Overlay Daily Bar

Q:  Can Ensign overlay a Daily bar chart on a 120-minute bar chart?

A:  Ensign does not overlay charts with different time frames. Ensign overlays would be of the same timeframe for both charts.

However, this DYO example will plot a daily bar on the intra-day chart. It is not exactly what you requested but might be sufficient for your purposes.

The DYO made the daily bars which are shown in yellow. There are 3 other DYO marker  choices that can do a Standard bar, Candlestick, and Ensign Rocket. The example shows the Flute bar style.

The only line that is plotting is Line K.   Lines A, B, C, F and G which are not necessary for the example are included so that you can check their Show boxes and add more content to the visual, such as bands showing the day developing and High/Low values above the daily bar.

The core of the example is Line E, H, I, J, K.   Lines H through K are the 4 values needed by Line K’s marker which draws the Flute bar. Line E controls when the bar is drawn.

ESPL: Study Rising Falling Flag

The following ESPL example will plot GREEN circles when the Study Average is rising, and RED circles when the Study Average is falling.   This chart has an Ergodic study and the ESPL study applied.

GetStudy

The GetStudy statement references for 1st line, 2nd line, 3rd line, and 4th line refer to the various Lines that can be plotted by a Study.

  • The 1st line is the main study line.
  • The 2nd line is most often the Average of the main study line.
  • Sometimes there isn’t a 3rd line for a study….sometimes there is.
  • The 4th line is most often the Spread line values.

The example below is testing the GetStudy 15 value…. (Is the 2nd line Rising?)

uses
   Classes, Graphics, Controls, Forms, Dialogs;
procedure CheckErg;
var
   i, iHandle:integer;
begin 
   iHandle := FindStudy(eERG); 
   for i := BarBegin to BarEnd do 
   begin 
      if GetStudy(iHandle,15,i) then 
         Plot(1,Last(i),i,0,0,21,clLime) 
      else
         Plot(1,Last(i),i,0,0,21,clRed); 
   end;
end;
begin
   if ESPL=100 then CheckErg;
end;

Click ESPL button 100 to apply and run the ESPL study on the chart.

Long Term Refresh Available

Q:  Your Ensign 10 software is fantastic. I really enjoyed Ensign Windows; thought it was very good; and was hesistant to try your new Ensign 10 software because I liked it so much. After installing it over Christmas, and learning it, I find Ensign 10 to be a vast improvement.

Since I started with Ensign over a year ago, I have noticed that there is a restriction relative to how far back the eSignal data feed goes on the Ensign software.  Out of curiosity, last week I contacted eSignal to find out why they restricted the data re Ensign software. I was told that for a monthly fee of $10 such is available to 3rd party users. 

If we were able to get the extended data from esignal, it would be a tremendous help. I can’t stress the benefit. The ability to create pitchforks on 20 min and 240 min chart that would start further back in time would be a significant and very well received.   Is this feasible for Ensign to do?

A:  Ensign stores 1 minute database files on your hard disk from which we build your minute based charts such as 20 minutes and 240 minutes.   If you have the files, we should be able to build the charts.

The eSignal refresh controls how many days back the minute refresh is available.  This is a parameter they pass to us when we connect, and I see on my system it is currently set at 168 days back.   In a test of refreshing ES #F for the intraday, the refresh went back to Sep 8th, 2011, which I would estimate is the 168 days back.   It is my understanding that by paying the extra money you can get eSignal to change the limit on your subscription to be more than the 168 days back I am seeing.   So there should not be any change needed in Ensign to refresh earlier dates.

That said, let me comment there is a work around that will not cost you anything and works for most symbols.   Go to the Data Manager form for the symbol and change the refresh source to DTN Market Access.  Select an early date and pick a quantity such as 1 month and refresh.  DTN will refresh early dates so Ensign has the files.  In this manner you can get the database files from DTN for a few years back without subscribing to the extra service from eSignal. This is another value added item as part of your subscription with Ensign 10.

Example:  Here is my current folder with data from July 8th, 2011.

My next action was to change the Source to DTN Market Access, select 1 month, and click the refresh button. Now my database is extended back to have more files that are back in June 2011.

Be sure to upgrade to the latest version of Ensign 10 so you have the features as documented in these articles.

