An Indicator /* Fools Like Us The first presumption is that Institutions (the smart money) buy at Close, and that their activity is best determined by using the difference between today's Close and today's Open. The second presumption is that private traders (fools like us) buy at Open, and that our actvity is determined by the difference between today's Open and yesterday's Close.*/
/*Interpretation The interpretation is based on the relationship between the fools (red line) AND the instos (green line). When the green Insto line drops below the red Traders line and turns up, that's a possible long entry signal. Entry is a conditional buy, if/when tomorrow's price exceeds today's high. Being a momentum trader I'd take a long trade ONLY IF A MEDIUM-TERM UPTREND EXISTS. Vice versa everything for short trades Regds Gerard */ // Fools Like Us // First we calm the erratic references a minimal amout with an WMA Instos = WMA(Close,2) - WMA(Open,2); FLU = WMA(Open,2) - Ref(WMA(Close,2),-1); // Then we smooth them again with another WMA InstosLine = WMA(Instos, 10 ); FLULine = WMA(FLU, 10 ); Plot( InstosLine, "Fools Like Us Instos", 27, 4 ); Plot( FLULine, " FLU", 4, 4 ); -- Gerard Carey gerardncarey at fastmail dot fm -- http://www.fastmail.fm - Or how I learned to stop worrying and love email again ------------------------ Yahoo! Groups Sponsor --------------------~--> Yahoo! Groups gets a make over. See the new email design. http://us.click.yahoo.com/XISQkA/lOaOAA/yQLSAA/GHeqlB/TM --------------------------------------------------------------------~-> Please note that this group is for discussion between users only. To get support from AmiBroker please send an e-mail directly to SUPPORT {at} amibroker.com For other support material please check also: http://www.amibroker.com/support.html Yahoo! Groups Links <*> To visit your group on the web, go to: http://groups.yahoo.com/group/amibroker/ <*> To unsubscribe from this group, send an email to: [EMAIL PROTECTED] <*> Your use of Yahoo! Groups is subject to: http://docs.yahoo.com/info/terms/
