.netCHARTING v10.5 Documentation


dotnetCHARTING Namespace > FinancialEngine Class > ChaikinOscillator Method : ChaikinOscillator(String,Series,Double) Method
The name of the series which will be displayed on the chart, i.e. its label.
A financial series.
The number between 0 and 1. The lower the number the more sensitive the indicator is.
ChaikinOscillator(String,Series,Double) Method
This method implements the Chaikin Oscillator (also known as the Chaikin A/D Oscillator) and evaluates this indicator for the latest and all previous periods for which there exists sufficient data.
Syntax
'Declaration
 
Public Overloads Shared Function ChaikinOscillator( _
   ByVal seriesName As String, _
   ByVal s As Series, _
   ByVal smoothingFactor As Double _
) As Series
'Usage
 
Dim seriesName As String
Dim s As Series
Dim smoothingFactor As Double
Dim value As Series
 
value = FinancialEngine.ChaikinOscillator(seriesName, s, smoothingFactor)
public static Series ChaikinOscillator( 
   string seriesName,
   Series s,
   double smoothingFactor
)

Parameters

seriesName
The name of the series which will be displayed on the chart, i.e. its label.
s
A financial series.
smoothingFactor
The number between 0 and 1. The lower the number the more sensitive the indicator is.

Return Value

A series where the first term is the value of the oscillator using the last 10 days data, the previous term is the value of the oscillator on the previous period and so on.
Remarks
The Chaikin Oscillator presents the information contained within the A/D indicator in the convenient form of an oscillator. That is, the Chaikin Oscillator is simply the Moving Average Convergence Divergence indicator (MACD) applied to the Accumulation/Distribution Line.

Interpretation

A sell signal is when price action develops a higher high into overbought zones and the Chaikin Oscillator diverges with a lower high and begins to fall. Conversely, a buy signal is generated when price action develops a lower low into oversold zones and the oscillator diverges with a higher low and begins to rise. The Chaikin Oscillator can also be used to time entry to existing trends by either buying the dip (when the oscillator turns down) or selling the rally (when the oscillator turns up).

Evaluation

The Chaiken Oscillator for a given period is given by:

EMA_3(Accumulate/Distribution) - EMA_10(Accumulate/Distribution),

where EMA_3 and EMA_10 is the exponential moving average over 3 and 10 days respectively; and Accumulate/Distribution is the corresponding indicator over those 3 or 10 days respectively.

Illustration

If we are provided within the high, low and volume over the last 15 periods, then we will be able to evaluate the Chaikin Oscillator on the previous 5 trading days. Since the evaluation of the oscillator on a given period requires knowledge of the 10 previous periods data.

Requirements

Target Platforms: Windows 7, Windows Vista SP1 or later, Windows XP SP3, Windows Server 2008 (Server Core not supported), Windows Server 2008 R2 (Server Core supported with SP1 or later), Windows Server 2003 SP2

See Also