Studies: Compare averages for different time frames


Q:  I am using 3min & 45 sec. charts on ES H7. On 3 min chart, I display 80, 90 & 100 bars MAs.

I wanted to display the exact same lines, on the 45 sec. chart. So, I started with 320 (80*4), 360 (90*4) & 400 (100*4) bars MAs, BUT the results were completely off.  After a bit of testing, I found that I had to use 3/4 of these values (ie., 240=80*3, 270=90*3, 300=100*3) to get the MAs match their counterparts on the 3 min chart.

Please investigate this, as it is obviously a bug.   No problem on the 90 sec chart, using 160 (80*2), 180 (90*2) & 200 (100*2) the MAs are displayed exactly like their counterparts on the 3 min chart.  It seems that the same type of problem also occurs with MACD & Stochastic.

A:  There is no bug.  It is not mathematically possible to get the same results just by changing the parameters for the averages like you are doing.  The expectation on your part in unrealistic, and a simple example can illustrate it.

Say the last 8 values for the 45 sec chart are as follows, and their corresponding 3 minute closes being every 4th value.

45 sec:   12 - 11 - 13 - 15 - 14 - 12 - 13 - 15        so the 8 period simple average on the 45 sec chart is 13.13

3 min:                           15                          15        so the 2 period simple average on the 3 min chart is a 15

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Last modified 12/28/07 4:37 PM