Directional Trend Index (DTI)

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File Name: DTI.efs


Description:
Directional Trend Index (DTI)


Formula Parameters:
r: 14
s: 10
u: 5
OB: 25
OS: -25

Notes:
This technique was described by William Blau in his book "Momentum,
Direction and Divergence" (1995). His book focuses on three key aspects
of trading: momentum, direction and divergence. Blau, who was an electrical
engineer before becoming a trader, thoroughly examines the relationship between
price and momentum in step-by-step examples. From this grounding, he then looks
at the deficiencies in other oscillators and introduces some innovative techniques,
including a fresh twist on Stochastics. On directional issues, he analyzes the
intricacies of ADX and offers a unique approach to help define trending and
non-trending periods.
Directional Trend Index is an indicator similar to DM+ developed by Welles Wilder.
The DM+ (a part of Directional Movement System which includes both DM+ and
DM- indicators) indicator helps determine if a security is "trending." William
Blau added to it a zeroline, relative to which the indicator is deemed positive or
negative. A stable uptrend is a period when the DTI value is positive and rising, a
downtrend when it is negative and falling.

Download File:
DTI.efs




EFS Code:






/*********************************Provided By:      eSignal (Copyright c eSignal), a division of Interactive Data     Corporation. 2008. All rights reserved. This sample eSignal     Formula Script (EFS) is for educational purposes only and may be     modified and saved under a new file name.  eSignal is not responsible    for the functionality once modified.  eSignal reserves the right     to modify and overwrite this EFS file with each new release.Description:            Directional Trend Index (DTI)Version:            1.0  09/26/2008Formula Parameters:                     Default:    r                                    14    s                                    10    u                                    5    OB                                   25    OS                                   -25Notes:    This technique was described by William Blau in his book "Momentum,    Direction and Divergence" (1995). His book focuses on three key aspects     of trading: momentum, direction and divergence. Blau, who was an electrical     engineer before becoming a trader, thoroughly examines the relationship between     price and momentum in step-by-step examples. From this grounding, he then looks     at the deficiencies in other oscillators and introduces some innovative techniques,     including a fresh twist on Stochastics. On directional issues, he analyzes the     intricacies of ADX and offers a unique approach to help define trending and     non-trending periods.    Directional Trend Index is an indicator similar to DM+ developed by Welles Wilder.     The DM+ (a part of Directional Movement System which includes both DM+ and     DM- indicators) indicator helps determine if a security is "trending." William     Blau added to it a zeroline, relative to which the indicator is deemed positive or     negative. A stable uptrend is a period when the DTI value is positive and rising, a     downtrend when it is negative and falling.     **********************************/var fpArray = new Array();var bInit = false;function preMain() {    setPriceStudy(false);    setStudyTitle("Directional Trend Index");    setCursorLabelName("DTI", 0);    setCursorLabelName("OB", 1);    setCursorLabelName("OS", 2);    setCursorLabelName("ZeroLine", 3);    setDefaultBarFgColor(Color.brown, 0);    setDefaultBarFgColor(Color.blue, 1);    setDefaultBarFgColor(Color.red, 2);    setDefaultBarFgColor(Color.green, 3);        var x=0;        fpArray[x] = new FunctionParameter("r", FunctionParameter.NUMBER);	with(fpArray[x++]){        setLowerLimit(1);		        setDefault(14);    }    fpArray[x] = new FunctionParameter("s", FunctionParameter.NUMBER);	with(fpArray[x++]){        setLowerLimit(1);		        setDefault(10);    }    fpArray[x] = new FunctionParameter("u", FunctionParameter.NUMBER);	with(fpArray[x++]){        setLowerLimit(1);		        setDefault(5);    }    fpArray[x] = new FunctionParameter("OB", FunctionParameter.NUMBER);	with(fpArray[x++]){        setDefault(25);    }    fpArray[x] = new FunctionParameter("OS", FunctionParameter.NUMBER);	with(fpArray[x++]){        setDefault(-25);    }}var xHMU = null;var xLMD = null;var xPrice = null;var xPriceAbs = null;var xuXA = null;var xuXAAbs = null;function main(r, s, u, OB, OS) {    if ( bInit == false ) {         xHMU = efsInternal("Calc_HMU");        xLMD = efsInternal("Calc_LMD");        xPrice = efsInternal("Calc_Price", xHMU, xLMD);        xPriceAbs = efsInternal("Calc_PriceAbs", xPrice);        xuXA = ema(u, ema(s, ema(r, xPrice)));        xuXAAbs = ema(u, ema(s, ema(r, xPriceAbs)));        bInit = true;     }     if (getCurrentBarCount() < Math.max(Math.max(r, s), u)) return;    var Val1 = 100 * xuXA.getValue(0);    var Val2 = xuXAAbs.getValue(0);    var DTI = 0;    if (Val2 != 0) DTI = Val1 / Val2;    else DTI = 0;    return new Array(DTI, OB, OS, 0);}function Calc_PriceAbs(xPrice) {var nRes = 0;    nRes = Math.abs(xPrice.getValue(0));    if (nRes == null) nRes = 1;    return nRes;}function Calc_Price(xHMU, xLMD) {var nRes = 0;    nRes = xHMU.getValue(0) - xLMD.getValue(0);    if (nRes == null) nRes = 1;    return nRes;}function Calc_HMU() {var nRes = 0;    if ((high(0) - high(-1)) > 0)    {        nRes = high(0) - high(-1);    }    else nRes = 0;    if (nRes == null) nRes = 1;    return nRes;}function Calc_LMD() {var nRes = 0;    if ((low(0) - low(-1)) < 0)    {        nRes = -(low(0) - low(-1));    }    else nRes = 0;    return nRes;}