Mathematical Operations On Indicators
Some purely mathematical operations, found to be useful for development of neural network trading systems, have also been provided and are listed below.
- Detrend by Least Squares
- Detrend by First Differences. Same as differentiation
- FFT of Indicator. Good for detecting cycles in market behavior.
- Limit and Set to Zero (LIM) This operation is useful for eliminating outliers
- Summation (SUM). Same as integration
- Multiply by a Scale Factor
- Add (or subtract) a Bias