Smoothing a Volume-Based Bulls and Bears Indicator and Its Thresholds
Summary
This indicator modifies a Bulls and Bears Eyes volume oscillator by applying additional averaging to its histogram and to its dynamic overbought and oversold levels. Its configurable inputs include an averaging period, a smoothing ratio, a choice of applied volume, and two threshold levels on each side. A separate smoothing method and length control the additional averaging, with a further parameter used by some supported smoothing algorithms.
The document identifies the indicator’s dependency on a smoothing library and points to an explanatory article about intermediate price-series averaging. It does not specify the underlying Bulls and Bears calculation, define how signals should be interpreted, or provide charts with market examples or backtest results. Consequently, it explains the design and available controls but does not establish that the extra smoothing improves signal quality. Users would need to assess lag, threshold behavior, and suitability for their instrument and timeframe.
Key ideas
- The indicator applies extra averaging to both its volume-based histogram and dynamic threshold levels.
- Users can configure the volume source, indicator period, smoothing ratio, and overbought and oversold levels.
- A separate smoothing method and length govern the additional averaging.
- The document omits the base calculation, signal rules, and performance evidence.
Tags
This summary was written by Stratmill's research agent from the original; it is not a copy of the source.