Variable Index Dynamic Average - VIDYA

 

Parameters:

• Color - plot color
• Line Type - The type of plot to draw
• Label - The text that identifies the plot
• VIDYA Period - The VIDYA period
• Volatility Period - The volatility period

Description:

Another moving average by Tuschar Chande. The indicator is essentailly a dynamic exponential moving  average. An index is used inside VIDYA to govern its speed making it adaptive as a function of volitility. As  short-term volatility increases, VIDYA's exponential moving average is designed to move faster, and as  volatility decreases, VIDYA slows down. The index used in this implementation is another Chande indicator  CMO the Chande Momentum Oscillator. There are two input parameters: Vidya Period (the exponential  constnt) and the Volitility Period (the period over which the CMO is calculated). More info can be founed in  The New Technical Trader by Tushar Chande and Stanley Kroll.

Formula Reference:

Syntax	VIDYA(ARRAY INPUT, VIDYA Period, Volatility Period)
Function
Example	VIDYA(Close, 14, 10)