McGinley News (Official) - MetaTrader 5 Script | Trading Script Download - MT4/MT5 Resources

Reasons for this:

When almost all descriptions of an indicator look like this:

The McGinley Dynamic Indicator is a moving average designed to track the market better than existing moving average indicators. It is a technical indicator that improves the moving average by adjusting for changes in market speed…

Without going into too much detail, regardless of the explosive description, the original version is "slower" than the usual average (ie: lags more than the average to which it is usually compared (like the EMA or SMA)). Some might say this is intentional (to follow a "trend"), but we should leave that to others. The fact is that at the same time an "improved" formula appeared, apparently to bring the indicator value closer to the comparison value, and it is close to the EMA. This version can calculate both the original formula and the "improved" version. The original formula is:

Comparison of original formula with EMA and SMA (gray line)

Comparison of the "Improved" formula with the same EMA and SMA

Use it as any other averaging indicator applied to prices

Important:

As is obvious from the original formula, this indicator has a fatal flaw: if there are 0 values ​​in the series to which it is applied, the indicator cannot produce meaningful results. If should only be used on data that never has a value of 0

Attachment download

📎 mcginley_dynamic_average_jofficial2.mq5 (6.86 KB)

Source: MQL5 #31753