Stochastic Strategy
- 3 Types of Stochastic Oscillators
- How Stochastic Works
- Oscillator Overbought and Oversold Levels
- Technical Analysis of Stochastic Oscillator
- Stochastic Cross Over Signals
- Stochastic Divergence Signals
- Stochastics System
Stochastic Strategy
Stochastic Oscillator indicator is an oscillation indicator that measures momentum of indices.
Stochastic Oscillator indicator is based on the idea that in an upward trend stock indices price action tends to close at the high of the price candlestick and during a downward trend stock indices price action tends to close at the low of the price candle.
Stochastic Oscillator indicator shows the strength of the current stock market trends & it shows regions of oversold and overbought levels.
Stochastic Oscillator indicator is one of the most oftenly used technical indicator, many traders act on stochastic signals hence the trading signals of this indicator become self predicting.
Stochastic Oscillator indicator is used to identify certain chart patterns, such as divergences.
Stochastic Oscillator indicator can give very early predictions of trading price activity, thus Stochastic Oscillator indicator is a Leading indicator.
Stochastic Oscillator indicator gives more trading signals than other main momentum indicators, and these momentum indicators should be used together with other indicators.
Stochastic Oscillator indicator is comprised of two lines one called the fast line & the other slow line. These 2 lines move in direction of the trend.
Stochastic Stock Indicator - Stochastic Oscillator Strategy
