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How do I find the formulas to calculate the following index figures:
MACD signal
RSI
Chaikin Osciallators

-Thanks a bunch

2006-08-06 13:49:35 · 3 answers · asked by greenglow560 4 in Business & Finance Investing

3 answers

MACD fomula:
The most popular formula for the "standard" MACD is the difference between a security's 26-day and 12-day exponential moving averages. This is the formula that is used in many popular technical analysis programs, including SharpCharts, and quoted in most technical analysis books on the subject. Appel and others have since tinkered with these original settings to come up with a MACD that is better suited for faster or slower securities. Using shorter moving averages will produce a quicker, more responsive indicator, while using longer moving averages will produce a slower indicator, less prone to whipsaws. For our purposes in this article, the traditional 12/26 MACD will be used for explanations. Later in the indicator series, we will address the use of different moving averages in calculating MACD.

Of the two moving averages that make up MACD, the 12-day EMA is the faster and the 26-day EMA is the slower. Closing prices are used to form the moving averages. Usually, a 9-day EMA of MACD is plotted along side to act as a trigger line. A bullish crossover occurs when MACD moves above its 9-day EMA and a bearish crossover occurs when MACD moves below its 9-day EMA. The Merrill Lynch chart below shows the 12-day EMA (thin blue line) with the 26-day EMA (thin red line) overlaid the price plot. MACD appears in the box below as the thick black line and its 9-day EMA is the thin blue line. The histogram represents the difference between MACD and its 9-day EMA. The histogram is positive when MACD is above its 9-day EMA and negative when MACD is below its 9-day EMA.
http://stockcharts.com/education/IndicatorAnalysis/indic_MACD1.html


Here's the RSI formula:
A technical momentum indicator that compares the magnitude of recent gains to recent losses in an attempt to determine overbought and oversold conditions of an asset. It is calculated using the following formula:
100
RSI = 100 - _____
1 + RS

RS = Average of x days' up closes / Average of x days' down closes
http://www.investopedia.com/terms/r/rsi.asp

Chaikin formula:
http://stockcharts.com/education/IndicatorAnalysis/indic_ChaikinMoneyFlow1.html

2006-08-06 15:10:22 · answer #1 · answered by Anonymous · 1 1

I don't believe there are any formulas to do that. You'd need to do the calculations manually.

2006-08-06 22:00:48 · answer #2 · answered by phaldo 2 · 0 0

yes, go to

http://www.stockcharts.com on chart school button , they give you the formula

2006-08-07 01:45:10 · answer #3 · answered by Hoa N 6 · 0 0

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