- Katılım
- 23 Eki 2020
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Appeared in the January 1993 issue of Stocks & Commodities magazine The Stochastic Momentum Index (SMI) was developed by William Blau. It incorporates an interesting twist on the popular Stochastic Oscillator. While the Stochastic Oscillator provides you with a value showing thedistance the current close is relativeto the recent x-period high/low range,the SMI shows you where the close is relative to the midpoint of the recentx-period high/low range. The result is an oscillator that ranges between +/- 100 and is a bit less erratic than an equal period Stochastic Oscillator. The SMI was introduced in the January 1993 issue of Technical Analysis of Stocks & Commodities magazine. An example formula (see Stochastic Momentum Index) illustrates the calculation of the Stochastic Momentum Index. When the close is greater than the midpoint of the range, the SMI is positive. When the close is less than the midpoint of the range, it is negative. The interpretation of the SMI is virtually identical to the Stochastic Oscillator. Three popular methods include:
Mr. Blau also notes that a 1-day SMI (with large smoothing periods such as 100) is very sensitive to the close relative to the high and low of the day. These type of parameters make the RMI useful as a sentiment, or trend identification indicator, thereby providing a better sense of the overall direction of the market. |
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Stochastic Momentum Indicator 100 * ( Mov( Mov(C - (.5 * ( HHV(H,13) + LLV(L,13))),25,E),2,E)/ (.5*Mov(Mov( HHV(H,13) - LLV(L,13),25,E),2,E))) |
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