The stochastic momentum index (SMI) is a technical analysis indicator that shows price momentum by calculating its closing price distance relative to its median high-low price range. The SMI attempts to improve upon the traditional stochastic oscillator. What Is the …
The stochastic oscillator is a technical analysis momentum indicator used by traders to determine momentum based on a particular asset’s price history. It shows the close relative to the high-low range across several periods. What Is the Stochastic Oscillator? An …
Moving averages are a technical analysis tool that smooths price data over a specific period. This smoothed price line helps limit the impact of random, short-term market movements that make it harder for traders to spot trends. We will cover …
A tick chart draws a new bar after a set number of trades. A time-based chart creates a new bar after every period, such as one hour. Tick charts offer many benefits over time-based charts for higher-frequency traders. This post …
Support and resistance lines are technical analysis tools predicting where an asset’s price will tend to stop and reverse. Without breaking through, multiple touches of the resistance area, often accompanied by high volume, denote these levels. The concept of support …
The relative strength index (RSI) is a technical analysis momentum oscillator that indicates potentially overbought and oversold conditions based on an asset’s recent closing price changes over a trading period. The RSI oscillates between zero and 100 and is considered …
Traders using technical analysis attempt to profit from supply and demand imbalances. Technicians use price and volume patterns to identify these potential imbalances to profit from them. Algorithmic chart pattern detection allows traders to scan more charts while eliminating bias. …
In stock trading, the high and low refer to the maximum and minimum prices in a given time period. Open and close are the prices at which a stock began and ended trading in the same period. Volume is the …
Keltner Channels are a technical indicator that combines an exponential moving average with volatility-based envelopes set above and below the EMA at a fixed percentage of the same duration. Keltner Channels aims to identify the underlying price trend and over-extended …