Special K

Creator: Martin Pring

Special K is a momentum indicator that combines short-term, intermediate-term and long-term performance and velocity of the instrument.

It calculates the performance of the instrument for various periods, smoothens it and weights is for different periods.

Below is the formula of the indicator:

Special K

10-Period Simple Moving Average of 10-ROC x 1

+ 10-Period Simple Moving Average of 15-ROC x 2

+ 10-Period Simple Moving Average of 20-ROC x 3

+ 15-Period Simple Moving Average of 30-ROC x 4

+ 50-Period Simple Moving Average of 40-ROC x 1

+ 65-Period Simple Moving Average of 65-ROC x 2

+ 75-Period Simple Moving Average of 75-ROC x 3

+100-Period Simple Moving Average of 100-ROC x 4

+130-Period Simple Moving Average of 195-ROC x 1

+130-Period Simple Moving Average of 265-ROC x 2

+130-Period Simple Moving Average of 390-ROC x 3

+195-Period Simple Moving Average of 530-ROC x 4)

The indicator attempts to identify primary trend turning points at an early stage.

It is a smoothen indicator, and when it turns up from the lower level, it indicates a bullish reversal. The indicator is considered bullish when it is rising and above its moving average. When the indicator falls below the average line, it is considered bearish.

The indicator table value in TradePoint & RZone also provides you with a list of all values of this indicator for any group of stocks. This will allow you to compare the readings of this indicator across different stocks.

The indicator is applicable to all types of charting. Calculated based on the number of columns on P&F charts, bricks on Renko charts, lines on Line-break charts, candles on Heikin ashi charts, and lines on Kagi charts. While the formula and reading of the indicators remain the same, they become more dynamic on these charts.

This indicator is also available in the System Builder of RZone & TradePoint for all charting methods. Using the system builder, you can develop various strategies based on the different conditions already present in this indicator. Additionally, it can be used with other indicators or price patterns to develop effective trading strategies. For any group of stocks and market segments, you can scan and backtest stocks based on those strategies.