Schaff Trend Cycle Indicator
The Schaff Trend Cycle Indicator (STC) was developed by Doug Schaff in 2008. It is based on the assumption that currency trends accelerate and slow down in a cyclical pattern.
La légende dans l'équipe InstaSpot!
La vraie légende! Vous pensez que c'est trop pathétique? Mais comment pouvez-vous appeler un homme qui, à 18 ans, est devenu le premier champion du monde d'échecs parmi les jeunes hommes d'Asie, et à dix-neuf ans – le premier grand maître de l'histoire de son pays? Ce fut le début de la voie du champion d'échecs –Viswanathan Anand – l'homme qui a inscrit son nom à jamais dans l'histoire des échecs du monde. Une autre légende dans l'équipe d'InstaSpot!
Le FC Borussia est l'un des clubs de football les plus titrés d'Allemagne, qui a prouvé à maintes reprises à ses fans que l'esprit de rivalité et de leadership mènera certainement au succès. Négociez de la même manière que les professionnels du sport mènent le jeu: en toute confiance et activement. Devenez un leader avec le FC Borussia et soyez en tête avec l'équipe InstaSpot!
The Schaff Trend Cycle Indicator (STC) was developed by Doug Schaff in 2008. It is based on the assumption that currency trends accelerate and slow down in a cyclical pattern.
1. Moving averages (23- and 50-period EMA) and the MACD values are calculated.
EMA1 = EMA(Close, ShortLength);
EMA2 = EMA(Clost, LongLength);
MACD = EMA1 – EMA2;
2. 10-period Stochastic from the MACD values are calculated (cycles of the Schaff Trend Cycle).
%K(MACD) = %KV(MACD, 10);
%D(MACD) = %DV(MACD ,10);
Schaff = 100 * (MACD – %K(MACD)) / (%D(MACD) – %K(MACD));
The technical indicator STC is oscillator from the technical point of view. It is based on the principles of the Stochastic Oscillator and the MACD. The STC detects up and down trends, ignoring a lot of short-term periods of noise.
According to the concept of the STC Indicator, after a particular time on the Forex market, the trend returns to a starting point of its development, a cycle of its further movements starts to repeat. Thus, some kind of cyclic recurrence occurs in price fluctuations in the Forex market. It is detected by the STC Indicator for metatrader.
During the process of the Index’s development, besides cyclicity, combination of two different approaches to the evaluation of trend’s movement was used: the smoothed stochastic oscillator and the MACD.
The STC Indicator functions the following way. It generates its buy signal when the signal line turns up from 25 to indicate a long or turns down from 75 to indicate a short.
The developer of the indicator suggested the following method of signal filtering. If a bar, which is followed by a signal bar, closes higher than the high of the previous one, then there is a great possibility of price movements, and as a consequence to buy. On the contrary, when a ban, which is followed by a signal bar, closes lower than the low of the previous bar, there is signal to sell. It presupposes the high probability of profitable sells.
MAshort = 23
MAlong = 50
Cycle = 10
