This is an update of the Relative Strength to index as used by Leaf_West.. 4th from the top. my original RS script is 3rd from the top.
In this use of the term " Relative Strength" (RS) what is meant is a ratio of one security to another.
The RS can be inerpreted in a fashion similar to price action on a regual security chart.
If you follow his methods be aware of the different moving averages for the different time periods.
From Leaf_West: "on my weekly and monthly R/S charts, I include a 13 EMA of the R/S (brown dash line) and
an 8 SMA of the 13 EMA (pink solid line). The indicator on the bottom of the weekly/monthly charts is an
8 period momentum indicator of the R/S line. The red horizontal line is drawn at the zero line.
For daily or 130-minute time periods (or shorter), my R/S charts are slightly different
- the moving averages of the R/S line include a 20EMA (brown dash line), a 50 EMA (blue dash line) and
an 8 SMA of the20 EMA (pink solid line). The momentum indicator is also slightly different from the weekly/monthly
charts – here I use a 12 period calculation (vs 8 SMA period for the weekly/monthly charts)."
Leaf's website has gone but I if you are interested in his methods message me.
What is different from my previous RS: The RS now displays RS candles. So if you prefer to watch price action of candles to
a line chart which only plots the ratio of closes then this will be more interesting to you.
I have also thrown in a few options to have fun with.
Jayy
In this use of the term " Relative Strength" (RS) what is meant is a ratio of one security to another.
The RS can be inerpreted in a fashion similar to price action on a regual security chart.
If you follow his methods be aware of the different moving averages for the different time periods.
From Leaf_West: "on my weekly and monthly R/S charts, I include a 13 EMA of the R/S (brown dash line) and
an 8 SMA of the 13 EMA (pink solid line). The indicator on the bottom of the weekly/monthly charts is an
8 period momentum indicator of the R/S line. The red horizontal line is drawn at the zero line.
For daily or 130-minute time periods (or shorter), my R/S charts are slightly different
- the moving averages of the R/S line include a 20EMA (brown dash line), a 50 EMA (blue dash line) and
an 8 SMA of the20 EMA (pink solid line). The momentum indicator is also slightly different from the weekly/monthly
charts – here I use a 12 period calculation (vs 8 SMA period for the weekly/monthly charts)."
Leaf's website has gone but I if you are interested in his methods message me.
What is different from my previous RS: The RS now displays RS candles. So if you prefer to watch price action of candles to
a line chart which only plots the ratio of closes then this will be more interesting to you.
I have also thrown in a few options to have fun with.
Jayy
Versionshinweise:
Script stopped functioning as a result of the use of XX in the script which is no longer a valid security.
Versionshinweise:
NC
Jayy