After RSI Stochastic is probably the second most used indicator among all other indicators.
Stochastic is a indicator that is used to measure the momentum of a stock's price trend. It compares the current closing price of a stock to its price range over a specified period of time, which is typically last 14 days or last 14 candles, and generates a reading between 0 to 100.
The stochastic oscillator is based on the idea that as a stock's price rises, its closing price tends to be closer to the high of the price range, and as the price falls, the closing price tends to be closer to the low of the range. A value above 80 is generally considered to be overbought, while a value below 20 is considered oversold.
It's important to note that the Stochastic is just one indicator, and it should be used in combination with other technical and fundamental analysis tools to make informed investment decisions. It's also important to remember that past performance is not necessarily indicative of future results.
Traders and investors should do their own research and consult with a financial advisor before making any investment decisions.
Stochastic is a indicator that is used to measure the momentum of a stock's price trend. It compares the current closing price of a stock to its price range over a specified period of time, which is typically last 14 days or last 14 candles, and generates a reading between 0 to 100.
The stochastic oscillator is based on the idea that as a stock's price rises, its closing price tends to be closer to the high of the price range, and as the price falls, the closing price tends to be closer to the low of the range. A value above 80 is generally considered to be overbought, while a value below 20 is considered oversold.
It's important to note that the Stochastic is just one indicator, and it should be used in combination with other technical and fundamental analysis tools to make informed investment decisions. It's also important to remember that past performance is not necessarily indicative of future results.
Traders and investors should do their own research and consult with a financial advisor before making any investment decisions.