MetaStock Indicator - Price Volume Rank by Anthony J Macek

The Future of Investing

Indicators
Examples and interpretation of many commonly used indicators.

Custom Formulas
Custom explorations, indicators and trading systems.

Price Charts
Examples and interpretation of all charts used in technical analysis.

MetaStock Indicator - Price Volume Rank

rev. 01/06/97

Taken from Stocks & Commodities, V. 12:6 (235-239): Price-Volume Rank by Anthony J. Macek

"Imagine receiving a warning when the market was likely to collapse or being alerted when one of your favorite stocks was about to rally. What if these signals came from analysis that was simple enough to do without a computer and took only a few minutes a day to update, using just two pieces of information found in virtually any newspaper? Is this a dream? Maybe not. Anthony Macek explains.

The old adage about keeping things simple applies even to the investment world. Methods of analysis such as polarized fractal efficiency and price oscillator divergences do a great job, but for those with neither the time nor the inclination to master the techniques necessary to monitor every blip and sputter that the market produces may be served just as well by noting only two very important market variables: price and volume."

For interpretation refer to the June 94 issue of Technical Analysis of Stocks & Commodities.

You need to create all of the following custom formulas in order for the PV Rank to calculate properly.

P-V Rank:
Fml( "PV1" ) + Fml( "PV2" )

PV1:
If( C ,> ,Ref( C ,-1 ) ,If( V ,> ,Ref( V ,-1 ) ,1 ,If( V ,< ,Ref(V ,-1 ) ,2 ,0 ) ) ,0 )

PV2:
If( C ,< ,Ref( C ,-1 ) ,If( V ,< ,Ref( V ,-1 ) ,3 ,If( V ,> ,Ref( V ,-1 ) ,4 ,0 ) ) ,0 )

PV Biggie: (This combines all formulas into one formula)
If( C ,> ,Ref( C ,-1 ) ,If( V ,> ,Ref( V ,-1 ) ,1 ,If( V ,< ,Ref( V ,-1 ) ,2 ,0 ) ) ,If( C ,< ,Ref( C ,-1 ),If( V ,< ,Ref( V ,-1 ) ,3 ,If( V ,> ,Ref( V ,-1 ) ,4 ,0 ) ) ,0 ) )