Gann 2-Bar Swings

CH Choong: ‘Despite Gann’s reputation for the many esoteric studies that he used to make his trading decisions, here is one study, the Gann’s mechanical trend indicator that is easy to understand and straightforward that works across all time frames. Recently, a couple of traders who are interested in Gann Swings asked me to share with them the basic of x-Bar Swings rules and I felt compelled to highlight some basic qualifications of Gann x-Bar Swings that is available in Ensign Windows and Ensign 10. While the rules govern the x-bar Swings may be slightly different, the results are virtually the same over the long term.

What is a Gann Swing Chart?

One of the simplest of Gann’s methodologies is the use of a swing chart pattern as a study of market swings that takes advantage of the tendency for prices to ebb and flow in the short-term. The construction of a swing chart results in what Gann called a trend line indicator that is based on price movement on a bar-by-bar that is constantly evolving. And I have this to say that it is a good and simple price based method for objectively defining market short-term price direction, whether the trend in force is likely to continue or is there a sign of a reversal are present and for any pullback analysis with noticeable price pattern (between 1 and 3-days/bars or periods) in an underlying strong trend. Using the high and low for the price bar or period, whichever exceeds the previous x-bar or x-period becomes the trend line indicator.

In a nutshell, market swings are the true reflection of price movement and that means we can all know that “Price tells the trend”. It’s the simplest way to keep our mind focused on market direction at the beginning of a new swing and exiting at or near the end of that swing to await the development of a new swing trading opportunity. And finally, swing charts help filter out market noise with significant swing pivot highs and swing pivot lows as peaks and valleys on the chart for easier identification of support and resistance, especially with price levels traders.

I have listed the qualifications of a 2-Bar Swings below and I hope it helps you re-discover this simple and effective method for defining market trend that is purely based on price behaviors without any optimization.

Qualifications of 2-Bar Swings.

From downswing to upswing: Two-consecutives bars or periods of higher highs will start the upswing.

From upswing to downswings: Two-consecutives bars or periods of lower lows will start the downswing.

Inside bar:  All inside bars, including equal high or equal low inside bars, are neutral and they are not counted. We are only interested in price making x-bar higher highs for upswing and price making x-bar lower lows for downswing.

Outside bar:  From downswing to upswing: Outside bar close must be above prior bar high to be valid as 1st upswing.

From upswing to downswing: Outside bar close must be below prior bar low to be valid as 1st downswing.

Special Case with breakout of nearest swing pivot high or swing pivot low:
This option takes large price movements into consideration if the high or low of a swing pivot is broken before the set number of x-bars has occurred.

For example, with 2-bar Swings, an extreme price range occurs on the 1st upswing or 1st downswing. Normally this would not be considered until the 2nd bar/period had formed to make a complete swing pivot where as the breakout rule takes this extreme price movement into consideration straight away. If not, we will missed the significant swing pivot high or low.’

Examples of 2-Bar Swings and 3-Bar Swings

Arms’ Ease of Movement Value

The Arms’ Ease of Movement Value (EMV) is an indicator based on Momentum which qualifies volume and price changes and tries to determine the ease the price is to move up or down.

An optimized moving average crossing above zero is a buy trigger (and is highlighted in green) and crossing below zero is a sell trigger (and highlighted in red).

The DYO uses a simple moving average with a period of 9.

If the EMV exceeds 60% then there is ‘Extreme Optimism’ in the ease. If EMV drops below 40% then there is ‘Extreme Pessimish’ in the ease. Black dots in the sub-window signify these areas.

Formula:

EMV = ((High+Low)/2 – (Prior High+Prior Low)/2) / Volume / (High – Low)

A – Define period for the moving average on Line F.
B – Define a multiplier to counter the magnitude of the volume division on Line D.
D – Implement the EMV formula.
E – Rescale the EMV result by the multiplier. Optionally plots the EMV as a blue line.
F – Create a Simple Moving Average of the EMV and plot as a red line.
H, I – Show the Buy and Sell triggers for when the Average crosses zero.
J, K – Show when the Average is above 60 percent or below 40 percent of the scale.

This study as a template can be downloaded in Ensign 10 from the Ensign web site using the Package feature.

Credits:   Richard W. Arms, Jr.

McClellan Summation Index

The McClellan Summation Index is this formula on the $ADD chart.

