# Technical Studies Reference

### Average Price for Bar

This study calculates and displays an Average Price for each bar in the chart. The type of average is determined by the Average Fomrula Input.

Let $$O$$, $$H$$, $$L$$, and $$C$$ be random variables denoting the Opening, High, Low, and Closing Prices, respectively, and let $$O_t$$, $$H_t$$, $$L_t$$, and $$C_t$$ be their respective values at Index $$t$$. Then we denote the Average Price for Bar at Index $$t$$ as $$\overline{P}_t$$, and we compute it for $$t \geq 0$$ as follows.

$$\overline{P}_t = \displaystyle{\frac{H_t + L_t}{2}}$$

$$\overline{P}_t = \displaystyle{\frac{H_t + L_t + C_t}{3}}$$

$$\overline{P}_t = \displaystyle{\frac{O_t + H_t + L_t + C_t}{4}}$$

$$\overline{P}_t = \displaystyle{\frac{H_t + L_t + 2C_t}{4}}$$

#### Inputs

• Average Formula: This Input determines which average formula is used for calculating $$\overline{P}_t$$.