warsnax.blogg.se - How to code amibroker consolidation period

Must be used with an Amibroker analysis that selects only a universe of stocks that meet the trend template and Goal is to easily find possible VCP pivots that are tight enough to be attractive to buy You will get some false positives, but that's just the nature of the game of filtering. What this code doesn't do is judge the quality of the initial contractions, but that is not as important as the stock cleaning up for the final contraction. Here is a figure of what the final contraction should look like So it looks for major consolidations (bases) and then checks the quality of the final pivot.

Volume is below average during the pivot period.

The lowest point can be anywhere in the pivot area.

The highest point should be at the beginning of the pivot (start or continuance of contraction).

The highest and lowest points of the last n days is less than 10% or less.

Volume is decreasing, which I use the slope of a linear regression of the 50 day average volume to determine The pivot should be within a constructive base (usually not deeper than 30-40%), or at least the pivot should not be below that level) It should be using a watchlist (via the filter in the Analysis window, or code it in) that meets the trend template from Mark Minervini (uptrending growth stocks) It has tunable parameters so set them to what you want.

It's not perfect, but can raise efficiency in your daily workflow and allow you to narrow down on stocks that are ready for a buy-stop order.

However now I came up with something a little more automated. I also showed a way to use studies to measure VCPs here. If you are familiar with Mark Minervini's VCP, you'll know it's now a popular way of detecting low risk entry points if the stock is already in a Stage 2 Uptrend, which I already discussed here. I think I nailed some code that can help find VCPs in their final contraction.