Re: Alexander Elder's new "SafeZone Stop"

["Eric Svendsen" <esvendsen@xxxxxxxx>]

Another version!
Also, attached ELA.

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{Indicator - SafeZone}
{Alexander Elder's "SafeZone Stop"}
{Book "Come Into My Trading Room" page 173}
{Barry Silberman's version}
{Eric Svendsen, Programmer (858) 874-0328 }

inputs:
 Length(15),
 Trend(3),
 MultipleLong(1),
 MultipleShort(1),
 XPrice((H+L)/2),
 XLength(22);

vars:
 XMA(0),  Sum(0),  Cnt(0),
 LDay(0), LAve(0), LStop(0),
 HDay(0), HAve(0), HStop(0),
 SafeZone(0), SZColor(White),
 i(0);

{Trend is slope of EMA}
XMA = XAverage(XPrice, XLength);
SafeZone = Close[1];

{SafeZone for Longs}
{TOTAL ALL VALUES OF LOWS BEING LOWER THAN PRIOR LOW}
{COUNT NUMBER OF DAYS WITH LOWS BEING LOWER THAN PRIOR LOW}
{GET AVERAGE OF LOWS LOWER THAN PRIOR LOW}
{CALCULATE STOP AT "X" TIMES AVGLOW}
{PREVENT STOP FROM BEING LOWERED}

if XMA > XMA[Trend] then
begin
 for i = 1 to Length
 begin
  LDay = L[i] - L[i-1];
  if LDay > 0 then
  begin
   SUM = SUM + LDay;
   CNT = CNT +1;
  end;
 end;
 if Cnt > 0 then LAve = Sum / Cnt;
 LSTOP = LOW[1] - (MULTIPLELONG * LAve[1]);
 SafeZone = MAXLIST(LSTOP, LSTOP[1], LSTOP[2], LSTOP[3], LSTOP[4],
LSTOP[5]);
end;

{SafeZone for SHORTS}
{TOTAL ALL VALUES OF HIGHS BEING HIGHER THAN PRIOR HIGH}
{COUNT NUMBER OF DAYS WITH HIGHS BEING HIGHER THAN PRIOR HIGH}
{GET AVERAGE OF HIGHS HIGHER THAN PRIOR HIGH}
{CALCULATE STOP AT "X" TIMES AVGHIGH}
{PREVENT STOP FROM RISING}

if XMA <= XMA[Trend] then
begin
 for i = 1 to Length
 begin
  HDay = H[i-1] - H[i];
  if HDay > 0 then
  begin
   SUM = SUM + HDay;
   CNT = CNT +1;
  end;
 end;
 if CNT > 0 then HAve = SUM / CNT;
 HSTOP = HIGH[1] + (MULTIPLESHORT * HAve[1]);
 SafeZone = MinList(HSTOP, HSTOP[1], HSTOP[2], HSTOP[3], HSTOP[4],
HSTOP[5]);
end;
{Colors for Fun}
SZColor = Red;
if XMA > XMA[Trend] then
 SZColor = Green;

{Plot}
PLOT1(SafeZone, "SafeZone", SZColor);

{end}

Attachment: Description: "SAFEZONE.ELA"