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| Demarker (DeM) |
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| Demarker (DeM) |
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| Demarker (DeM) |
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| Demarker (DeM) |
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| Demarker (DeM) |
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| Demarker (DeM) |
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| Demarker (DeM) |
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| Demarker (DeM) |
The Demarker indicator - DI (DeM) is named after Tom Demarker who claims to have developed this indicator to overcome the shortcomings of other overbought/oversold oscillators. An indicator used in technical analysis that compares the most recent price action to the previous period's price in an attempt to measure the demand of the underlying asset. There are different versions of it in the market; in some cases the indicator uses 0 and 1 as the maximum and minimum of oscillation, while in others the typical 0-100 range is preferred. The DeMarker Indicator - DI (DeM) is similar to the Directional Movement Indicators developed by Welles Wilder.
The DeMarker Indicator - DI (DeM) has developed a very good reputation for being able to accurately and consistently detect new trading opportunities for almost all types of trading markets. Generally, values above 60 (0,6) are indicative of lower volatility and risk, while a reading below 40 (0,4) is a sign that risk is increasing.
The Demarker indicator - DI (DeM) is common trading software, and the calculation formula sequence involves these straightforward steps:
Choose a predetermined period “X” (Standard value is “14”, although a value of “12” or “20” tends to be more sensitive);
Calculate DeMax = High – Previous High if >0, otherwise DeMax = 0
If HIGH(i) > HIGH(i - 1), DeMax(i) = HIGH(i) - HIGH(i - 1), otherwise DeMax(i) = 0
Calculate DeMin = Previous Low – Low if >0, otherwise DeMin = 0
If LOW(i) < LOW(i - 1), DeMin(i) = LOW(i - 1) - LOW(i), otherwise DeMin(i) = 0
DeM = MA of DeMax/(MA of DeMax + MA of DeMin)
DMark (i) = SMA(DeMax, N) / (SMA(DeMax, N) + SMA(DeMin, N))
