jifPrice, Harmless Eccentricity, Needless Complexity, or Worthwhile Analytical Tool?

jifPrice = (Open + High + Low + Close + Close) *.2 ;

The EasyLnaguage code for the Function jifPrice is above, hence the semicolon at the end.

I sort of invented this in the early 2000s when I started using TradeStation. Price weightings are well known. Using this technique was impractical before the advent of computers and good data. Computers aren’t exactly Tomorrowland now, but good data is a relatively recent arrival on the scene.

I’ve been using this for moving average studies since then, not so much because I know what I’m doing; but mostly because of a personality quirk. I convinced myself it wasn’t worse to use this than just the close, so why not celebrate a semi-original contribution useless as it probably was.

When I developed the rate of change strategy algorithm this year, I was surprised to notice that it not only performed better with jifPrice than the close, jifPrice also beat the other usual weighted price suspects.

It should be noted that my testing process isn’t the most scientifically rigorous; I ran tests with the algorithm using other types of price and jifPrice beat them. I liked that result, but now plan to look at this more carefully in the near future.

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