This is a collection of various filters by John Ehlers outlined in his excellent books "Rocket Science for Traders" and "Cybernet Analysis for Stocks and Futures"
These are the Corona Indicators originally created by John Ehlers.
They are meant to identify cycles in the market and help you determine whether or not the market is currently suitable for trading cycles. They develop the corona at times when the signal is weak or unstable.
For those who are interested, all of them are based on cycle extraction using a DFT variant.
In general, Fourier analysis is not suitable for use on financial timeseries since it is based on the assumption of Stationarity. In the DSP world that restriction is commonly relaxed to include WSS signals (wide sense stationary). Ehlers seeks to approximate a WSS signal by detrending the data with a high pass filter before the DFT step, whether or not that is a suitable approximation is questionable as it ultimately depends on the specific data being processed.
What is certain is that they look very cool, so try them for yourself and see if you find them useful
COMPATIBILITY:
NinjaTrader 6.5: YES
NinjaTrader 7.0: YES (tested by sam028)
I´ve found this indicator in my TOS platform and translated to NT. It also has a LinReg option (set to true by default) to make it smoother, but it also works grate with out it... I´ve foud it grate to confirm mayor swings... look at the chart and good trading...
Ehlers Distant Coefficient Filter
vorol
August 6th, 2010
Size: 3.92 KB
Downloaded: 154 times
589
Jeff Castille
This indicator simply plots the EMA High Low and Close for a single time period which creates a ribbon or wave look from the 3 lines. Can be useful for potential support and resistance areas. Instead of adding 3 individual EMA's to the chart, with this indicator you can change all three plots with the single time period. You can also hide the plots without removing the indicator from the chart.
COMPATIBILITY:
NinjaTrader 6.5: Created with 6.5.1000.12
NinjaTrader 7.0: NOT TESTED
September 23rd, 2010
Size: 4.35 KB
Downloaded: 529 times
638
PiCoTrader
I've found that it works like a magnet: if price is below the wvwma and the stoch curls price goes to the evwma - heads up for me to take a trade on the es.