$59.00

Richard Arms’ Ease of Movement indicator is a technical study that attempts to quantify a mix of momentum and volume information into one value. The intent is to use this value to discern whether prices are able to rise, or fall, with little resistance in the directional movement. Theoretically, if prices move easily, they will continue to do so for a period of time that can be traded effectively.
Basically the indicator highlights the relationship between volume and price changes and is particularly useful for assessing the strength of a trend.

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Ease of Movement settings

Note
Since this is a volume based indicator it’s best to set it’s Calculate parameter to ‘On each tick’.

Alerts

  • When the Ease Of Movement crosses zero

Signals

Strong LongWhen the histogram is above zero and rising
Weak LongWhen the histogram is above zero and falling
NoneWhen the histogram is zero (almost never)
Weak ShortWhen the histogram is below zero and rising
Strong ShortWhen the histogram is below zero and falling

Settings

SmoothingThe smoothing period
Volume divisorThe value used to calculate the box ratio
LinesEnable this to plot the line behind the price bars
Zero lineThe style of the zero line
Ease of MovementThe style of the Ease of Movement plot, default a histogram.
Note that this plot will be colored automatically based on the signal (so it has four colors).