VertexFX Indicator

The SVEStochasticRSI is a powerful VertexFX client-side indicator that identifies market cycles and the strength of a trend. As the name implies, it is an enhancement of the Stochastic RSI and was originally created by Sylvain Vervoort. The main advantage over the traditional StochasticRSI is that the method of calculating the RSI in this indicator is more responsive to price changes. As a result the lag is minimal. In the first step we calculate the RSI using the enhanced SVE method. We use a smoothing co-efficient ALPHA, which is the square-root of the reciprocal period for calculating the RSI. The price changes used to calculate the normal RSI are multiplied by the smoothing co-efficient to derive the SVE RSI. In the next step we calculate the Stochastic value of this RSI which is called the SVEStochasticRSI. The advantage of applying the Stochastic indicator to the RSI is that is when the price starts trending the indicator starts moving upwards or downwards very quickly thereby h...

The StochInMA is an innovative VertexFX client-side indicator that identifies trend reversals and trading levels. The StochInMA as the name suggests is a combination of the Moving Average and the Stochastic Oscillator. The Moving Average by itself provides the direction of the trend and critical reversal levels. When the price is above the Moving Average the trend is considered bullish. Contrarily, when the price is below the Moving Average the trend is considered bearish. However, Moving Average by itself has a lag and results in late entries or exits. The StochInMA adds a new dimension to the Moving Average indicator by color coding the Moving Average based on the Stochastic Oscillator levels. Traders find the Stochastic Oscillator useful in identifying trend reversals. When the Stochastic Oscillator crosses above the upper threshold it typically is a sign of bullish breakout, and below the lower threshold a sign of bearish breakout. By coloring the Moving Average based on the stren...

The iCompass is an innovative VertexFX client-side indicator based on the Simple Moving Average indicator. In addition to using the Simple Moving Average (SMA), it uses a smoothing co-efficient to determine the strength of the trend. The SMA tells the user about the current trend. Typically, when the price is above SMA the trend is considered bullish, and when it is below the SMA it is considered bearish. However, such a general rule of thumb is not useful in real trading world because of lag which causes delayed trade entries and exits. Therefore, the iCompass indicator uses recent range high, low and the median price to identify the strength of the trend. In the first step, the SMA of the recent MA_PERIOD candles is computed. Then, the Highest High and the Lowest Low of recent MA_PERIOD candles is calculated. This provides us with a trading range. Next, we calculate the smoothing co-efficent based on the current median price, and the trading range. When this co-efficient is low it i...

The HLCTrend is a simple yet powerful VertexFX client-side indicator useful to identify trend reversals. As the name implies, the HLC Trend indicator is based on High, Low and Close price series. In the first step we calculate the Exponential Moving Averages (EMA) of the High, Low and Close prices with HIGH_PERIOD, LOW_PERIOD and CLOSE_PERIOD respectively. In the next step we calculate the Bullish (BLUE) and Bearish (RED) components. The Bullish component is calculated by subtracting the EMA of the High from the EMA of the Close. The Bearish component is calculated by subtracting the EMA of Close from the EMA of Low. When the price starts rising after a fall, the EMA of Close is rising but the EMA of the High does not rise with the same intensity. As a result the BLUE Bullish line is rising and marks the confirmation of a bullish trend. When the price is falling after a rise, the EMA of Low falls rapidily as compared to the EMA of Close thereby marking a bearish trend. The value of CL...

The DDAdaptiveEMA is an innovative VertexFX client-side indicator that trades in the direction of the trend. As the name suggests, DDAdaptiveEMA is based on the Exponential Moving Average (EMA). However, unlike the EMA which has lag, the DDAdaptiveEMA indicator reduces the lag in order to provide better trade entries and exits. The DDAdaptiveEMA is based on two components, namely the Dual Differentiator (DD) filter, and an Adaptive EMA. Hence the name DDAdaptiveEMA. In the first step, we calculate the phase (cycle period) of the price using the Dual Differentiator filter. It provides the optimal phase period over the recent FILTER_PERIOD. In the next step we calculate the EMA based on this optimal phase period. Since the optimal phase period can very for each bar the EMA for each bar may be calculated based on a different period. Hence the name Adaptive EMA. Unlike using fixed period EMA, by employing adaptive EMA the indicator responds to the price changes faster and reduces the lag....

The VolatilityRatio is a powerful VertexFX client-side indicator based Volatility and trend reversal. Volatility is a measure of fast market movements. When volatility increases the markets are moving fast and making big ranges. However, we cannot predict the direction of the market based on the volatility. The VolatilityRatio (VR) determines the direction and the end of the trend thus providing a valuable tool to traders. When VR is above 1 it indicates a bullish trend, and similarly when VR is below 1 it indicates bearish trend. By waiting for the bullish and bearish trends to top out and bottom out respectively traders can exit at the earliest their LONG and SHORT positions respectively. BUY / EXIT SHORT - Enter LONG (or exit SHORT) when the Volatility Ratio is RED and bottoms out. The stop-loss can be placed below the nearest Swing Low. Use short term EMA to ensure that current price is above the EMA. SHORT / EXIT LONG - Enter SHORT (or exit LONG) when the Volatility Ratio is BLUE...

The Simple Decycler Oscillator is a powerful VertexFx client-side indicator that identifies the start and reversal of a trend. One of the major drawbacks of conventional indicators is that the signals have lag resulting in delayed trade entries. The Simple Decycler Oscillator attempts to reduce the lag by using two oscillators. The indicator comprises of two components, the fast oscillator identified by the BLUE line and the slow oscillator identified by the RED line. The fast component is calculated using the FAST_PERIOD and the FAST_K co-efficient. Similarly, the slow component is calculated using the SLOW_PERIOD and the SLOW_K co-efficient. The components are calculated using cycle analysis theory. The strength of the trend is calculated using a high-pass filter over the specified period and smoothed with the smoothing co-efficient (K). The difference between the BLUE and the RED line indicates the direction of the current trend. When the BLUE line is above the RED line the trend ...