Category : Trading Strategy Page 5

The Supertrend indicator, also known as the Super Trend indicator, is a momentum indicator used in the identification of trends, the measurement of trend strength and the identification of buy signals..

A Trailing Stop Order, or stop loss order, is a qualifier to a market price order or limit price order that changes how it operates. A simple stop order is an execution price trigger that closes some ..

Most traders from every background have heard of Bollinger Bands. However, far fewer traders understand what they are or the best ways to use them to study the financial markets. The inventor of the B..

A MoC Imbalance, or Market-on-Close order imbalance, occurs when there is a significant disconnect between MoC sell orders and MoC buy orders at the end of a trading day. MoC orders are locked in duri..

A Breakout Trading Strategy is any strategy that looks to exploit a sharp price move in one direction after an extended period of low volatility. The theory behind all breakout trading strategies is t..

The Gap and Go Trading Strategy looks to exploit the common opening gaps that occur in a stock’s price action to find potential trading opportunities. The theory is that these gaps represent a signi..

The Opening Range Breakout Strategy is based on the common occurrence of a stock’s price action quickly escaping the early activity of a trading session. A stock will often trade within a limited ra..

The Keltner Channel Strategy uses the indicator of the same name to determine the direction and strength of price trends. The Keltner Channel is a volatility-based indicator that analyzes trends usin..

The Relative Volume (RVOL) indicator is a technical analysis tool used to compare the volume of stocks traded during a given time period with the average volume traded over a larger time period. The R..

Pivot Points are a technical analysis indicator that uses the previous day’s price action as a metric for determining current price trends. The main line is simply an average of the previous day’s..

A High Short Interest Ratio means that there is a large relative volume of the shares outstanding of a stock that are currently sold short. Traders must borrow shares to short sell them, so the volume..

The Psychology of a Market Cycle is based on the way that humans behave in large groups, in this case in the financial markets. While there may be outliers, the majority of people act in a predictable..

The Accumulation/Distribution Line (A/D Line) is a potent financial tool created by Marc Chaikin, a stock market expert who sought to merge price and volume data to better understand the flow of marke..

The Aroon Oscillator is a compelling technical analysis tool developed by Tushar Chande in 1995. It is designed to identify the start of new trends and gauge the momentum of existing trends. The name ..

Momentum oscillators are a type of technical analysis tool used to determine the speed and strength of a price movement. They are essential for traders who need to understand the velocity of price cha..

The Average Directional Movement Index (ADX) is a powerful technical analysis tool used to measure the strength of a market trend. Developed by Welles Wilder in 1978, the ADX is part of a series of in..

The Parabolic SAR (Stop and Reverse) is a versatile trading indicator used to determine a security’s momentum and potential reversal points. Developed by J. Welles Wilder, who is also known for ..

The Simple Moving Average (SMA) is one of the most fundamental and widely used indicators in technical analysis. It serves to smooth out price data by continuously updating the average price over a sp..

The Standard Deviation Indicator is a pivotal tool in financial analysis, primarily used to measure the volatility and risk associated with price movements of securities. Derived from statistical theo..

The Awesome Oscillator (AO) is a dynamic technical analysis tool developed by Bill Williams, designed to measure market momentum and aid in trading decisions. It operates on the premise that market mo..

The Money Flow Index (MFI) is a pivotal technical indicator used by traders to analyze price and volume data to predict potential changes in the market. Acting as a volume-weighted relative strength i..

On-Balance Volume (OBV) is a pivotal technical analysis tool that tracks volume changes to predict price movements. Developed by Joseph Granville in the 1960s, the OBV indicator has been a staple amon..

Moving averages are fundamental tools in technical analysis, used extensively across various financial markets to smooth price data and identify trends. By averaging price data over a specific period,..

Understanding the language of day trading is crucial for anyone looking to participate actively and successfully in the stock market during trading hours. Like any specialized field, day trading come..