Indicator Description
MIKE (Mike Indicator) is a support and resistance indicator that reflects the market's trading range and trend changes by calculating support and resistance levels for different periods.
Function Information
- Function Name: MIKE
- Input Parameters: High, Low, Close
- Parameter Settings: timeperiod (default: 13)
- Output: wr, mr, sr, ws, ms, ss
Calculation Principle
MIKE is calculated using the following formula:
CDP = (High + Low + Close) / 3
WR = CDP + (High - Low) * 1.1 / 12
MR = CDP + (High - Low)
SR = CDP + (High - Low) * 1.1
WS = CDP - (High - Low) * 1.1 / 12
MS = CDP - (High - Low)
SS = CDP - (High - Low) * 1.1Where WR/MR/SR are weak/medium/strong resistance levels and WS/MS/SS are weak/medium/strong support levels.
Usage Scenarios
- Support and resistance judgment
- Price range analysis
- Trend reversal identification
- Trading signal generation
Usage Recommendations
- Price breaking above resistance can be seen as a sell signal
- Price breaking below support can be seen as a buy signal
- Use in combination with different periods
- Pay attention to changes in range width