Formula:

Summation Index = 1000 + (10%Trend – 5%Trend) – ((10 x 10%Trend) + (20 x 5%Trend))

where:
5%Trend
= 39-day EMA of (Advancers-Decliners)
10%Trend = 19-day EMA of (Advancers-Decliners)

The symbol for the Advancers-Decliners is delayed but is available through IB as $ADD.  

The formula is implemented with this DYO, and available on the Ensign web site using the Ensign 10 Package feature to download it.

A – Create the 39 period average.
B – Create the 19 period average.
C – Calculate the first half of the formula:   1000 + (10%Trend – 5%Trend)
D – Calculate the 2nd half of the formula:  10 * 10%Trend + 20 * 5%Trend
E – Subtract the two halves.  Plot this result which is the Summation Index.

Gold and Silver Index $XAU

Larry Pesavento:  ‘Since December 2010 when the Gold and Silver index $XAU made a 3 drive to a top pattern, an interesting set of patterns has unfolded.   One of the most popular and accurate of all the patterns is the AB=CD pattern, also know as the Thunderbolt.  Three times this pattern has indicted a lower top in the downtrend of 2011.  It is now at the 4th lower top as we enter the last week of January 2012.   Remember that pattern recognition is not an exact methodology, but is a probability based approach that must be used with sound money management techniques and risk control measures.’

William’s Variable Accumulation Distribution

The Williams Variable Accumulation Distribution (WVAD), developed by Larry Williams, is a volume-weighted price momentum indicator.  It measures the buying and selling pressure by calculating the relationship between the number of points the market has moved from the open to close relative to the period’s entire range.  Short positions are taken for a negative moving average value, and Long positions for positive average values.

Formula:

WVAD = (( Close – Open ) / ( High – Low )) * Volume

The formula can be implemented with a DYO, as shown.   This is available as a package to download from the Ensign web site using the Package feature in Ensign 10.

A – Period for Moving Average (Line D)
B – Implements the formula.    WVAD = (( Close – Open ) / ( High – Low )) * Volume
C – Plot the formula values.  This statement is used because it will plot values that equal zero, whereas plotting directly from line B would not.
D – Simple Moving Average of the WVAD.  Plotted in Red.
F – Mark where the average crosses above zero.  This is the Long signal.
G – Mark where the average crosses below zero.  This is the Short signal.

ESPL: Andrews Pitchfork Parameters

Q:  I’d like to retrieve, using GetStudy() I presume, parameters related to an Andrew’s Pitchfork which is already drawn on a Chart.  I have no problem getting the handle of the Fork, but I can’t figure out what parameter numbers to use.  I see there is supposed to be a block of parameters for Line Colors, from 300 to 310.  Is that where I’d get the line colors?

In what format would that color be returned?  I did get a large integer returned from parameter 300.  Another item I want to retrieve is the Fork Variation.  That is a string in a combo box with the choices, Standard, Schiff and Modified Schiff, as I recall.  Also, if possible I’d like to get the tab selected for the drawing of the object, if that is available. 
 
A:  Yes, 300 through 310 are the selection parameters to use to get the line colors.   Here is my test script for your review.
 
The example writes the values returned by GetStudy for 300 to 315.  300 returned the cyan color, and so did 301 in the example.  The color Red is easy to spot as that has a color value of 255, and is returned by 303 and 305, etc.   The colors are integers and contain the RGB bytes, with Red being the low order byte.  Hence, the value 255 is just the color Red at its maximum brightness.
 
The fork variations selection value is 209.  GetStudy(handle,209);    First selection of Andrews would return 0.  Schiff would return 1.
 
The TAB selected will be returned using selection 956.   GetStudy(handle,956);    956 will work for all studies and tools to return the tab and the values will be 0 through 14.
 
Q: Thanks.  I am totally satisfied with what you’ve provided.  Is there an easy way to get the name of the Tab rather than just the number?
 
A:  Yes, use 957 as the selection value to work with the tab’s text name.  Example: 

begin
   FindWindow(eChart);
   handle := FindStudy(eAndrews);
   writeln( GetStudy(handle, 956) ) ;            // write the current tab number
   writeln( GetStudy(handle, 957) );             // write out the tab’s text name
   SetStudy( handle, 957, ‘NewName’ );      // change the current tab’s text name
end;