विवरण
One after the other, William Blau and Walter Bressert each presented a version of the Double Smoothed Stochastics. Two exponentially smoothed MAs are used to even out the input values (एच, L and C), in a similar way to the well-known stochastic formula.
Calculation
Calculation of the DSS indicator according to Bressert is similar to stochastics.
1.) The numerator: first the difference between the current close and the period low is formed. The denominator: here the difference between the period high minus the period low is calculated. Now the quotient of numerator and denominator is calculated, exponentially smoothed and then multiplied by 100.
2.) The method is analogous to 1.) with the distinction that now the prices of the newly calculated price series of 1.) प्रयोग किया जाता है.
पैरामीटर
The adjustable period length can be chosen from 2 को 500. The most common settings will have a period length ranging from 5 को 30. इसके साथ ही, the indicator can be smoothed in the interval from 1 को 50. Meaningful smoothing values lie in the short-term range.
Interpretation
The application of the DSS is comparable with that of the stochastic method. इसलिए, values above 70 या 80 must be regarded as overbought and values below 20 या 30 as oversold. A rise of the DSS above its center line should be viewed as bullish, and a fall of the DSS below its center line as bearish.
