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Balance Of Power (BOP) by Igor Livshin

Igor Livshin's balance of power (BOP) indicator, described elsewhere in this issue, can be considerably simplified for efficient implementation. If you do the math, you'll find that the raw BOP is actually equivalent to (Close-Open) / (High-Low). Given this, TradeStation's EasyLanguage version of this indicator is written as follows:

Type : Indicator, Name : Balance Of Power

inputs: Length(14);
variables: BOP(0);
BOP = ( Close - Open ) / ( High - Low );
Plot1( Average( BOP, Length ) ) ;

The indicator includes the default value of 14 for the smoothing average, and this can be edited at the time the indicator is applied to a chart.

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