OPEN-SOURCE SCRIPT
Indicator: Schaff Trend Cycle (STC)
Another new indicator for TV community :)
STC detects up and down trends long before the MACD. It does this by using the same exponential moving averages (EMAs), but adds a cycle component to factor instrument cycle trends. STC gives more accuracy and reliability than the MACD.
More info: investopedia.com/articles/forex/10/schaff-trend-cycle-indicator.asp
Feel free to "Make mine" this chart and use the indicator in your charts. Appreciate any feedback on how effective this is for your instrument (I have tested this only with BTC).
[Added 04/02/14 - from comments]
For people trading BTC:
-------------------------------
Try 3/10 or 9/30 for MACD (fastLength/slowLength). They seem to catch the cycles better than the defaults. :)
STC detects up and down trends long before the MACD. It does this by using the same exponential moving averages (EMAs), but adds a cycle component to factor instrument cycle trends. STC gives more accuracy and reliability than the MACD.
More info: investopedia.com/articles/forex/10/schaff-trend-cycle-indicator.asp
Feel free to "Make mine" this chart and use the indicator in your charts. Appreciate any feedback on how effective this is for your instrument (I have tested this only with BTC).
[Added 04/02/14 - from comments]
For people trading BTC:
-------------------------------
Try 3/10 or 9/30 for MACD (fastLength/slowLength). They seem to catch the cycles better than the defaults. :)
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
List of my free indicators: bit.ly/1LQaPK8
List of my indicators at Appstore: blog.tradingview.com/?p=970
List of my indicators at Appstore: blog.tradingview.com/?p=970
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.