MDI - Mean Deviation Index
The MDI – Mean Deviation Index AFL in Amibroker calculates the mean deviation of price from a specified moving average. Leveraging amibroker data feed functionalities enables traders to gauge the deviation of price movements, aiding in identifying potential trend changes or volatility. This AFL assists traders in understanding price behavior relative to moving averages for more informed decision-making.
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r = Param( "First Smoothing Periods", 32, 1, 100, 1 );
s = Param( "Second Smoothing Periods", 12, 1, 100, 1 );
MD = EMA(C - EMA(C,r),s);
Plot(MD, "MDI("+r+","+s+")", colorRed);
PlotGrid(0, colorLightGrey);