Description

• Founded by Jack Huston, Trix indicator is a combination of (Rate of Change) and EMA (Exponential Moving Average)
• It oscillates above and below zero level, to give reversals
• To calculate TRIX, price is first averaged thrice and than Roc of triple smoothened average is calculated
• A moving average of Trix is also plotted along to give crossovers and early reversals

Interpretation

• TRIX crossing zero level in upward direction gives buy signal
• TRIX crossing zero level in downward direction gives sell signal
• Since its average is smoothened thrice, signals helps to catch good trends by giving few reversals

Default Parameters Used/Inputs

• Close Line
• Trix Period
• Avg Period

Returns/Output

TRIX value of stocks for the specified period

Formula

M = EMA(EMA(EMA ,Price ))
TRIX = 100 x [M – M-t / M ]