The oscillator shows the value of price deviation from the Moving Average taking into account ATR.
Calculation formula:
CVI = (Close – MA ) / ATR
Modified formula:
(MCVI) = (Close – MA ) / (ATR * (Period ^ 0.5))
The indicator has six input parameters:
- Period - period;
- MA method - calculation method;
- MA price - calculation price;
- Modified algorithm - enable/disable the modified algorithm;
- Overbought - overbought level;
- Oversold - oversold level.
Fig.1 Unmodified calculation algorithm
Fig.2 Modified calculation algorithm
