Candlestick Parameters

EquityRT uses the following parameters for the recognition of patterns. You can change the parameter values on the Tools>Options>Candlesticks tab whenever you want.

The default values and descriptions of the parameters are:

Parameter Name	Default Value	Description	See Also
(Long Candle/Avg) Body Length Min. Ratio	2	A Long Candle’s body length should be greater than N times of the average body length of previous M lines.	Consecutive Trend Control Period parameter
Doji Max. Body Length (% of Avg Body Length)	0.1	A Doji’s body length should be less than N times of the average body length of previous M lines.	Consecutive Trend Control Period parameter
Very Short Shadow Max. Length (% of Candle Total Range)	0.01	This is a general parameter which is used in recognition of the most of the patterns (i.e. Gravestone Doji, Dragonfly Doji, Hammer) for the acceptance of the short shadow to be “No shadow”. The length of the shorter shadow should be less then N times of the total candle range.
Spinning Top Max. Body Length (% of Avg Body Length)	0.25	A Spinning Top's body length should be greater than N times of the average body length of the previous M lines.	Consecutive Trend Control Period parameter
(Long Legged Doji/Avg) Total Range Min. Ratio	2	Total line range is equal to or greater than N times of the average line range of the last M lines.	Trend and Averages Calculation Period parameter
(Hammer Shadow/Body Length) Min. Ratio	2	The longer shadow length of a Hammer(Inverterted Hammer, Hanging Man or Shooting Star) should be equal to or greater than N times of the body length.
Trend and Averages Calculation Period (n)	11	If the closing price of the last M lines before the pattern is greater/less then M period EMA of the closing price, then the trend is accepted to be Up/Down. This period is also used in the calculation of the average body lengths.	Consecutive Trend Control Period parameter
Trend Control	On(Off)	Trend determination is very important in the recognition of most candlestick patterns. When this parameter is “ON”, trend should be “true” (Up or Down, based on the pattern) for the last M lines.	Consecutive Trend Control Period parameter
Consecutive Trend Control Period (m)	1	This parameter is meaningful only if the Trend Contorl parameter is “ON”. Consecutive Trend Control Period is the minimum number of lines which is controlled for trend determination.	Trend Control parameter
Equality Acceptance %	0.005	When comparing two values whether they are equal or not, you can use this parameter to ignore the difference. The smaller of the two values is multiplied by the parameter and added to the smaller value. If the bigger value is less then this value then the two values are accepted to be equal.