This study is available for free and is included with the eSignal software.
It is a “Swiss army knife” tool for displaying and analyzing price swings of different magnitudes. This tool generates a series of zigzag lines connecting successive swing highs and swing lows. Accordingly, we are able to filter out the random noise in price fluctuations and focus our attention on the magnitude and speed of the up moves and down moves of price and their relationships to one another.
As well as plotting the basic zigzag line, this tool has the additional capability of displaying the following information about the price swings:
The basic Arps Universal Swing Tool connects alternate swing highs and swing lows using a proprietary pattern-recognition algorithm that is universally applicable to all charts on any time frame. The size of the swings to be recognized is controlled by a User Input, “Sensitivity”, which works like a volume control on a radio.
Access how-to-use information on the Jan Arps Crown Jewels, including the Universal Swing Tool.