Traders' Tips by Technical Analysis, Inc.
METASTOCK PROFESSIONAL 3.0
The June 1992 issue of S&C presented an indicator called the mass index developed by Donald Dorsey.
The indicator is a 25 day moving sum of a ratio of two moving averages. The numerator of the ratio is the
exponentially smoothed moving average of the daily ranges. The denominator of the ratio is the
numerator smoothed a second time using the same exponential moving average. The exponential moving
averages use a smoothing factor (alpha) equivalent to a nine-day simple moving average.