Index of Chart Sentiment (ICS)

[eSignal]

File Name: ICS.efs

Description:
Index of Chart Sentiment (ICS)


Formula Parameters:
BBlength : 55
Deviations : 0.5


Notes:
The main problem of technical indicators is the identifying a trend in its
early stages.
To effectively do this, Mr. Likhovidov created an indicator called the Index
of Chart Sentiment (ICS). The ICS could reach very high levels and this corresponds
to an overbought market; very low values of the index correspond to an oversold market.
When the index moves from lower to higher levels (period of bullish sentiment of the
market) the dominant movement of the chart should be to the upside.
The algorithm for calculating the CandleCode involves a long-period analysis of the
chart. But this analysis does not consist of the usual smoothing and therefore does
not result in any lag.
To fing more information please refer Index Of Chart Sentiment article by Viktor Likhovidov
in recent S&C issue.


Download File:
ICS.efs



EFS Code:

/*********************************
Provided By:  
    eSignal (Copyright c eSignal), a division of Interactive Data 
    Corporation. 2009. 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:        
    Index of Chart Sentiment (ICS)

Version:            1.0  05/13/2009
     
Formula Parameters:                     Default:
    BBlength                            55
    Deviations                          0.5
    
Notes:
    The main problem of technical indicators is the identifying a trend in its 
    early stages.
    To effectively do this, Mr. Likhovidov created an indicator called the Index 
    of Chart Sentiment (ICS). The ICS could reach very high levels and this corresponds 
    to an overbought market; very low values of the index correspond to an oversold market. 
    When the index moves from lower to higher levels (period of bullish sentiment of the 
    market) the dominant movement of the chart should be to the upside.
    The algorithm for calculating the CandleCode involves a long-period analysis of the 
    chart. But this analysis does not consist of the usual smoothing and therefore does 
    not result in any lag.
    To fing more information please refer Index Of Chart Sentiment article by Viktor Likhovidov 
    in recent S&C issue. 
**********************************/
var fpArray = new Array();
var bInit = false;

function preMain() {
    setPriceStudy(false);
    setShowTitleParameters( false );
    setStudyTitle("Index of Chart Sentiment");
    setCursorLabelName("ICS",0);
    setDefaultBarFgColor(Color.blue,0);
    var x = 0;
    fpArray[x] = new FunctionParameter("BBlength", FunctionParameter.NUMBER);
    with(fpArray[x++]) {
        setLowerLimit(1);
        setDefault(55);
    }    
    fpArray[x] = new FunctionParameter("Deviations", FunctionParameter.NUMBER);
    with(fpArray[x++]) {
        setLowerLimit(0.001);
        setDefault(0.5);
    }    
}

var xICS = null;

function main(BBlength, Deviations) {
var nBarState = getBarState();
var nICS = 0;
    if (nBarState == BARSTATE_ALLBARS) {
        if(BBlength == null) BBlength = 55
        if(Deviations == null) Deviations = 0.5
    }    
    if (bInit == false) {
        xICS = ema(24, ema(24, efsInternal("Calc_ICS", BBlength, Deviations)));
        bInit = true;
    }    
    nICS = xICS.getValue(0);
    if (nICS == null) return;
    return nICS;
}

var xOpen = null;
var xClose = null;
var xBody = null;
var xUpperShadow = null;
var xLowerShadow = null;
var    xThTop_Body = null;
var    xThBot_Body = null;
var    xThTop_Ushd = null;
var    xThBot_Ushd = null;
var    xThTop_Lshd = null;
var    xThBot_Lshd = null;
var bSecondInit = false;

function Calc_ICS(BBlength, Deviations) {
var Body = 0;
var    UpperShadow = 0;
var    LowerShadow = 0;
var ThBot_Body = 0;
var ThTop_Body = 0;
var ThBot_Ushd = 0;
var ThTop_Ushd = 0;
var ThBot_Lshd = 0;
var ThTop_Lshd = 0;
var ColorCode = 0;
var BodyCode = 0;
var UshdCode = 0;
var LshdCode = 0;
var nRes = 0;

    if (bSecondInit == false) {
        xOpen = open();
        xClose = close();
        xBody = efsInternal("GetCandleValue", xOpen, xClose);
        xUpperShadow = getSeries(xBody, 1);
        xLowerShadow = getSeries(xBody, 2);
        xThTop_Body = upperBB(BBlength, Deviations, xBody);
        xThBot_Body = lowerBB(BBlength, Deviations, xBody);
        xThTop_Ushd = upperBB(BBlength, Deviations, xUpperShadow);
        xThBot_Ushd = lowerBB(BBlength, Deviations, xUpperShadow);
        xThTop_Lshd = upperBB(BBlength, Deviations, xLowerShadow);
        xThBot_Lshd = lowerBB(BBlength, Deviations, xLowerShadow);
        bSecondInit = true;
    }
    Body = xBody.getValue(0);
    UpperShadow = xUpperShadow.getValue(0);
    LowerShadow = xLowerShadow.getValue(0);
    ThTop_Body = xThTop_Body.getValue(0);
    ThBot_Body = xThBot_Body.getValue(0);
    ThTop_Ushd = xThTop_Ushd.getValue(0);
    ThBot_Ushd = xThBot_Ushd.getValue(0);
    ThTop_Lshd = xThTop_Lshd.getValue(0);
    ThBot_Lshd = xThBot_Lshd.getValue(0);
    if (ThBot_Lshd == null) return;
    if(xClose.getValue(0) >= xOpen.getValue(0)){
        ColorCode = 64;
        if(xOpen.getValue(0) == xClose.getValue(0))
            BodyCode = 0;
               else if(Body < ThBot_Body)
                   BodyCode = 16;
               else if(Body < ThTop_Body)
                   BodyCode = 32;
           else
                    BodyCode = 48;
      }
    else{
        ColorCode = 0;
        if(Body < ThBot_Body)
                       BodyCode = 32;
        else if(Body < ThTop_Body)
                       BodyCode = 16;
            else
                      BodyCode = 0;
    }
    if(UpperShadow == 0)
             UshdCode = 0;
       else if(UpperShadow < ThBot_Ushd)
            UshdCode = 4;
       else if(UpperShadow < ThTop_Ushd)
            UshdCode = 8;
    else
        UshdCode = 12;

    if(LowerShadow == 0)
              LshdCode = 3;
          else if(LowerShadow < ThBot_Lshd)
              LshdCode = 2;
          else if(LowerShadow < ThTop_Lshd)
              LshdCode = 1;
    else
        LshdCode = 0;

    nRes = ColorCode + BodyCode + UshdCode + LshdCode;
    return nRes;
}

function GetCandleValue(xOpen, xClose) {
    var Body = Math.abs(xOpen.getValue(0) - xClose.getValue(0));
    var UpperShadow = high(0) - Math.max(xOpen.getValue(0),xClose.getValue(0));
    var LowerShadow = Math.min(xOpen.getValue(0),xClose.getValue(0)) - low(0);
    return new Array(Body, UpperShadow, LowerShadow)
}