View Single Post
  #300 (permalink)  
Old 07-21-2009, 02:11 PM
s5804 s5804 is offline
Junior Member
 
Join Date: Jun 2007
Posts: 5
s5804 is on a distinguished road
Stochastic high low strange in Metatrade 4

Hello

put a Stochastic (8, 3, 1) on EUR/USD 5M and watch how the K line is sometimes on full 100.0 or min 0.0 for many bars.

This is strange!

According to the stochastic formula to get 100.0, the
(recent close - lowest low n) / (highest high n - lowest low n) > 1.0

This means that resent close must be equal or higher that highest high n.
However this is occasionally one bar, but rarely for many bars in a row.
After checking the bars very carefully maybe the recent bars high was the highest, but the recent close is bellow the bars high...?

The Stochastic.mq4 code looks correct
for(k=(i+Slowing-1);k>=i;k--)
{
sumlow+=Close[k]-LowesBuffer[k];
sumhigh+=HighesBuffer[k]-LowesBuffer[k];
}

Therefore I have no idea why the chart is showing this long periods of 100.0 or 0.0.

I appreciated very much for help to understand what is going on.
Thank you in advance
Reply With Quote