Ergotic MDI (Mean Deviation Indicator)

[eSignal]

File Name: Ergotic_MDI.efs

Description:
Ergotic MDI (Mean Deviation Indicator)

Formula Parameters:
r : 32
s : 5
u : 5


Notes:
This is one of the techniques described by William Blau in his book "Momentum,
Direction and Divergence" (1995). If you like to learn more, we advise you to
read this book. His book focuses on three key aspects of trading: momentum,
direction and divergence. Blau, who was an electrical engineer before becoming
a trader, thoroughly examines the relationship between price and momentum in
step-by-step examples. From this grounding, he then looks at the deficiencies
in other oscillators and introduces some innovative techniques, including a
fresh twist on Stochastics. On directional issues, he analyzes the intricacies
of ADX and offers a unique approach to help define trending and non-trending periods.


Download File:
Ergotic_MDI.efs



EFS Code:

/*********************************
Provided By:  
    eSignal (Copyright c eSignal), a division of Interactive Data 
    Corporation. 2008. All rights reserved. This sample eSignal 
    Formula Script (EFS) is for educational purposes only and may be 
    modified and saved under a new file name.  eSignal is not responsible
    for the functionality once modified.  eSignal reserves the right 
    to modify and overwrite this EFS file with each new release.

Description:        
    Ergotic MDI (Mean Deviation Indicator)
    
Version:            1.0  01/12/2009

Formula Parameters:                     Default:
    r                                   32
    s                                   5    
    u                                   5    

Notes:
    This is one of the techniques described by William Blau in his book "Momentum,
    Direction and Divergence" (1995). If you like to learn more, we advise you to
    read this book. His book focuses on three key aspects of trading: momentum, 
    direction and divergence. Blau, who was an electrical engineer before becoming 
    a trader, thoroughly examines the relationship between price and momentum in 
    step-by-step examples. From this grounding, he then looks at the deficiencies 
    in other oscillators and introduces some innovative techniques, including a 
    fresh twist on Stochastics. On directional issues, he analyzes the intricacies 
    of ADX and offers a unique approach to help define trending and non-trending periods.

**********************************/

var fpArray = new Array();
var bInit = false;

function preMain() {
    setStudyTitle("Ergotic_MDI (Mean Deviation Indicator)");
    setCursorLabelName("ErgMDI", 0);
    setCursorLabelName("SigLin", 1);
    setDefaultBarFgColor(Color.fushcia, 0);
    setDefaultBarFgColor(Color.grey, 1);
    addBand(0, PS_SOLID, 1, Color.blue);
    
    var x=0;
    fpArray[x] = new FunctionParameter("r", FunctionParameter.NUMBER);
    with(fpArray[x++]){
        setLowerLimit(1);        
        setDefault(32);
    }

    fpArray[x] = new FunctionParameter("s", FunctionParameter.NUMBER);
    with(fpArray[x++]){
        setLowerLimit(1);        
        setDefault(5);
    }

    fpArray[x] = new FunctionParameter("u", FunctionParameter.NUMBER);
    with(fpArray[x++]){
        setLowerLimit(1);        
        setDefault(5);
    }
}

var xSignal = null;
var xEMA_R = null;
var xEMA_S = null;
var xEMA_U = null;

function main(r, s, u) {
var nState = getBarState();
var nMDI = 0;
var nSignal = 0;

    if (nState == BARSTATE_ALLBARS) {
        if (r == null) r = 32;
        if (s == null) s = 5;
        if (u == null) u = 5;
    }

    if ( bInit == false ) { 
        xEMA = ema(r);
        xEMA_S = efsInternal("Calc_EMA_S", xEMA);
        xEMA_U = ema(u, ema(s, xEMA_S));
        xSignal = ema(u, xEMA_U);
        bInit = true; 
    } 

    nMDI = xEMA_U.getValue(0);
    nSignal = xSignal.getValue(0);
    
    if (nSignal == null || nMDI == null) return;

    return new Array(nMDI, nSignal);
}

function Calc_EMA_S(xEMA) {
var nRes = 0;
    if (xEMA.getValue(0) == null) return;
    nRes = close(0) - xEMA.getValue(0);
    if (nRes == null) nRes = 1;
    return nRes;
}