nikoschopen 2,824 posts msg #33041  Ignore nikoschopen 
8/28/2004 7:21:35 PM
Would anyone care to formulate a filter for the Dynamic Momentum Index? The formula for the DMI is as follows (in reference to http://www.equis.com/Support/Formulae.aspx?Id=19)...
Dynamo = Mc  ( MAo  O )
where:
Mc = the midpoint of the oscillator
MAo = a moving average of the oscillator
O = the oscillator
This concept can be applied to most any oscillator to improve its results.
For example, applying the Dynamo Oscillator to a 5period %K slowed 3 periods Stochastic Oscillator would give:
50(Mov(Stoch(5,3),21,S)Stoch(5,3))
where:
Mc = Stochastic Oscillator's midpoint = 50
MAo = Moving average of the Stochastic = Mov(Stoch(5,3),21,S
O = Stochastic Oscillator = Stoch(5,3)
This example applies it to an RSI oscillator:
50(Mov(RSI(14),21,S)RSI(14))
where:
Mc = RSI's midpoint = 50
MAo = Moving average of the RSI = Mov(RSI(14),21,S
O= RSI Oscillator = RSI(14)
