Module: ChaikinMoneyFlow

Included in:
Array
Defined in:
lib/ruby-technical-analysis/indicators/chaikin_money_flow.rb

Overview

Chaikin Money Flow indicator Returns a current singular value

Instance Method Summary collapse

Instance Method Details

#chaikin_money_flow(period) ⇒ Object 



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# File 'lib/ruby-technical-analysis/indicators/chaikin_money_flow.rb', line 6

def chaikin_money_flow(period)
  highs = []
  lows = []
  closes = []
  volumes = []

  each do |h, l, c, v|
    highs << h
    lows << l
    closes << c
    volumes << v
  end

  if highs.size < period
    raise ArgumentError,
          "High array passed to Chaikin Money Flow cannot be less than the period argument."
  end

  if lows.size < period
    raise ArgumentError,
          "Low array passed to Chaikin Money Flow cannot be less than the period argument."
  end

  if closes.size < period
    raise ArgumentError,
          "Close array passed to Chaikin Money Flow cannot be less than the period argument."
  end

  if volumes.size < period
    raise ArgumentError,
          "Volume array passed to Chaikin Money Flow cannot be less than the period argument."
  end

  if size < period
    raise ArgumentError,
          "Array passed to Bollinger Bands cannot be less than the period argument."
  end

  highs = highs.last(period)
  lows = lows.last(period)
  closes = closes.last(period)
  volumes = volumes.last(period)

  num_sum = 0
  vol_sum = 0

  (0..(period - 1)).each do |i|
    vol_sum += volumes[i]

    cml = closes[i] - lows[i]
    hmc = highs[i] - closes[i]
    hml = highs[i] - lows[i]

    num_sum += ((cml - hmc).to_f / hml) * volumes[i]
  end

  cmf = num_sum.to_f / vol_sum

  cmf.round(5)
end