Corrected Velocity Indicator for Momentum and Trend Signals
Summary
This short indicator description presents corrected velocity as a filtered alternative to momentum and ordinary velocity. It characterizes velocity as smoother than momentum and says the correction aims to filter additional false signals. A correction period below zero is described as reverting to the uncorrected velocity calculation.
The method can use floating threshold levels so that significant changes are not identified only by zero crossings, with the response controlled through the correction and level settings. Alert conditions include crossing outer or middle levels, a change in slope, or a cross between corrected and original velocity. The text suggests both momentum-style and trend-oriented use, but provides no formula, parameter values, chart evidence, backtest, or performance statistics; practical effectiveness therefore cannot be assessed from this description alone.
Key ideas
- Corrected velocity is presented as a more filtered alternative to momentum and ordinary velocity.
- A negative correction period is said to produce the ordinary velocity calculation.
- Floating levels allow signal changes to be evaluated beyond zero crossings.
- Alerts may be based on level crossings, slope changes, or comparison with original velocity.
- The description suggests momentum and trend uses but supplies no empirical validation.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.