CSI (Function)

The CSI series function calculates the Commodity Selection Index (CSI) developed by Wells Wilder.

Syntax

CSI(MyMargin,MyCommission,Length)

Returns (Double)

A numeric value for the current bar.

Parameters

Name	Type	Description
MyMargin	Numeric	Sets the initial margin required to open a position.
MyCommission	Numeric	Sets the round-turn commission expected to be paid.
Length	Numeric	Sets the number of bars to consider in the ADXR calculation.

Remarks

The value for MyMargin, MyCommission, and Length input parameters should be a number greater than 0.

Wilder's approach was to trade commodities with high CSI values relative to other commodities. Because these commodities tend to be highly volatile, they have the potential to make the most money in the shortest period of time. The CSI is calculated using the ADXR component of the DirMovement (Directional Movement) function.

Example

Assigns to Value1 the Commodity Selection Index (CSI) value using a 20 bar directional movement length, for an electronic future, then plots Value1.

Value1 = CSI (5550, 8.00, 20);

Plot1(Value1, "CSI");

Reference

Wilder, J. Welles, Jr. New Concepts in Technical Trading Systems (Greensboro, NC: Trend Research, 1978).