StockFetcher Forums · Filter Exchange · Normalizing each value? {Any math geniuses posting here?}<< >>Post Follow-up
mslattery@dc.rr.com
86 posts
msg #99338
Ignore mslattery@dc.rr.com
2/22/2011 4:11:54 PM

The following filter is looking for diminishing candle heights. The following filter was written to try and determine when these candles have collapsed indicating approaching tops and bottoms.

Fetcher[set {CandHeight, Open - Close}
set {CandHeightT, sum(CandHeight,6)}
set {AvgCanH, CandHeightT / 6}
set {CHS100, AvgCanH / 100}
set {CHS, CandHeight / CHS100}
add column CHS

show stocks where CHS > -.09 and CHS < .09
draw CHS}
]



It is not working perfectly because of the relative changes in each days price. As the price goes up the relative values go up making the last calculation out of range. (todays candle height compared to the sum of the last 6 candle heights / 100) With todays candle height divided by the result of the previous calculation.

So the question becomes how do you normalize each days candle height so you are comparing their relative sizes not their prices?

Thanks, Michael

mslattery@dc.rr.com
86 posts
msg #99349
Ignore mslattery@dc.rr.com
2/22/2011 8:39:57 PM

Got this answered. Thanks

glgene
535 posts
msg #99353
Ignore glgene
2/22/2011 10:27:47 PM

So what's the answer. Please share. Thanks.

Gene

wantonellis
102 posts
msg #99414
Ignore wantonellis
modified
2/27/2011 8:59:53 AM



Kevin_in_GA
4,553 posts
msg #99416
Ignore Kevin_in_GA
modified
2/27/2011 11:16:02 AM

That is not so much "normalization" as it is determining the Z-score for the data point (e.g., the number of standard deviations from the mean, like Bollinger bands).

For a score greater than 2 or less than -2, things are looking to change (revert back to the mean). On candle height I'm not sure where you are going with this - is there statistical evidence for a compression of candles near tops/bottoms? Please post a link or cite the reference, as I would love to learn more about it.

wantonellis
102 posts
msg #99418
Ignore wantonellis
modified
2/27/2011 12:48:02 PM




StockFetcher Forums · Filter Exchange · Normalizing each value? {Any math geniuses posting here?}<< >>Post Follow-up

*** Disclaimer *** StockFetcher.com does not endorse or suggest any of the securities which are returned in any of the searches or filters. They are provided purely for informational and research purposes. StockFetcher.com does not recommend particular securities. StockFetcher.com, Vestyl Software, L.L.C. and involved content providers shall not be liable for any errors or delays in the content, or for any actions taken based on the content.


Copyright 2016 - Vestyl Software L.L.C.Terms of Service | License | Questions or comments? Contact Us
EOD Data sources: DDFPlus & CSI Data Quotes delayed during active market hours. Delay times are at least 15 mins for NASDAQ, 20 mins for NYSE and Amex. Delayed intraday data provided by DDFPlus