swing High. It is recommended to employ a trailing stop when the trade turns profitable.
 

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Double Smoothed Adaptive Moving Average (DSAMA) is a VertexFX indicator based on the Simple Moving Average (SMA) indicator. One of the biggest drawbacks of the SMA is the presence of lag which delays trade entries and exits. The DSAMA indicator offers three advantages of the SMA indicator. First and foremost, unlike the fixed period of the SMA, the period of the DSAMA is adaptive and is calculated based on a fast and slow period range. As a result, it shows a better response than normal SMA. Secondly, by using a smoothing algorithm, the lag is reduced thereby allowing traders to enter and exit trades faster before the price has moved too far away.

Building the Indicator:

In the first step, we calculate the greatest and smallest value of the price over the recent PERIOD candles. Based on the greatest, smallest, and the current value, the smoothing coefficient is calculated. Finally, the two levels of smoothing are applied, one using the FAST_PERIOD and then using the SLOW_PERIOD to reduce the lag.
The DSAMA comprises of the BLUE (bullish) and the RED (bearish) components. When the DSAMA is rising, the indicator is BLUE and when it is falling it turns RED.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the indicator turns BLUE from RED color. Place the stop-loss below the nearest Swing Low. It is recommended to employ a trailing stop when the trade turns profitable.

SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the Double Smoothed AMA indicator turns RED from BLUE color. Place the stop-loss above the nearest Swing High. It is recommended to employ a trailing stop when the trade turns profitable.
 

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FollowLine is a powerful VertexFX indicator based on the Bollinger Bands (BB) indicator.

The Bollinger Bands indicator is a powerful indicator to identify trading ranges. However it cannot identify how far the trend will continue, or when the trend will reverse. The FollowLine indicator employs a combination of Bollinger Bands, Moving Average and Average True Range to identify start and reversal of trend with minimal lag.

The FollowLine indicator generates BUY and SELL arrows when the trade setups identified. Likewise, when the trend turns bullish the indicator is displayed in BLUE, and when bearish the indicator is displayed in RED.

In the first step, we calculate the upper and lower Bollinger Bands using the BB_PERIOD and BB_DEVIATION parameters. We filter for condition when the price closes above the upper Bollinger Band, or below the lower Bollinger Band. If USE_ATR_FILTER is set to true then the ATR value is added to the upper Bollinger Band, or subtracted from the lower Bollinger Band as applicable. This provides us with a trailing stop.
When the price crosses above the upper the Bollinger Band it signals the start of a bullish trend, and similarly when it crosses below the lower Bollinger Band it signals the start of a bearish trend. The indicator primarily employs a Stop And Reverse (SAR) mechanism, so when the LONG position is closed, it automatically signals a SHORT trade.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the BUY arrow is displayed and the FollowLine indicator turns BLUE. Place the stop-loss below the nearest Swing Low. It is recommended to employ a trailing stop when the trade turns profitable.

SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the SELL arrow is displayed and the FollowLine indicator turns RED. Please the stop-loss above the nearest Swing High. It is recommended to employ a trailing stop when the trade turns profitable.


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AdaptiveATR is a VertexFX indicator built based on the Average True Range (ATR) indicator.

The Average True Range (ATR) provides information about the volatility of the price. However, one of the drawbacks of the ATR is that it does not provide the direction of the trend, or change in direction. The AdaptiveATR overcomes this drawback by using an adaptive feedback mechanism for calculating the ATR.

The original ATR uses High, Low, and Close prices for calculations, whereas AdaptiveATR uses only High and Low prices. As a result, it exhibits a greater sensitivity to volatility and change in direction.

In the first step, we calculate the average price based on the High and the Low. In the next step, we calculate the difference of the Average price from its previous Average price. Using concepts of signal-processing, the noise factor is calculated based on this difference. Finally, we subtract the noise from the accumulated Difference over the specified ATR Period.
When AdaptiveATR is rising it implies that the trend is continuing with strength. On the contrary, when AdaptiveATR peaks out and starts falling it indicates that the trend has exhausted and the probability of reversal is imminent.

BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the AdaptiveATR indicator has peaked and the price is falling or has bottomed out. Place the stop-loss below the nearest Swing Low. It is recommended to employ a trailing stop when the trade turns profitable.

SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the AdaptiveATR indicator has peaked and the price is rising or has topped out. Place the stop-loss above the nearest Swing High. It is recommended to employ a trailing stop when the trade turns profitable.
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