How to create the Mansfield Relative Performance Indicator
#9
(05-02-2014, 10:58 PM)zehjmz Wrote: Today, 2 May you created posted a plot of IRDM on the watchlist. What settings did you use to create this chart in stockcharts? Specifically the relative performance versus the S&P.

Hi zehjmz, attached is a screenshot with the stockcharts settings that I use on the weekly charts. Most of the settings are available on their free charts, but adding the moving averages to the indicators like I do to create the "zero line" on the relative performance is a stockcharts subscriber only feature.


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isatrader

Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill – Reminiscences of a Stock Operator.
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#10
If I were looking at the daily chart of IRDM, do I need to change the overlay parameter for moving avg. , volume and relative strength to daily or other numbers or just leave the way they were ?
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#11
(11-10-2014, 08:40 PM)CH868 Wrote: If I were looking at the daily chart of IRDM, do I need to change the overlay parameter for moving avg. , volume and relative strength to daily or other numbers or just leave the way they were ?

Yep, on the relative performance the daily setting of the overlay parameter for moving avg should change to 200 which will give you slighter faster zero line, or you can use the rough equivalent to the 52 weeks which is a setting of 253 approximately on the daily.

For a marked up chart, see the first post in the Stage Analysis Study Guide Thread here: http://stageanalysis.net/forum/showthread.php?tid=47
isatrader

Fate does not always let you fix the tuition fee. She delivers the educational wallop and presents her own bill – Reminiscences of a Stock Operator.
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#12
Isatrader, that was a very helpful post. Thank you.

For traders who are using amibroker, you can find the code for replicating the mansfield relative strength indicator here:

_SECTION_BEGIN("RelativeStrength");
/* Relative Strength Comparison with Relative Strength Moving Average*/

RP = Close / Foreign( "^STI", "Close" ) * 100 ;
MARP = MA(RP,52);

MRP = (( RP / MARP) - 1 ) * 100 ;

Plot (MRP, "Relative Strength", colorBlack,styleHistogram );

_SECTION_END();

Clarification: ^STI refers to the Straits Time Index (the Singapore stock market index).
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#13
(05-27-2013, 06:16 PM)isatrader Wrote:
Code:
RP = ( stock_close / index_close ) * 100

And then a 52 week moving average is added to the indicator to show the zero line.

So the longer version is:

Standard Relative Performance = (today's close of the stock divided by today's close of the index) * 100


Mansfield Relative Performance indicator

The formula of this indicator is a bit more difficult than the regular Standard Relative Performance indicator:

Code:
MRP = (( RP(today) / sma(RP(today), n)) - 1 ) * 100

Where:
RP = Standard Relative Performance indicator (see above)
SMA = Simple moving average over n days.
n = 52 for weekly charts, and n = 200 on daily charts

So to make it a bit clearer:

Mansfield Relative Performance = (( Today's Standard Relative Performance divided by Today's Standard Relative Performance 52 Week Moving Average )) - 1) * 100

I hope the above calculations all make sense, but if you need further assistance then chartmill.com did a good article on it which you can find here: http://www.chartmill.com/documentation.p...20Strength

Does anyone know how to set this up in Thinkorswim (TOS)?
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#14
I posted detailed instructions for TOS but not sure which thread....I'll check my trading journal it may be under US stocks watchlist if you can search it may be there

Found it! Page 181 of the US stocks watchlist...

http://stageanalysis.net/forum/showthrea...4&page=181
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#15
This is perfect! Thank you so much. I have been racking my brain on this for a while, so this will be very helpful. I really appreciate it.
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#16
I was looking at your version of the (Mansfield) market relative strength and was unable to get it looking like the charts in Stan's book. For instance on page 246 there is a chart for Diamond-Bathurst (see below). Whilst I'm not really concerned about the numbers in the scale I'd like to try and get the points where is crosses the zero line more or less the same.

W.

From page 246
[Image: Mansfield%20Page%20246.png]

Per the formula in the thread:
[Image: MansfieldRPI.png]


My version where indicator moves between +10 and -10. Whilst the numbers are not the same the points where the indicator crosses the zero line are much closer to those in the book.

[Image: Relative%20Performance%20Indicator.png]
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