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STRAT
18-09-2009, 09:09 AM
Many Indicators out there today are derived from others and their authors will have us believe they are improvements on the original. Is this really so?

Twiggs Money Flow is a good example.
An enhancement or derivative of the Chaikin Money Flow which in turn came from Accumulation Distribution which was derived from OBV.

I certainly haven’t missed an obvious sign, that being Phaedrus would appear to have a preference for the original.

I have found while comparing these some alarming divergences in the signals they give off.

One would expect an enhancement of any product to do the same job but in a refined manner. You wouldn’t be happy buying a car only to find when you get it home R means Drive and D means reverse. Surely the same should apply here. Am I over simplifying this or missing the point altogether. Thoughts and comments would be much appreciated.

Will post some examples later today when I get time

Steve
20-09-2009, 08:02 AM
A good example of 'If its not broken, why fix it'?

Personally, I tend to use the 'original' indicators as I tend to get stuck in my ways and resist change...

drillfix
17-10-2009, 12:58 AM
Many Indicators out there today are derived from others and their authors will have us believe they are improvements on the original. Is this really so?

Thoughts and comments would be much appreciated.

Will post some examples later today when I get time

What about that new indicator you posted previously Strat, The DF indicator :D

Surely it is nearly a proven indicator by now :rolleyes:

STRAT
18-10-2009, 06:25 PM
What about that new indicator you posted previously Strat, The DF indicator :D

Surely it is nearly a proven indicator by now :rolleyes:Ah yes :D I will see what I can do and thanks for reminding me about this thread. I never got back to posting some examples to follow on from the first post.

deanbo
16-11-2009, 10:04 AM
The best volume indicator in my experience would be the spread. The narrower the spread the higher the volume being traded. As for the best price indicator? Price.