The %F forecast oscillator by Tushar Chande shows deviation between today’s closing price and an N-day linear regression forecast (see Linear Regression) of that close. The deviation is expressed as a percentage of the close, so the formula is
close - forecast %F = ---------------- * 100 close forecast = linear regression of previous N days, at today
The N days prices for the linear regression start from yesterday’s close, and the forecast value is the line extended out to today. This forecast line is like the EPMA (see Endpoint Moving Average), but going out one day further. Chande suggests using a 5 day regression for short term trading, and that’s the default in Chart.
Copyright 2002, 2003, 2004, 2005, 2006, 2007, 2008, 2009, 2010, 2011, 2012, 2014, 2015, 2016, 2017 Kevin Ryde
Chart is free software; you can redistribute it and/or modify it under the terms of the GNU General Public License as published by the Free Software Foundation; either version 3, or (at your option) any later version.