Using spreadsheet to produce AR indicators (buy and sell momentum)

Stock Exchange and Market Analysis

Technical Analysis (16)

The sale of momentum indicators (AR), a predictive trend of ups and downs leading indicator , is the ratio of the sum of the highest price and the opening price in the spread of n days to the sum of the opening price and the lowest price in the spread of n days. It implies the reference indicators of the market's trading momentum within n days , which can observe the strength of continuous ups and downs in the process of rising and falling .
Basically, the difference between the highest price and the opening price represents the strength of the buyer on the day and the strength of the stock price , and the difference between the opening price and the lowest price shows the seller's power to lower the stock price . So when the AR approaches 100% , it means trading momentum fairly , and in 80% to 120% of the time between , said the two sides are in the consolidation see-saw stage . If the AR Chaoguo 120% represents a buying active , stock prices strong rise , to 150% or more , then entered the overbought area , to Note you may start at any time of retreated . Conversely, if AR is less than 80% indicates a low popularity , the stock retreated vulnerable . to 50% or less , then entered the oversold zone ,You can always pay attention to the timing of the opportunity to enter the market . Since AR has the index characteristic of the leading stock price reaching the peak or the bottom , once it deviates from the stock price trend , it is the signal of rebound or back . Today let us import the Excel according to the mathematical formula of AR :
DH _t : first t highest price and the opening price of the day spread
DH _t = H _t - O _t
  O _t = opening price on the day t
  H _t = the highest price on the day t
DL _t : first t the opening price and the lowest of the day spread
  DL _t = O _t - L _t
  L _t = the lowest price on the day t
AR _nt : n- day trading momentum indicator on the day t
  AR_nt = ( DH_t + DH_t-1 + … + DH_t-n+1 ) / ( DL_t + DL_t-1 + … + DL_t-n+1 )
Momentum trading indicators AR of n values generally 26 is the optimum value , corresponding to the strength of the stock momentum month . While the foregoing is a general rule out of stock , but due to the different properties of the stock , better still have to observe the subject matter of at least one year the above trends and then control the stock specifications make appropriate correction is appropriate . Finally, to utilize the convenience of the reader AR index , I still Makalot modeled (Template), continued to produce Excel analysis sample formats for the reader :

template16.xlsx

In addition to this sample " historical stock price " provides spreadsheet AR reference index outside , and the second spreadsheet provides the candlestick graph , volume and AR trend line for reference . If readers find any mistakes, please don't hesitate to correct me . Thank you !
In addition , the author made spreadsheet for various indicators (moving average , RSI, BIAS, stochastic KD line, William indicator , MACD, CDP and Bollinger band) for stock analysis , and further produced candlestick charts and other technical indicators on the same chart , interested readers can refer to Ref.1.
Reference (Ref):
1. Investment Financial Notes - Stock Technical Analysis