3D
Oscillator is a powerful VertexFX client side VTL indicator
that gives excellent entry and exit signals for market cycles and turning
points. It is derived from Relative Strength Index (RSI), Commodity Channel
Index (CCI) and the Stochastic indicator.
Since it is based on
oscillators which identify market turning points, the combination of these
oscillators, and smoothing them to eliminate lag enhances the quality of the
signals.
The concept behind
the indicator is that CCI and RSI provide us information of market saturation
and turning points. As the price saturates and moves sideways, starts to change
its direction. At first step we calculate the RSI based on the D1_RSI_PERIOD. In
the second step we calculate the CCI based on D3_TUNNEL_PERIOD.
In the third step we calculate the Stochastic of the RSI based upon the D2_STOCH_PERIOD. The Stochastic RSI is the difference between the current RSI and the minimum value of RSI over recent D2_STOCH_PERIOD, divided by the difference between the maximum and minimum values of RSI over the same period.
We then calculate the
intermediate smoothed sum of the CCI and the Stochastic RSI, which is equal to
:HOT x CCI + (1 - HOT) x Stochastic RSI. Finally, the 3D Oscillator BLUE
(MAIN) line is calculated by smoothing this intermediate smoothed sum with the
previous value of the BLUE line using the SIGNAL_SMOOTH.
The RED (SIGNAL) line is calculated from the BLUE line by smoothing it again using the SIGNAL_SMOOTH.
The RED (SIGNAL) line is calculated from the BLUE line by smoothing it again using the SIGNAL_SMOOTH.
Buy: Place Buy
trade when indicator Blue line closes above the indicator Red line below the
zero line.
Sell: Place Sell
trade when indicator Blue line closes below the indicator Red line above the
zero line.
To use 3D
Oscillator download it from here, then place it at VertexFX VTL directory:
C:\ProgramData\VertexFX
Client Terminals\"Company name"\VTL10\Local VTL Files.
Then right click on the tree and select refresh or restart your client station and you will find it under VTL server scripts in your client terminal.
For more information
about the 3D Oscillator you can check
this video: