Weighted Close Indicator

Description:

The Weighted Close indicator calculates an average price of the bar. The Weighted Close function calculates the average price of the bar by adding the high, low, and two (2) closes, and then dividing the sum by four. This results in an average price that gives more precedence to the close value. The close is given the most importance of all the price information of the bar. This function is useful as a substitute for the argument PRICE used in several functions.

Additional Analysis:

This indicator also monitors if the current trend has changed direction. The indicator identifies the current trend as follows:

An uptrend is identified when Plot2 > Plot2[1] and Plot1 > Plot2.
A downtrend is identified when Plot2 < Plot2[1] and Plot1 < Plot2. Note: If neither of the preceding two conditions are met, the trend is the same as it was on the previous bar.

Note: If neither of the preceding two conditions are met, the trend is the same as it was on the previous bar.