Acceleration/Deceleration Indicator AC - modified!!!
Has anyone out there had any experience with a modified version of this indicator?
The original indicator is calculated as follows:
AC bar chart is the difference between the value of 5/34 of the driving force bar chart and 5-period simple moving average, taken from that bar chart.
AO = SMA(median price, 5)-SMA(median price, 34)
AC = AO-SMA(AO, 5)
The "modified version" would use the SMM (simple moving median) instead of the SMA (simple moving average) in order to calculate the AC-MOD (ified).
Thanks for your feedback & comments!
I am about to backtest this indicator within a manual test procedure and will post the results once completed......can take a few days. Hope to get more reliable signals for the common market movements/patterns out of it and filter out the "noise".