Coppock Curve

A slow momentum line built to show when a long fall turns.

What it measures

Coppock is a weighted moving average of the sum of two rates of change, one longer and one shorter.

How traders read it

Traders, originally on monthly index charts, read a turn up from below zero as the start of a recovery. On hourly bars it is just a smoothed momentum line.

Formula

Coppock = WMA(ROC(firstRoCPeriods) + ROC(secondRoCPeriods), wmaPeriods)

Settings and output

Call: coppock(firstRoCPeriods, wmaPeriods, secondRoCPeriods)

Setting	Chart default
`firstRoCPeriods`: First ROC Periods	14
`wmaPeriods`: WMA Periods	10
`secondRoCPeriods`: Second ROC Periods	11

What you get: a number.

Warm-up: with coppock(14, 10, 11), it asks for 15 bars of history and a run-up of 10, and its first value came on bar 25 of the example data.

Chart

Coppock Curve drawn by its own code on example prices

The prices are made up, hourly, and the same on every page, so the chart shows how the indicator behaves, not how a market behaved.

In an algorithm

let previous;

function onIntervalClose() {
  const value = coppock(14, 10, 11);
  if (OPEN_POSITIONS_COUNT === 0 && previous !== undefined && value < 0 && value > previous) {
    openPosition("BUY", { quantity: 10000, stopLossPips: 30, takeProfitPips: 60 });
  }
  previous = value;
}