Rate Of Change Earnings Move - ROCEMRate Of Change Earnings Move
What is it and how does it work?
The Rate of Change Earnings Move indicator or ROCEM is an indicator designed for giving the user an idea of how much a stock has moved up or down in past earnings reports. This is ideal for options traders who can use ROCEM to calculate whether or not their long straddles are actually probable of happening.
How it works
The indicator measures the absolute value rate of change and then calculates the average rate of change for the day of the earnings report for the past 8 earnings reports (2 years). It then takes the current stock price and finds the upper and lower price based on the average rate of change for past earnings.
I have also included a moving average (purple line), use this to see if the current rate of change is higher than usual.
Additionally, earnings reports are marked with a red x on the indicator.
How to trade ROCEM
This is primarily made for options trading so I will be explaining how it can be used for that. It is not suited for traditional stock trading as it does not determine a market direction.
Select a stock with an upcoming earnings
Enter your per leg commissions in the indicator if you want it to calculate new upper and lower prices (makes it easier to determine if the options trade will pass the breakeven when commissions are factored in)
Compare your long straddle breakevens with the upper and lower prices of the indicator. If the upper breakeven is smaller than the upper price in ROCEM and the lower breakeven is larger than the lower price in ROCEM, then a long straddle position could be considered a reasonable trade based on past earnings performance.
שיעור השינוי (ROC)
Multiple Rate Of ChangeConvergence of Multiple period Rates of Change near the Zero line shows contraction in volatility.
Soon we can expect expansion in volatility.
Ideal strategy would be to buy ATM Straddles when different period ROCs converge near Zero line.
(Also check implied volatility of options before going for this strategy)
RVol & RoC - Relative Volume & Rate of Change by haciyatmazRelative Volume ( RVol ) is a critical measure of volume flows. It measures current volume in relation to the "usual" volume for this time of the day.
Rate of Change ( RoC ) is a momentum-based technical indicator that measures the percentage change in price between the current price and the price a certain number of periods ago.
Rate of Change w/ Moving AverageThis is a small spin on the Rate of Change (ROC) indicator where I overlay a simple moving average of the indicator over the prior days.
ROC Divergence — SharkCIAThis script helps to identify ROC pivot points and aims to show you when the trend has changed direction.
[RESEARCH] Rate of ChangeHello traders and developers!
I was wondering how built-in "roc" function in Pine is defined and calculated so I made a little research.
I examined 4 samples:
1) "roc" function itself
2) "roc" according to its description
3) price change ratio
4) price percent change ratio
The results of the first and fourth samples are identical.
So, TV built-in roc(source, length) = 100 * change(source, length) / source .
And it's description is incorrect.
If you didnt know it - now you know it.
Good luck!
TRIXThis indicator was originally developed by Jack K. Hutson (Stocks & Commodities (July 1983): "Good TRIX").
Percent Change Smoothed (PCT + EMA)ROC works great on data with only positive numbers (like prices).
But it fails to correctly represent the rate of change when source series have negative values.
ROC is positive when:
Source is positive AND Source is rising
OR Source is negative AND Source is falling
Percent change (PCT) is just a ROC that deals with this sign confusion.
Anyone with Data Science backgroud would likely know about it.
PCT is positive only when:
Source is rising
When applying to only positive data PCT = ROC they are exactly equal.
I've also added EMA smoothing option.
Enjoy!
modificated rate of changeBased on ROC this indicator has been smoothed with filter and the zero line changed by a longer period of inverted ROC filtred as well . Buy/sell at the cross.
Closing Leverage and Rate of ChangeShows BTCUSDLONGS vs BTCUSDSHORTS along with their rate of change on a scale that's friendly for a combined indicator. ROC is increased proportionally so you can see it in relationship to Open Shorts and Open Longs on the same graph without zooming. I had been using an offset as well, but using an offset to adjust position causes the highs to look lower and it makes the lows look less low. It was significant enough to seem like a bad idea to include.
Inverse Fisher WMA Smoothed Price ROC and RSI by drnkkInverse Fisher WMA Smoothed Price ROC and RSI by drnkk
Smoothed Rate of ChangeSmoothed Rate of Change indicator script.
This indicator was originally developed by Fred G. Schutzman.
Tick Line Momentum OscillatorTick Line Momentum Oscillator indicator script. This indicator was originally developed by Daniel E. Downing (Stocks & Commodities, V.12:1 (42-44): Using The Tick In A Short-Term Indicator).
Forex strength meterCalculates the strength of a particular currency taking into account it's rate of change (% price change in a period) in all correlated and anti-correlated pairs. For instance, when looking for USD strength we will add ROC for USDCAD, USDCHF and USDJPY while subtract AUDUSD, EURUSD, GBPUSD and NZDUSD.
After ROC step, one can smooth the result using EMA, or MACD.
As the script needs to fetch values from multiple currencies it isn't the fastest one, but it gets its job done.
Important: Only major currencies (AUD, CAD, CHF, EUR, GBP, JPY, NZD and USD) are considered.
ROC TideAdds some depth to the traditional rate of change (ROC) indicator. Instead of just having one ROC line with a single lookback period, this takes a minimum lookback period, n , and plots 20 ROC lines with lookback periods of n, 2n, 3n, ..., 20n . These lines will appear green when greater than zero, red when less than zero, and yellow when equal to zero by default.
Then it plots the average of those 20 ROC's as a yellow filled area so as to make it easier to see where the balance (or "tide") of the ROC waves are located.
JPY GBP ROCsRate of change of most volatile JPY and GBP pairs. All pairs ending in JPY are red except GBPJPY (colored yellow --currently most volatile 7/2016). GBPNZD is blue, the other GBP pairs are green, lime and teal. GBPJPY and GBPNZD are my favorite day trading / swing trading pairs. This script allows me to see the action of the most volatile and liquid pairs on one screen. JPY pairs (ex-GBPJPY) are all red so that I see the flow of JPY not so much each pair and its name. Global movement of JPY is what I am after. Same for the coloring of GBP pairs as green expect GBPNZD as blue. ***** EURGBP is plotted as an opposite (with a negative in front of its sma. EURGBP is extremely correlated to GBPNZD, I decided to plot it also.
