Indicator wanted

Hi

I would like someone to help me develop a simple indicator.

The requirement is as below :

I want to find out what is % difference betweent LTP ( Last traded Price) and a perticular moving Average say 200 EMA or 50 EMA.

rgds,
Smok.

How will you use that to trade?

IF you plot any moving average on price chart you will find that we normallly go for crossover of the moving average . However if you had noticed prices move past moving average upto a certain limit and then again reverse to touch back to moving average.

by Plotting the moving average and LTP % difference we can find out the probablity of reversal which will we will use to enter in trade with LESS risk.

SMOK

I think this is a good idea. A lot of times when price goes so far from a 200 MA and I see that price is showing signs to come back to it (I call it "coming home") if gives me a feeling of a higher probability that the trade will work out, since price seem to keep want to go back to it whether to cross it or bounce off it.

Lohad

I will post the trades/analysis once i am able to plot this indicator in the mt4 platform. currently I am doing it by visual inspection however to put this as a strategy I must have some valid set ups so that can be used by others as well.

rgds,
Smok

Here ia a couple of indicators that might help

Smoke Sig,

This post probably belongs in the programming section...

the indicators posted above display the distance between bid and 200 EMA in pips... not sure what you mean when you say you wnat it by %... PM me your calculation and i'll program it for you.. should only take 1 min or 2

Numerical Distance from 200 EMA.mq4 gives the absolute distance of LTP from say 200 EMA.

I am interested in getting all historical data of numerical distance of 200EMA from LTP in % terms. I will be plotting it just like indicator which will be give us maximum and minimum % distance from LTP and based on that we can analyse further.

It would be great if you can do it so that I can start posting my analysis further based on this indicator.

I know its work of 10-15 min for a expert mt4 programmer.

rgds,
SMOK

see i will illustrate with example.

assume price USD/JPY = 90

EMA= 99 indicator value = +10 %
EMA=90 indicator value = 0%
EMA= 81 indicator value = -10 %

Normally my observation is that LTP and EMA are in range of +10 to -10 %.

so when we plot this indicator on chart we will get something like stochastics where +10 forms the upper boundry and -10 forms the lower booundry so with this base set up we can apply additonal indicators and try to catch LOW RISK HIGH PROBABILITY TRADES.

I will start posting charts once I get this indicator from you .

I will also add diffeerent set ups that we can use to make good pips.

rgds,
Smok

thanks for the indicator however this does not fulfill my requirment.

This indicator shows the % difference between EMA and LTP However it shows only 1 value.

I want to plot these values as an indcator.( just like stochastics)

Where we can see the overbot and oversold values by maximum % move up or down from moving average.

I will post very good set ups based on this indicator however currently I am doing it by visual inspection or using calculator which is very raw method.

smok

Reversion to the mean. Linear regression will do that, too.

hey smoke..... measuring the price's distance from a moving average would be more akin to the macd, rather than stoch.....

however one could find the max and min values and ratio out the distance which would plot similar stoch..... not sure how much impact that extra code would have.....

here is the macd like version...... overbought oversold are adjustable.....h