AiM.AEDM

Key Features

1. Designed specifically for daily charts
2. Computes Average Expected Daily Move in both dollar (AEDM$) and percentage (AEDM%) terms
3. Plots both AEDM$ and AEDM% for easy visualization on RadarScreen

How to Apply

1. Open a daily chart for your desired ticker symbol in TradeStation.
2. From the EasyLanguage shortcut bar, select "Indicators" and choose AiM.AEDM.
3. Apply the study to your chart.

Note: This study is designed for daily charts only and will not function on other timeframes.

Inputs to Adjust

1. Window (default: 21): The number of trading days used for volatility calculation.

Adjust this input based on your preferred analysis timeframe. A larger window will result in a smoother, less reactive indicator.

Interpreting the Results

1. AEDM$ (Plot1): Shows the expected daily move in dollar terms. This can help in setting price targets or stop levels.
2. AEDM% (Plot2): Displays the expected daily move as a percentage. Useful for comparing volatility across different price levels or assets.
3. Higher values indicate higher expected volatility and larger potential price moves.
4. Lower values suggest lower volatility and smaller expected price movements.
5. These values are averages; actual daily moves may be larger or smaller.

Additional Information

1. AEDM can be useful for setting realistic profit targets, stop-loss levels, or option strike prices.
2. Consider using this indicator in conjunction with other technical analysis tools for a comprehensive market view.
3. Remember that past volatility doesn't guarantee future price movement. Always use proper risk management in your trading decisions.

Note: This study is designed for educational and informational purposes only. It should not be considered financial advice. Always conduct your own research and consider consulting with a financial advisor before making investment decisions.