Posts (page 14)
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6 min readThe Elder-Ray Index is a technical analysis tool developed by Dr. Alexander Elder for evaluating the strength of stock price trends and identifying potential trading opportunities. It consists of two components: the Bull Power and Bear Power.The Bull Power is calculated by subtracting the 13-day exponential moving average (EMA) of the high prices from the daily high price. It represents the buying pressure in the market.
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12 min readWhen it comes to scalping, candlestick patterns play a crucial role in identifying potential short-term price movements. Candlestick patterns are visual representations of price action that can help traders make quick decisions based on the patterns formed by the open, high, low, and close prices of an asset.Scalping is a trading strategy where traders aim to make profits from small price movements within a short period.
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6 min readThe Mass Index indicator is a technical analysis tool that is used to identify potential reversals in the price trends of stocks, commodities, or other financial instruments. It was developed by Donald Dorsey in the 1990s.To apply the Mass Index indicator in trading, you need to follow these steps:Calculation: The Mass Index calculates the volatility dispersion by analyzing the difference between high and low prices over a specified number of periods. The default setting is usually 25 periods.
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16 min readMoving Min is a concept used in swing trading to identify the lowest point or the bottom level of a particular stock or trading instrument within a given time frame. It helps swing traders determine potential entry points to buy a stock when the price is at its lowest level before a potential upward trend. The basics of using Moving Min for swing trading involve the following:Time frame selection: Traders need to decide on a specific time frame for their swing trading strategy.
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9 min readThe Awesome Oscillator is a popular technical indicator used by traders to identify potential buying and selling opportunities in the market. It displays the underlying market momentum by comparing the current 34-period simple moving average with the 5-period simple moving average of the midpoints of each bar.
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6 min readThe Ultimate Oscillator is a technical analysis tool that is used to measure the momentum of a security over three different time periods. It was developed by Larry Williams and is widely used by traders to identify price reversals and overbought/oversold conditions.The Ultimate Oscillator combines the concepts of both momentum and oscillators to provide a more comprehensive view of a security's price action.
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12 min readThe Volume Price Trend (VPT) is a technical analysis indicator used to measure the strength of a financial asset's price movement in relation to its trading volume. It is based on the principle that changes in volume can provide valuable insights into the price trend and the buying or selling pressure in the market.The VPT is plotted as a continuous line on a chart, typically beneath the price chart. It is calculated by multiplying the percentage change in price by the volume.
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7 min readThe Trix (Triple Exponential Average) indicator is a technical analysis tool widely used in trading to identify trend reversals and generate buy or sell signals. Developed by Jack Hutson in the early 1980s, Trix is a momentum oscillator that focuses primarily on the rate of change of an asset's price.Unlike traditional moving averages that smooth out price data, Trix is calculated by applying multiple exponential moving averages (EMAs) in a successive manner.
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12 min readThe Chande Momentum Oscillator (CMO) is a technical analysis tool that measures the momentum of a financial instrument's price movement. It was developed by Tushar Chande and is used by traders to identify overbought and oversold conditions in the market.To apply the CMO in trading, you would typically follow these steps:Calculate the CMO values: Begin by selecting a period over which you want to calculate the oscillator.
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20 min readIchimoku Cloud is a popular technical analysis tool that originated in Japan. It consists of several components, including the Kumo (cloud), Tenkan-sen (conversion line), Kijun-sen (base line), Senkou Span A (leading span A), and Senkou Span B (leading span B). In intraday trading, the Ichimoku Cloud can provide valuable insights into market trends and potential entry and exit points.
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11 min readThe Relative Vigor Index (RVI) is a technical indicator used in trading analysis to measure the conviction or forcefulness of a price trend in the financial markets. It helps traders determine whether a price movement is sustainable or likely to reverse.The RVI is based on the concept that in a bullish market, prices tend to close higher than their opening prices, and in a bearish market, prices tend to close lower than their opening prices.
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7 min readThe Money Flow Index (MFI) is a technical indicator used in trading strategies to measure the strength and direction of money flowing in and out of a security. It provides insights into overbought and oversold conditions of a financial instrument.The MFI is calculated using a combination of price and volume data. It combines these elements to identify potential trend reversals and the presence of buying or selling pressure in the market.