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Efficiency Ratio (Kaufman)

6 181
or "Generalized fractal efficiency"

Measures price trend effectiveness. Where 1.00 is trending and 0.00 not.

Calculation:
ER = Change / Sum of absolute changes

where "Change" is a price change over specified period and "Sum of Changes" sum of absolute price movements within that period

As an example, to calculate 5-day ER you have to calculate 5-day change and then calculate absolute sum of each day movements:

5-day ER = 5-day change / (|day 1 change| + |day 2 change| + |day 3 change| + |day 4 change| + |day 5 change|)
Source: marketvolume.com/technicalanalysis/efficiencyratio.asp
Catatan Rilis
version=2 to version=4
Catatan Rilis
correct chart now
Catatan Rilis
Bumped to V5

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