Archived: TMO True Momentum Oscillator

[horserider]

@markos I like to play with shorter times. TMO is a great indicator just not working for me at this time. Probably will keep experimenting with it in the future. I have configured the stochastic and RSI to give the same phase changes but without the big oscillation. So will continue with one of those. Thanks for all your contributions here. Just was venting earlier as TMO signaled to exit a trade and then it continued higher. Oh well. Learn and move forward.

 

[diazlaz]

@diazlaz Darn TMO I am dumping it. Those oscillator swings from top to bottom are too extreme.

Yeah it was a BIG trending day today; every top was superseded, paper cut over 40 trades today, no mean reverting today. it happens. don't give up on it, things will settle down, and a combination of non trending days will mean revert the market.

 

[diazlaz]

@diazlaz Darn TMO I am dumping it. Those oscillator swings from top to bottom are too extreme.

Working on a tweak @horserider - what type of trader are you? scalp, intraday, intermediate, position, longer term?

 

[tenacity11]

Working on a tweak @horserider - what type of trader are you? scalp, intraday, intermediate, position, longer term?

I use the TMO also and trade 15m and 5m charts. I'd be interested in any tweaks you may be making.

 

[horserider]

Here is why I am not going to use TMO for now anyway. Can get equivalent signals and less oscillation.

Will be happy to look at any tweaks. Always interested in varied ideas.

 

[horserider]

Can do the same with TMO trying to smooth the oscillation. Still prefer RSI.

 

[chewie76]

@chewie76 Could you let us know what time frame and type of security you trade?

I like the 3 min timeframe. I like trading futures.

 

[chewie76]

I like the 3 min timeframe. I like trading futures.

I created an upper indicator that shows a dot on the candles that are over and under 5. This shows me times when I should look for a reversal. if the price doesn't reverse past that candle, then price should continue towards the trend. Below is the UPPER indicator.

# TMO ((T)rue (M)omentum (O)scilator)
# Mobius
# V01.05.2018
#hint: TMO calculates momentum using the delta of price. Giving a much better picture of trend, tend reversals and divergence than momentum oscillators using price.


input length = 6;
input calcLength = 3;
input smoothLength = 2;

def o = open;
def c = close;
def data = fold i = 0 to length
with s
do s + (if c > GetValue(o, i)
then 1
else if c < GetValue(o, i)
then - 1
else 0);
def EMA5 = ExpAverage(data, calcLength);
DEF Main = ExpAverage(EMA5, smoothLength);
#plot Signal = ExpAverage(Main, smoothLength);

#plot zero = if isNaN(c) then double.nan else 0;

#plot ob = if isNaN(c) then double.nan else round(length * .8);

#plot os = if isNaN(c) then double.nan else -round(length * .8);

plot sell = if main is greater than 5 then 1 else 0;
plot buy = if main is less than -5 then 1 else 0;

BUY.SetPaintingStrategy(PaintingStrategy.BOOLEAN_POINTS);
BUY.SetDefaultColor(Color.CYAN);
SELL.SetPaintingStrategy(PaintingStrategy.BOOLEAN_POINTS);
SELL.SetDefaultColor(Color.CYAN);
BUY.SetLineWeight(5);
SELL.SetLineWeight(5);

 

[chewie76]

@markos I like to play with shorter times. TMO is a great indicator just not working for me at this time. Probably will keep experimenting with it in the future. I have configured the stochastic and RSI to give the same phase changes but without the big oscillation. So will continue with one of those. Thanks for all your contributions here. Just was venting earlier as TMO signaled to exit a trade and then it continued higher. Oh well. Learn and move forward.

Try 6,3,2 setting.

 

[TraderBen]

Here is why I am not going to use TMO for now anyway. Can get equivalent signals and less oscillation.

Will be happy to look at any tweaks. Always interested in varied ideas.

The RSI_Rands indicator looks like it could be quite helpful.
Is this indicator available for sharing?

 

[horserider]

@TraderBen Search for Ultimate RSI . Should find what you want there.

 

[dolomick]

I created an upper indicator that shows a dot on the candles that are over and under 5. This shows me times when I should look for a reversal. if the price doesn't reverse past that candle, then price should continue towards the trend. Below is the UPPER indicator.

