'********************************************************************** '* Z-Score Indicator '* by Jeremy Williams '* February 21,2006 '* '* Adapted from Technical Analysis of Stocks and Commodities '* February 2003 '* '* Summary: '* '* This indicator measures the normalized distance from the '* N period Moving Average using the statistical formula for Z-value. '* For more information see "Z-Score Indicator" in the '* February 2003 edition of Technical Analysis of Stocks and '* Commodities. '* '* Parameters: '* '* N= Specifies the number of Periods used for the Average and '* Standard Deviation calculations used to determine the '* Z-Score. '* '******************************************************************** #Indicator #Param "N",20 Dim myAverage As Single Dim mySD As Single Dim Value As Single Dim OutValue As Single ' Value statement can be changed to other data series. For example, ' to calculate the Z-Score Indicator of the RSI use: ' Value = RSI(Periods) Value = C myAverage = Average(Value,N) ' Calculate the Average and Standard Deviation mySD = STD(Value,N) OutValue = Value - myAverage ' Calculate the Z-Score using the formula: OutValue = OutValue / mySD ' Z = ( Value - Average ) / Standard Deviation If Bar < N then ' At Initialization set OutValue to 0 until OutValue = 0 ' Standard Deviation is not zero. End If Plot("Z-Score",OutValue) ' Plot the Z-score and the 1-Std. Dev. Band PlotLabel(-1) PlotLabel(1) Return OutValue ' Return the Z-value