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7 min readFibonacci retracements are a technical analysis tool used in swing trading to identify potential levels of support and resistance. It is based on the sequence of numbers discovered by the Italian mathematician Leonardo Fibonacci.In Fibonacci retracements, swing traders attempt to predict future levels of price retracement (pullbacks) after a significant market move. The key levels identified are 23.6%, 38.2%, 50%, 61.8%, and 78.6% of the original move.
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7 min readThe Money Flow Index (MFI) is a technical indicator that is commonly used by traders for scalping in the financial markets. Scalping is a trading strategy that involves making small profits from multiple trades over short periods of time. The MFI is an oscillator that measures the momentum of money flowing into or out of a particular asset.
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9 min readParabolic SAR, also known as Stop and Reverse, is a technical analysis indicator used by swing traders to determine the overall direction of a stock's price movement and potential reversal points. It assists traders in setting stop-loss levels and identifying potential entry and exit points.Here's how you can use Parabolic SAR for swing trading:Calculation: Parabolic SAR is calculated using an algorithm that factors in the previous price data.
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9 min readThe guide to moving Min (minimum) outlines the way in which these values are calculated. When it comes to determining the minimum values in a dataset, there are various techniques employed, each with its own benefits and limitations. The following methods are commonly used:Traditional Approach: The most straightforward method is to scan the given dataset sequentially and update the minimum value whenever a smaller value is encountered.
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7 min readThe Relative Strength Index (RSI) is a popular technical indicator used in day trading to identify overbought or oversold conditions in a market. It measures the speed and change of price movements and provides traders with insights into possible price reversals.The RSI is displayed as a line graph that oscillates between the values of 0 and 100, with a centerline at 50.
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6 min readThe Aroon indicator is a technical indicator used in trading to determine the strength and direction of a trend. It consists of two components, namely Aroon Up and Aroon Down.Aroon Up: This component measures the number of periods since the highest price within a given time period. It quantifies the strength and duration of an upward trend. The higher the value, the stronger the uptrend.Aroon Down: This component measures the number of periods since the lowest price within a given time period.
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10 min readThe Percentage Price Oscillator (PPO) is a technical analysis tool used to measure the momentum and trend strength of a security. It is similar to the Moving Average Convergence Divergence (MACD) indicator and is often used alongside it.The PPO calculates the difference between two exponential moving averages (EMA) of a security's price and expresses it as a percentage.
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6 min readThe Detrended Price Oscillator (DPO) is a technical indicator that is used in the analysis of financial markets. It is primarily used to identify and measure short-term cycles or trends in the price of an asset.To calculate the DPO, the first step is to determine the length of the desired cycle or trend to analyze. Generally, a 20-day cycle is commonly used, but the length will depend on the trader's preference and the specific market being analyzed.
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11 min readThe Arms Index, also known as the Trading Index (TRIN), is a technical analysis indicator that helps traders and investors determine the strength or weakness of the stock market. Developed by Richard Arms in the 1960s, it measures the relationship between the number of advancing and declining stocks with the volume associated with them.The TRIN is calculated by taking the ratio of the Advance-Decline Ratio (ADR) to the Up-Volume-to-Down-Volume Ratio (UVOL/DVOL).
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7 min readWilliams %R, also known as %R, is a technical indicator that measures the level of overbought or oversold conditions in the market. Developed by Larry Williams, %R is a momentum oscillator that resembles the stochastic oscillator.The Williams %R indicator is usually plotted on a scale from -100 to 0. It is calculated by comparing the highest high of a given period to the current closing price and then dividing the difference by the highest high minus the lowest low within the same period.
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7 min readThe Parabolic SAR (Stop and Reverse) is a technical analysis indicator that is used by traders to determine the potential reversals in the price direction of an asset. Developed by J. Welles Wilder, Jr., the Parabolic SAR is mainly employed in trending markets.The indicator appears as a series of dots placed either above or below the price chart. When the dots are below the price, it signifies an uptrend, while dots above the price indicate a downtrend.