C++ Neural Networks and Fuzzy Logic: Preface

Accumulation−Distribution

This indicator does for price what OBV does for volume.

If today’s close is greater than yesterday’s close:

AD

t

 = AD

t−1

 + (Close

t

 − Low

t

)

If today’s close is less than yesterday’s close

AD

t

 = AD

t−1

 + (High

t

 − Close

t

)

Now let’s examine how these indicators look. Figure 14.7 shows a bar chart, which is a chart of price data

versus time, along with the following indicators:

•  Ten−unit moving average

•  Ten−unit exponential moving average

•  Momentum

•  MACD

•  Percent R

Figure 14.7

  Five minute bar chart of the S&P 500 Sept 95 Futures contract with several technical indicators

displayed.

C++ Neural Networks and Fuzzy Logic:Preface

On−Balance Volume

320

---

The time period shown is 5 minute bars for the S&P 500 September 1995 Futures contract. The top of each

bar indicates the highest value (“high”) for that time interval, the bottom indicates the lowest value(“low”),

and the horizontal lines on the bar indicate the initial (“open”) and final (“close”) values for the time interval.

Figure 14.8 shows another bar chart for Intel Corporation stock for the period from December 1994 to July

1995, with each bar representing a day of activity. The following indicators are displayed also.