Indicator Description

ADTM (Dynamic Trend Momentum) is a trend indicator that reflects the strength and direction of market trends by calculating price trend changes.

Function Information

• Function Name: ADTM
• Input Parameters: High, Low, Close
• Parameter Settings: timeperiod1 (default: 21), timeperiod2 (default: 8)
• Output: adtm, ma

Calculation Principle

ADTM is calculated using the following formula:

DTM = IF(Open > Close, High - Open, 0)
DBM = IF(Open < Close, Open - Low, 0)
STM = SUM(DTM, timeperiod1)
SBM = SUM(DBM, timeperiod1)
ADTM = IF(STM > SBM, (STM - SBM) / STM, IF(STM = SBM, 0, (STM - SBM) / SBM))

Where DTM is the upward driving force and DBM is the downward driving force.

Usage Scenarios

1. Trend direction judgment
2. Trend strength analysis
3. Trend reversal identification