INSYNC INDEX Indicator for Tradestation and Multicharts

The Insync Indicator is easy to use and was conceptualised by Norm North in 1995, and is a consensus style oscillator indicator.

(Consensus indicators use many indicators to output a value)

A nice piece of code from Norm North of North Systems which uses a summation of 10 different components, ranging from commodity channel index, relative strength index (RSI) and money flow index to moving average convergence/divergence, Bollinger bands, among others.

 The Insync Index ranges from -65 to +65 and signals when the extreme point is reached and then retreats back from it. From that point on, you're on your own.

IMPORTANT note from Precision Trading Systems

Insync index contains two volume based indicators, Ease of Movement and Money Flow index.

These indicators each contribute scores of + 5 to - 5  to the consensus reading, and if you do not have trade volume enabled they will not assign the correct values, this effectively renders Insync useless.

So to make matters simpler I have added the input REALVOLUME = TRUE / FALSE to this indicator.

While this has the effect of reducing the range of Insync index to +55 and -55, ( if FALSE is selected )  it at least means that the two volume components are removed from the calculation and enable the remaining 8 indicators to work correctly. If this is not done, Insync will never reach the extreme points required to signal a trade.

Also you need to be aware, some version of Tradestation have a version of Money Flow Index which is not correctly coded.

I have the correct code here that can be used to replace the erroneous function. If you plot Money Flow Index in your Tradestation, and note how it looks, if the line is jerky and stepped, it the incorrect code version which does not follow the right formula as it was designed. If you need the correct code then please mail me.

How to use Insync Indicator

• Insync is best employed as a watch-dog over a large workspace of instruments, with alerts given when the extreme levels are reached.

• It is not an "Always in the market" indicator and hence needs to be protected with trailing stops. (Do not wait for the other extreme before exit trades)

• WARNING This indicator works well in sideways ranging markets, but is NOT SUITABLE FOR TRENDING MARKETS

• North intended buy signals when Insync reached -65 then rose away from it. Sell signals when reaching +65 and falling from it

• This indicator works well if the signals are confirmed with Candlestick patterns

• This indicator often works well on markets which are not profitable when testing trend following systems

• My studies show that trading when Insync is not at the full extreme points of +-65 reduce trading profits significantly.

• However you will see many great moves coming from 55 or 60 values, which will drive you insane....you have been warned

• Some of the shortcomings of Insync have been addressed in the Precision Index Oscillator shown at the bottom of the page

The Circles denote when Insync touched +65 and -65, you can see the last trade lost, showing you need trailing stops...

You will wait a long time for Insync to get to 65, so its best to make a radar screen and then attach an alert to it. 

The probability of a trades winning fades dramatically if you trade on 55 or 60, this is an annoying aspect 

All the subsequent high points after the long signal failed to reach 65, so the best policy is to exit on a trailing stop

If you like Insync Index you might be interested to see the Precision Index Oscillator below which is available for

 MetaTrader 4 (MT4), Tradestation, MultiCharts, NinjaTrader.

Introducing the Precision Index Oscillator PI-OSC

by Precision Trading systems

                Precision Index Oscillator can help you identify precise tops and bottoms on stocks futures and forex