How to calculate Stochastic Oscillator in Swift
Stochastic Oscillator helps traders identify potential trend reversal points by comparing a security's closing price to its price range over a set period.
To calculate the stochastic oscillator (STOCH) in Swift, you would need to follow these steps:
- Obtain the historical data for the security you are analyzing. This data should include the closing prices and high and low prices for each period (e.g. daily, weekly, etc.).
- Calculate the %K line by applying the formula:
%K = (Current Close - Lowest Low) / (Highest High - Lowest Low) * 100
- Calculate the
%D
line by taking the average of%K
over a certain number of periods, usually 14 periods. - Finally, you can plot the
%K
and%D
lines on a chart to visualize the data.
The code can be something like this:
func calculateSTOCH(closingPrices: [Double], highPrices: [Double], lowPrices: [Double]) -> ([Double], [Double]) {
var kLine: [Double] = []
var dLine: [Double] = []
for i in 0..<closingPrices.count {
let low = lowPrices[max(0, i-14)..<i+1].min()!
let high = highPrices[max(0, i-14)..<i+1].max()!
let k = (closingPrices[i] - low) / (high - low) * 100
kLine.append(k)
}
for i in 3..<closingPrices.count {
let d = kLine[(i-3)..<i].reduce(0, +) / 3
dLine.append(d)
}
return (kLine, dLine)
}
Please note this is a sample code and it could be different based on your data structure and the way you handle it but it should give you a good idea on how to start. Also, the period of 14 is a standard but you can adjust it to your needs.