Combining Four Oscillators with Adaptive Kernel Smoothing
Summary
The indicator combines up to four momentum measures—RSI, Stochastic, Money Flow Index, and CCI—into one consensus series. It rescales each component to a roughly shared range centered on zero, averages only the enabled components, and applies a weighted smoothing kernel. Exponential, linear, and Gaussian weighting are offered. A second, slower smoothing pass produces a trend line alongside the faster signal line.
The guide interprets zero-line position as positive or negative combined momentum, agreement between the two lines as regime alignment, and their crossover as a possible momentum shift. Averaging may reduce the influence of a signal from only one oscillator, but the document provides no backtest, performance statistics, or rules for entries, exits, and risk. Its suggested uses are therefore indicator-reading ideas, not evidence of a profitable strategy; results will depend on instrument, settings, and validation.
Key ideas
- RSI, Stochastic, MFI, and CCI readings are normalized before they are averaged.
- Disabled components are excluded from the average rather than treated as zero.
- Selectable exponential, linear, or Gaussian weights smooth the combined momentum series.
- A second smoothing pass creates a slower trend line for comparison with the faster signal.
- Line positions and crossovers offer interpretation cues, but the document reports no performance testing.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.