Standard Error of the Estimate -Jon Andersen- V2

23 авг. 2021 г.

Original implementation idea of bands by:
Traders issue: Stocks & Commodities V. 14:9 (375-379):
Standard Error Bands by Jon Andersen

Standard Error Bands are quite different than Bollinger's.
First, they are bands constructed around a linear regression curve.
Second, the bands are based on two standard errors above and below this regression line.
The error bands measure the standard error of the estimate around the linear regression line.
Therefore, as a price series follows the course of the regression line the bands will narrow, showing little error in the estimate. As the market gets noisy and random, the error will be greater resulting in wider bands.

Thanks to the work of glaz & xel_arjona
In this version you can change the type of moving averages and the source of the bands.

Add a few studies of dgtrd

1- ADX Colored Directional Movement Line

Directional Movement (DMI) (created by J. Welles Wilder ) consists of the Average Directional Index ( ADX ), to define whether or not there is a trend present, and Plus Directional Indicator (+D I) and Minus Directional Indicator (-D I) serve the purpose of determining trend direction

ADX Colored Directional Movement Line is custom interpretation of Directional Movement (DMI) with aim to present all 3 DMI indicator components with SINGLE line and ability to be added on top of the price chart (main chart)

How to interpret :
 * triangle shapes:
  ▲- bullish : diplus >= diminus
  ▼- bearish : diplus < diminus
* colors:
  green - bullish trend : adx >= strongTrend and di+ > di-
  red - bearish trend : adx >= strongTrend and di+ < di-
  gray - no trend : weekTrend < adx < strongTrend
  yellow - week trend : adx < weekTrend

* color density:
  darker : adx growing
  lighter : adx falling


2- Volatility Colored Price/MA Line

Custom interpretation of the idea “Prices high above the moving average (MA) or low below it are likely to be remedied in the future by a reverse price movement”. Further details can be found under study “Price Distance to its MA by DGT”

How to interpret :
 -▲ – Bullish , Price Action above Moving Average
 -▼ – Bearish , Price Action below Moving Average
 -Gray/Black - Low Volatility
 -Green/Red – Price Action in Threshold Bands
 -Dark Green/Red – Price Action Exceeds Threshold Bands

3- Volume Weighted Bars
Volume Weighted Bars, a study of Kıvanç Özbilgiç, aims to present whether volume supports price movements. Volume Weighted Bars are calculated based on volume moving average.

How to interpret :
 -Volume high above the volume moving average be displayed with red/green colors
 -Average volume values will remain as they are and
 -Volume low below the volume moving average will be indicated with darker colors

4- Fear & Greed index value, using technical anlysis approach calculated based on :
 ⮩1 - Price Momentum : Price Distance to its Moving Average
 ⮩2 - Strenght : Rate of Return, price movement over a period of time
 ⮩3 - Money Flow : Chaikin Money Flow, quantify changes in buying and selling pressure. CMF calculations is based on Accumulation/Distribution
 ⮩4 - Market Volatility : CBOE Volatility Index ( VIX ), the Volatility Index, or VIX , is a real-time market index that represents the market's expectation. It provides a measure of market risk and investors' sentiments
 ⮩5 -Safe Haven Demand: in this study GOLD demand is assumed