Traders' Tips from TASC Magazine |
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The Adjusted Rate of Change Indicator
In their article "Two-Point Problem Of The Rate Of Change,"
Martti Luoma and Jussi Nikkinen demonstrate the advantages of
the Rocadj indicator in that is devoid of many undesirable properties
of the classic ROC indicator. They consider it to be more useful
than the standard ROC mainly because of its predictive properties.
The Indicator Builder in Tradecision enables you to create the adjusted rate of change indicator:
input
Period:"Period",5;
end_input
return EMA(RoC(C,1,PERCENT),Period);
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Download to import into Tradecision. 
How to use this indicator in Tradecision:
- Click Download.
- Save this indicator in a safe location on your hard drive.
- Open Tradecision and in the Tools menu click Indicator Builder.
- In the Indicator Builder dialog, click Import, locate the saved file and then click OK.
The indicator will be added to the Custom Indicators list.
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