Hull based Indicator(s) - cTrader
1This thread is designed to post Specifically for HULL based Concept & Theory
Always looking the GREAT, never left GOOD Point...
Re: Hull based Indicator(s) - cTrader
2Hull Moving Average
Since then the HMA has found its way into charting programs around the World and is regularly discussed on Traders bulletin boards in Different Languages around the World. It was the result of an intellectual curiosity which I placed into the Public domain by writing the following article.
The Hull Moving Average solves the age old dilemma of making a Moving Average more responsive to current Price activity whilst maintaining curve Smoothness. In fact the HMA almost eliminates lag altogether and manages to improve Smoothing at the same time.
A simple application for the HMA, given its superior smoothing, would be to employ the turning points as entry/exit signals. However it shouldn't be used to generate crossover signals as this technique relies on lag.
Alan Hull said :
Back in 2005 when I was working on a New indicator I was temporarily sidetracked by trying to solve the Problem of lag in Moving Averages (MA), the outcome of which was the Hull Moving Average (HMA)
Since then the HMA has found its way into charting programs around the World and is regularly discussed on Traders bulletin boards in Different Languages around the World. It was the result of an intellectual curiosity which I placed into the Public domain by writing the following article.
The Hull Moving Average solves the age old dilemma of making a Moving Average more responsive to current Price activity whilst maintaining curve Smoothness. In fact the HMA almost eliminates lag altogether and manages to improve Smoothing at the same time.
Hull Moving Average (HMA) formula :
Integer(SquareRoot(Period)) WMA [2 x Integer(Period/2) WMA(Price) - Period WMA(Price)]
MetaStock formula
period:=Input("period",1,200,20);
sqrtperiod:=Sqrt(period);
Mov(2*Mov(C,period/2,W) - Mov(C,period,W),LastValue(sqrtperiod),W);
A simple application for the HMA, given its superior smoothing, would be to employ the turning points as entry/exit signals. However it shouldn't be used to generate crossover signals as this technique relies on lag.
Always looking the GREAT, never left GOOD Point...
