The Parameter to calculate MFI High The high price of the security for each given day. Low The low price of the security for each given day. Volume The number of shares of the security that were traded during each given day. Note that while this function is intended for use with these specific values, any values can be used for these parameters, … [Read more...]
Archives for 12/02/2010
Market Facilitation Index – The Concept
The Market Facilitation Index, was developed by Dr. Bill Williams to reproduce volume and price characteristics in order to make the trade more accurate. 1 point price changing can be shown by BW MFI (Bill Williams Market Facilitation Index). You shouldn't care about absolute indicator values, whether its changes are important. Bill Williams singles out following processes of … [Read more...]
Application and Charts of Mass Index
The Mass Index calculates various values, even the exponential averages of the ranges, using a number of bars. After that it works out the indexes and traces the results. Mass Index shows the direction in trending markets and forecasts possible direction changes of forex market. The Mass Index line rising over the setup line and getting lower than the trigger line afterwards … [Read more...]
The Mass Index Indicator – Basic Concept
Mass Index was developed by Donald Dorsey in order to catch the trend reversal points. The daily prices movements are used for this purpose. In case the movement is considerable the Mass Index goes up, otherwise if it is slight the Mass Index goes down.The Mass Index is used to warn of a future price reversal. The theory behind the Mass Index is that reversals occur when the … [Read more...]
Herrick Payoff Index – The Concept
The Herrick Payoff Index (HPI) uses volume, open inerest, and price to signal bullish and bearish divergences in the price of a future or options contract. The use of open interest in the calculation of the HPI means the indicator can only be used with futures and options. The HPI is based off of two premises regarding open interest: 1. Rising Open Interest: When prices rise … [Read more...]