TTR (version 0.13-1)

DPO: De-Trended Price Oscillator

Description

The Detrended Price Oscillator (DPO) removes the trend in prices - or other series - by subtracting a moving average of the price from the price.

Usage

DPO(x, ma = list("SMA", n=10), shift = ma$n/2+1, percent = FALSE)

Arguments

x

Price, volume, etc. series to use.

ma

A list whose first component is a string containing the moving average function name; additional parameters may also be specified as named components.

shift

The number of periods to shift the moving average.

percent

logical; if TRUE, the percentage difference between the slow and fast moving averages is returned, otherwise the difference between the respective averages is returned.

Value

• A vector containing the DPO values.

Details

The Detrended Price shows cycles and overbought / oversold conditions. Note the calculation shifts the results shift periods, so the last shift periods will be zero.

References

The following site(s) were used to code/document this indicator: http://www.fmlabs.com/reference/DPO.htm http://www.equis.com/Customer/Resources/TAAZ/?c=3&p=48

See Also

See EMA, SMA, etc. for moving average options; and note Warning section. See oscillator for other oscillators.

Examples

data(ttrc)
  price.dpo <- DPO(ttrc[,"Close"])
  volume.dpo <- DPO(ttrc[,"Volume"])