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Fractal Chaos Oscillator

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The chaotic nature of stock market movements explains why it is sometimes difficult to distinguish daily charts from monthly charts if the time scale is not given. The patterns are similar regardless of the time resolution. Like the chambers of the nautilus, each level is like the one before it, but the size is different. To determine what is happening in the current level of resolution, the fractal chaos oscillator can be used to examine these patterns.

A buy signal is generated when the oscillator tops, and a sell signal is generated when the oscillator bottoms.

Recommended Parameters
Periods: 21

set BUY = FCO(21) > REF(FCO(21),1)

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