aka_er_dig

Function Name: aka_er_dig

Tags: Moving Averages

Category: Trend

A technical indicator that measures the amount of buying and selling pressure in the market. This indicator consists of two separate indicators known as "bull power" and "bear power". These figures allow a trader to determine the position of the price relative to a certain exponential moving average (EMA). Bull Power = Daily High - n-period EMA, Bear Power = Daily Low - n-period EMA; Technical traders will use the values of the bull and bear power along with divergence to make transaction decisions. Long positions are taken when the bear power has a value below zero but is increasing and the bull power's latest peak is higher than it was previously. A short position is taken when the bull-power value is positive but falling and the bear power's recent low is lower than any other previous bottom. The slope of the EMA can also be used in both cases to help confirm the direction of the trend.

 

Author:   Dr. Alexander Elder

Link:       http://www.investopedia.com/terms/e/elderray.asp

 

Period
	Default Value: 10  |  Minimum: 2  |  Maximum: 9999
	Type: Numeric