AdaptiveAverage
ProRealTime v11Returns the Adaptive Moving Average (AMA) indicator.
Syntax:
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AdaptiveAverage[MAperiod,fastSC,slowSC](price) |
Where:
- MAperiod: calculation period of the Adaptive Moving Average (default period is 9)
- fastSC: fast moving constants period used by the adaptive function
- slowSC: slow moving constants period used by the adaptive function
- price: applied price
Adaptive Moving Average Calculation :
The adaptive moving average combines the advantages of fast and slow moving averages.
It will move faster when the market is trending to give signals more quickly.
It will move more slowly when the market is in a trading range to filter out noise. Two smoothing constants are used called « Fast SC » and « Slow SC ».
Interpretation : A bullish signal is given when the AMA turns up and a bearish signal is given when the AMA turns down.
