# Price Zone Strategy The Price Zone Strategy (PZS) was authored by Walid Khalil and David Steckler in the Stocks and Commodities Magazine, June 2011. The PZS uses price, previous price and moving averages to compute its oscillating value. It is a leading indicator that calculates buy and sell signals based on oversold / overbought conditions. The PZO system also uses a 60 period Exponential Moving Average and a 14 period Average Directional Movement Index (ADX). The user may change the input (close) methods and period lengths. This indicator’s definition is further expressed in the condensed code given in the calculation below. #### How To Trade Using The Price Zone Strategy Review the article in the Stocks and Commodities magazine and use back testing to help determine the optimum input values. #### Calculation //input = price, default is closing price //method = moving average,default is EMA\ //Period = rsi slow period default is 14\ //maPeriod = default is 60\ //index = current bar number ``` Code may be available on request. ``` --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.motivewave.com/strategies/price-zone-strategy.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.