Absolute Strength Histogram

The Absolute Strength Histogram


Absolute Strength Histogram is composed of two separate signals - Bulls and Bears. Both signals are plotted on the same graph. By doing so we can see the strength of the buyers and sellers in comparison to one another. When the Bulls Signal is above the Bears Signal, the histogram is blue and the market tends to be trending up (go long). When the Bears Signal is above the Bulls Signal, the Histogram turns red and the market tends to be trending down (go short).

There are two methods for calculation, the RSI and the Stochastic, and both have their merits.

There are also several smoothing algorithms added that you can select from the drop-down. Note that higher smoothing will notify you of trend changes later. Lower smoothing will give you quicker signals at the cost of more errors (false signals or noise).

Happy Trading :)

Versionsinformation:

Fixed issue where Length variable had no effect on ASH when in RSI mode.

Surprised nobody complained about this :P

Enjoy.

Versionsinformation:

The Absolute Strength Histogram

Updates:
- There was an error in the RSI Calculation which has been resolved.
- Added Multi Time Frame (MTF) modes. You can now set custom time resolutions.
- Added more smoothing/MA options to choose from
- Added a few visual modes. Nothing fancy.