Random Walk Index

This thread is pretty old and I’m not a coder but I was wondering if anyone would happen to have this indicator stashed away anywhere. There is another thread out there started by raff1410 but the indicator is unfortunately not quite the standard indicator. Raff took the general concept and made a channel-type of system out of it.

It is basically a dynamic ADX that registers inefficiencies in a fixed look-back period by using the average true range as a dyamic telltale for random vs. continuous (predictable) events.

For a visual explaination and technique please refer to here on page 286:

Technical Analysis from A to Z … - Google Book Search

This is the formula from the following website:

Random Walk Index - MetaStock / Oscillators, indicators, systems for Metastock, Tradestation, Amibroker, Wealth-Lab and Metatrader - forex, futures, stock,commodities.

Random Walk Index

Max((Ref(HIGH,-1) - LOW) / ((Ref(Sum(ATR(1),2),-1) / 2) * Sqrt(2)),

Max((Ref(HIGH,-2) - LOW) / ((Ref(Sum(ATR(1),3),-1) / 3) * Sqrt(3)),

Max((Ref(HIGH,-3) - LOW) / ((Ref(Sum(ATR(1),4),-1) / 4) * Sqrt(4)),

Max((Ref(HIGH,-4) - LOW) / ((Ref(Sum(ATR(1),5),-1) / 5) * Sqrt(5)),

Max((Ref(HIGH,-5) - LOW) / ((Ref(Sum(ATR(1),6),-1) / 6) * Sqrt(6)),

Max((Ref(HIGH,-6) - LOW) / ((Ref(Sum(ATR(1),7),-1) / 7) * Sqrt(7)),

Max((Ref(HIGH,-7) - LOW) / ((Ref(Sum(ATR(1),8),-1) / 8) * Sqrt(8)),

(Ref(HIGH,-8) - LOW) / ((Ref(Sum(ATR(1),9),-1) / 9) * Sqrt(9)) )) )) )) )

And here is another visual example but the explaination and settings here are not the best:

Investor/RT Tour - Random Walk Index

It seems relatively simple to put together; if any coders have a few minutes to spare the uses are endless and it would be a good add-on to any system. I can help with some explainations if anyone is interested.

Regards,