fauxlife

On Balance Volume with Cross

OBV indicator with a few key changes that can turn it into a filter or trading indicator as-is.

  • Volume calculation given a look-back to help clarify trends without smoothing lag
  • Change the source (HLC3 indicates a little faster in backtesting)
  • Smooth the signal if desired
  • Moving average (MA) added for crossover indication in trend change
  • MA can be either EMA or HMA**

** My personal use:
EMA for trend filtering trades: Trade long signals if OBV is above the MA, trade short signals if OBV is below the MA.
HMA for scalping and chop: Normally set the HMA to 20 or 15 and trade the crosses. Works on most time frames and generates a lot of noise. 5 min and 15 min seems best for me in day trading

Example of trend trading using only the OBV-C and no other indicators, stops, or trailing stops:
This could obviously be improved using stops, trailing stops, or other indicators to filter when to enter & exit trades or mitigate loss.

Example of trading using the HMA and lower time frames with Elder's Force Index ( EFI ) used as a filter. Trade with both cross at or very near the same time. Winning trades in green:
Phát hành các Ghi chú: Modification to the standard OBV indicator that adds flexibility and cleaner trend data or more responsive trend changes.
  • Change OBV calculation from standard 1 day to custom range
  • Smooth the OBV line if desired (not suggested, adds lag)
  • Add a moving average cross to indicator
  • Change select moving average type to: SMA, EMA, WMA, or HMA
  • Background highlight for easier dashboard setup

Suggested pair with FauxLife EFI to use as a filter & entry/exit setup. Enter or exit trades when the two indicators switch at the same time or within 1-2 candlesticks of each other.
Gỡ bỏ khỏi Script Ưa thích Thêm vào Script Ưa thích

Bình luận

Looks cool will have to try this out thanks! One question, is it recommended to use on 2hr?
Phản hồi
fauxlife execution
@execution, The 2hr is what I use to trade forex since I don't have the time during the day to watch charts. Gets you into a trend that can run all week or a day or two on average. 😊
+1 Phản hồi
Appreciate that Sir!
Phản hồi
Trang chủ Bộ lọc cổ phiếu Bộ lọc Forex Bộ lọc Tiền điện tử Lịch kinh tế Cách thức hoạt động Tính năng Biểu đồ Trả phí Giới thiệu bạn Quy tắc Áp dụng Trung tâm Trợ giúp Giải pháp cho Website & Nhà môi giới Widget Giải pháp biểu đồ Thư viện Biểu đồ Lightweight Blog & Tin tức Twitter
Hồ sơ Tùy chỉnh Hồ sơ Tài khoản và Thanh toán Giới thiệu bạn Xu Ticket Hỗ trợ của tôi Trung tâm Trợ giúp Các ý tưởng đã đăng Người theo dõi Đang theo dõi Tin nhắn riêng Trò chuyện Đăng xuất