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DT Oscillator
This study calculates and displays the two Subgraphs of a DT Oscillator for the Price Data.
Let \(C\) be a random variable denoting the Close Price, and let \(C_t\) be its value at Index \(t\). Let \(n_{RSI}\), \(n_{S}\), \(n_{SK}\), and \(n_{SD}\) be the RSI Length, Stochastic Length, SK Length, and SD Length Inputs, respectively.
The first indicator of the DT Oscillator is denoted as \(DT^{(SK)}_t\left(n_{RSI},n_S,n_{SK}\right)\), and we compute it for \(t \geq n_{RSI}\) as a Simple Moving Average of a Stochastic RSI as follows.
\(DT^{(SK)}_t\left(n_{RSI},n_S,n_{SK}\right) = SMA_t\left(100 \cdot RSI^{(Stoch)}(n_{RSI},n_S), n_{SK}\right)\)Note: In the above formula, the Stochastic RSI is computed using a Simple Moving Average.
The second indicator of the DT Oscillator is denoted as \(DT^{(SD)}_t\left(n_{RSI},n_S,n_{SK},n_{SD}\right)\), and we compute it for \(t \geq n_{RSI}\) as follows.
\(DT^{(SD)}_t\left(n_{RSI},n_S,n_{SK},n_{SD}\right) = SMA_t\left(DT^{(SK)}\left(n_{RSI},n_S,n_{SK}\right), n_{SD}\right)\)Note: Depending on the setting of the RSI Average Type and SK Average Type, and SD Average Type, the Simple Moving Averages in the above calculations could be replaced with Exponential Moving Averages, Linear Regression Moving Averages, Weighted Moving Averages, Wilders Moving Averages, Simple Moving Averages - Skip Zeros, or Smoothed Moving Averages.
In addition to the Subgraphs of \(DT^{(SK)}_t\left(n_{RSI},n_S,n_{SK}\right)\) and \(DT^{(SD)}_t\left(n_{RSI},n_S,n_{SK},n_{SD}\right)\), this study also displays horizontal lines at levels determined by the Upper Line Value and Lower Line Value Inputs.
Inputs
Spreadsheet
The spreadsheet below contains the formulas for this study in Spreadsheet format. Save this Spreadsheet to the Data Files Folder.
Open it through File >> Open Spreadsheet.
*Last modified Monday, 26th September, 2022.