McClellan Oscillator from Market-Wide Bullish and Bearish Candles

Summary

The document describes a breadth oscillator built from bullish and bearish candlesticks across symbols in the Market Watch. It first forms RANA as the difference between the counts of bullish and bearish candles divided by their sum. The oscillator is then presented as the difference between fast and slow moving averages of that breadth series, multiplied by the sum of the two moving-average periods. The stated defaults are a 19-period fast average and a 39-period slow average.

Inputs include the base currency used to identify symbols and the two moving-average periods. The indicator calculates RANA internally, so a separate RANA indicator is not required. It may need time to download history for all relevant symbols when first started or after a timeframe change. The description supplies a formula and operational caveat, but no signal interpretation, backtest, performance evidence, or guidance on selecting symbols or timeframes; its stated slow-period default also differs from a later parameter note.

Key ideas

• RANA measures the balance of bullish and bearish candles across the selected symbols.
• The oscillator compares fast and slow moving averages of RANA and scales their difference by the sum of their periods.
• The description gives 19 and 39 as the fast and slow periods in its formula, while a later note gives a different slow-period default.
• The indicator calculates its breadth input internally but needs market history to load at startup or after a timeframe change.
• No trading signals or performance results are provided.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.