normalized MACD

[dangparker]

Hi all!

couple of quick questions...
1. I can figure out how to make an MACD (by creating and subtracting averages). How would one normalize this?

2. How would I code an EMA of the resulting value?

Here is what I have so far.....

var vAve1 = null;
var vAve2 = null;
var nValue = null;


function preMain() {
setStudyTitle("normalized MACD");
setCursorLabelName("osc1",0);
setDefaultBarFgColor(Color.blue,0);
}


function main() {

if (vAve1==null) {
vAve1 = new MAStudy(3,0,"Close",MAStudy.EXPONENTIAL);
}
if (vAve2==null) {
vAve2 = new MAStudy(10,0,"Close",MAStudy.EXPONENTIAL);
}

// get MACD (difference of two MA's)
nValue = (vAve1.getValue(MAStudy.MA)-vAve2.getValue(MAStudy.MA));

//normalize nValue here

return nValue;

}

Thanks Very much for your help
Daniel Parker

[JayF]

This thread should help with the EMA calculation. As far as the normalization calculation, I'm not sure.