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Old 04-22-2009, 07:14 PM
forex_tsd_ forex_tsd_ is offline
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Two different thoughts from other forums.

"Assuming that the formula is correct, my personal interpretation of it is as follow:
1) min and max can't be the same, so we have to figure out some discriminating method. I guess that you have to collect 2 different sums for min and max,i.e.: for the min you have to sum the first 3 (or 4 or 5 ecc..) terms and all the series for the max.
For example, in my brute elaboration I have fixed the chain of sums to 15 terms; the sum of the first 7 term gives us the min value, the sum of all 15 term give us the max value. The sum of both min and max gives the value of the indicator. 7 and 15 are arbitrary values.
Furthemore, the value of CCI and RSI is arbitrary too: I have choosen the standard '14'.
Final result shows flebile evidences in favour of this indicator as a trigger for a buy signal BUT you have always to consider that this indicator looks into the future: backtesting shows this disappointing effect with wrong signals. Becarful.
Moreover, the scales of CCI and RSI are really different in size, as pointed out by William, and the final sum of min and max looks slighty different from the sum of all terms only.
In the end, we do not have enough information to put a final word about this indicator but - if the things are as we know it - it don't seems a real 'killer'.
eace:"





"With all my regards to bro Moshi, the posted formula is not correct.

Here's why:
- The posted formula (considering the min and max are correct) has 1 final result, which is a number and not a series of numbers. Thus we could not draw a line, but only get one number which I think should be displayed on comment.

- By analysing the math equation, assuming the min and max are separated and correct, if we plot the min and max combined, we would get a heart-sine-beat like graph, not a smoothed one like the screenshot.

- If we plot both separately, the fluctuation of prices would be quite large, thus it can't be plotted that smooth as in the picture.

- The numbers are not matching. RSI is ranging between 0 to 100, CCI is ranging between -500 to +500, the formula is basically CCI minus RSI minus CCI 2 last candle minus RSI 2 last candle. The resulting number would be big, unlike the screenshot.

Thus, I think the math formula is not correct. Like bro moshi told us, the creator just don't want to share the formula, we have to guess it by ourselves.

To leeb77, thanks for trying, it's very honourable of you to do that. However, you forget to translate the math formula into the correct sequence. The 'an' shouldn't be a variable 'an' but it is a math formula of sequence 'a(n)' thus you should put it into array. Also, CCI and RSI could be accessed by iCCI and iRSI function respectively, and you forget to set the period. Perhaps after you fix your code, we could start things from there.

Regards,
"
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Last edited by forex_tsd_; 04-22-2009 at 07:22 PM.