PPMCC is short for Pearson product-moment correlation coefficient (Pearson’s PCC).
The PPMCC Metatrader 5 indicator displays the linear relation between the moving average values of two instruments alternating from -1 to +1.
A positive correlation is marked when the chart is above zero, while the correlation stays negative when below zero.
The value zero denotes the absence of correlation.
Five important input parameters are available on the PPMCC:
Period – defines the calculation for the Moving Average
First symbol name – defines the name of the first forex pair
First symbol applied price – defines the calculation price for the first forex pair
Second symbol name – defines the name of second forex pair
Second symbol applied price – defines the calculation price for the second forex pair
Inputting an invalid symbol name for the first symbol, the second one or even on both will see the PPMCC MT5 indicator print an error message to the log.
The first symbol that is on display within the setting can differ from the one that is being run by the indicator.
A scenario like this will mean the indicator values will get updated only when a fresh tick of the symbol is displayed; one the indicator is running on.
To be able to do this the indicator requires the symbols data to work with.
MT5 Indicator Characteristics
Currency pairs: Any
Platform: Metatrader 5
Type: chart window indicator
Customization options: Variable (Period, First symbol name, First symbol applied price, Second symbol name, Second symbol applied price), Colors, width & Style.
Time frames: 1-Minute, 5-Minutes, 15-Minutes, 30-Minutes, 1-Hour, 4-Hours, 1-Day, 1-Week, 1-Month
Copy and paste the PPMCC.ex5 indicator into the MQL5 indicators folder of the Metatrader 5 trading platform.
You can access this folder from the top menu as follows:
File > Open Data Folder > MQL5 > Indicators (paste here)