# TMO ((T)rue (M)omentum (O)scilator)
# Mobius
# V01.05.2018
#hint: TMO calculates momentum using the delta of price. Giving a much better picture of trend, tend reversals and divergence than momentum oscillators using price.


input length = 6;
input calcLength = 3;
input smoothLength = 2;

def o = open;
def c = close;
def data = fold i = 0 to length
with s
do s + (if c > GetValue(o, i)
then 1
else if c < GetValue(o, i)
then - 1
else 0);
def EMA5 = ExpAverage(data, calcLength);
DEF Main = ExpAverage(EMA5, smoothLength);
#plot Signal = ExpAverage(Main, smoothLength);

#plot zero = if isNaN(c) then double.nan else 0;

#plot ob = if isNaN(c) then double.nan else round(length * .8);

#plot os = if isNaN(c) then double.nan else -round(length * .8);

plot sell = if main is greater than 5 then 1 else 0;
plot buy = if main is less than -5 then 1 else 0;

BUY.SetPaintingStrategy(PaintingStrategy.BOOLEAN_POINTS);
BUY.SetDefaultColor(Color.CYAN);
SELL.SetPaintingStrategy(PaintingStrategy.BOOLEAN_POINTS);
SELL.SetDefaultColor(Color.CYAN);
BUY.SetLineWeight(5);
SELL.SetLineWeight(5);

I will try this, thanks. Do I need to use your modified settings you posted for the upper indicator to work properly? I've been using the default settings.

@horserider I like the MTF TMO to avoid what you are speaking of, and I look for divergences. The second higher low or second lower high is a good entry/exit signal for me. Also, I of course use it with other indicators. Around 11:30 on the chart you posted (most recent day) where there is a lower high would be my entry on the short. It is a lower high.

 

[horserider]

Ok good plan. I would rather just have the smoother plots. Can do it on TMO also, check post #108. All momentum studies so choose what works best. I just prefer RSI then Stochastic or MACD over TMO. There is a MTF RSI on here somewhere, think I added it.

 

[dolomick]

Ok good plan. I would rather just have the smoother plots. Can do it on TMO also, check post #108. All momentum studies so choose what works best. I just prefer RSI then Stochastic or MACD over TMO. There is a MTF RSI on here somewhere, think I added it.

I actually really like how you slowed down the TMO, it gave a very clear sell signal on the third day from the left, about halfway through the day and a bit later when the green turned to red. Clearer to me than the other two indicators. I may try that setting. Thanks!

 

[HighBredCloud]

@tomsk I trust vacation was good. Thank you for helping with @tenacity11 's question.
I have one for you. How do I set the scan up for polarity change within last three days as well as within the last 3 periods with all 3 periods past the crossing? Use another input? Thanks Markos

@markos What is the reason behind your question? Is it that you want to display the last 3 days on the daily chart when TMO changed polarity? I am not sure how this particular scan works...but does it ONLY show the first day of the polarity change on the daily chart and no longer pulls up stocks that had polarity change more than a day ago...? Because if that is the case where the scanner would pull up the last 3 days of the polarity change on the daily chart that would be great...

I still don't understand about the 3 periods past crossing part...I am trying to find a good way to scan via TMO...

 

[switchfire]

Hello,

Hopefully I didn't miss this somewhere on one of the pages, but I'm trying to figure out how to set up a scan for a specific time frame for when the momentum changes. It doesn't need to be in the +10/-10 areas, just any time it switches. I'm going to set an alert with the scan.

Thanks for any insight!
@tomsk @BenTen

 

[tomsk]

@switchfire I did some work with the TMO Scan a while ago - Have a read through post #93 and #96 It might get you closer to what you seek. If not adjustments can be made

 

[switchfire]

@switchfire I did some work with the TMO Scan a while ago - Have a read through post #93 and #96 It might get you closer to what you seek. If not adjustments can be made

Yes, i did see your post and have actually been using it My problem is that it's specific to the level being set (-10 in this instance) I'm trying to figure out how i can set the scan to not require a specific level.

Thanks for your contributions!!

 

[tomsk]

Try something like the following. All it does is to make sure that both the main and signal plots have indeed pulled back from the previous bar. However do test it thoroughly and see if this is something you really desire. Note that this does not have the requirement for any specific level

plot scan = main < main[1] and signal < signal[1];

I just ran that scan on the S&P 500 (Daily aggregation) and obtained 310 results, so looks like the tide has changed

 

[HighBredCloud]

@tomsk The scan that you mentioned in post #93 and #96 with the -10 instance...does that indicate the polarity change or simply crossing from oversold? Also if you change the instance to 10 from -10 will that scan for a bearish instance from over bought? Where exactly would you put the code from post #123? at the top or bottom of the code? Thanks...