RecursiveMedianOscillator

Description

The Recursive Median Oscillator is a data analysis technique that combines two filters: the Recursive Median Filter and the Highpass Filter. The price data is initially smoothed out by the Recursive Median Filter to reduce impulsive value spikes and reject data wavelengths that are greater than the critical value. The output data is then run through the Highpass Filter to remove constant and very long wavelength components. The resulting oscillator is said to lag less and respond faster to larger price moves. 

Input Parameters

Parameter Description
lp length The critical period of the Recursive Median Filter. Data with wavelengths shorter than this will be passed, longer wavelengths will be eliminated.
hp length The critical period of the Highpass Filter applied to Recursive Median Filter output. Data with wavelengths shorter than this will be passed, longer wavelengths will be eliminated.

Plots

Plot Description
RMO The Recursive Median Oscillator plot.
ZeroLevel The zero level.

Further Reading

1. Technical Analysis of Stocks and Commodities, March 2018.

Example*

*For illustrative purposes only. Not a recommendation of a specific security or investment strategy.

  Past performance is no guarantee of future performance.