The Vertical Horizon Filter(VHF) illustrates the trendiness of a particular security. It helps display whether prices are in a trending phase or a congestion phase.
If the VHF is rising, this may indicate a trend is forming. The higher the indicator, the better other trend-following indicators will work. Falling values may indicate that prices may be falling out of the trend and entering a congestion phase (the stock trades within a certain price range without much net up or down movement).
This indicator was created by Adam White and published in August,1991 issue of the “Futures” magazine.
Calculation:
HighestPrice = Seçilen Periodtaki en yüksek fiyat
LowestPrice = Seçilen Periodtaki en düşük fiyat
Inputs:
Price Field = Close
Indicates Open, High, Low or Closing price.
Period = 28
Indicates time period(the number of days for daily analysis, the number of weeks for weekly analysis, etc.).
Indicator Type: Trend