Moving average: probably the most widely used technical indicator Moving averages are among the most widely used technical indicators. I would even say moving average is the most widely used technical indicator, though no one can really know and count this. Moving averages enjoy this privilege thanks to their simplicity, both in calculation (or setup … Read more
MACD MACD (Moving Average Convergence/Divergence) is a widely known indicator. Its core idea is measuring the distance between two exponential moving averages with different period lengths. A little less known, but claimed by many to be more useful, is an indicator derived from the MACD, the MACD Histogram. Thomas Aspray was reportedly the first to … Read more
MACD Histogram vs. MACD relationship MACD Histogram is an indicator derived from MACD. The value of MACD Histogram equals the distance between the MACD line and the Signal line, which is an exponential moving average of the MACD line. Therefore MACD Histogram is just a different way of looking at the information already provided by … Read more
Moving Average Convergence-Divergence MACD is one of the most popular technical indicators. It was invented by Gerald Appel in the 1970’s. While it is widely known as MACD, its full name is Moving Average Convergence-Divergence. MACD is based on two exponential moving averages of closing price with different period lengths. MACD measures how close or … Read more
If you talk to people who trade or you browse some internet trading forums, you will encounter two types of traders: those who think Stochastics is a great tool and “works” and those who think that Stochastics is “useless” and “doesn’t work”. Now you probably want to know which ones are right. The truth is … Read more
The common method: using closing prices Most people calculate moving averages (or let their software calculate it) from the closing price of each bar. This has a valid reason on daily or weekly charts, because the price at which the market closes on a particular trading day or week has a big meaning. Of course, … Read more
What a moving average period means The length of a moving average period, or simply moving average period, means how many bars are used for calculating the moving average. When you are selecting a moving average period length, you are deciding how far back to the history you want to look. For example, a simple … Read more
There is no perfect moving average Like there is no “right” way to do many things in finance and trading, there is also no “right” moving average period. Advantages of faster moving averages Most people who like trading are naturally attracted to tools that seem to work faster and show more action. That’s why we … Read more
Disclaimer: Any idea presented here is for educational and/or entertainment purposes only and must not be treated as investment or trading recommendation. There is a risk of loss in trading. The owner of this website is not liable for any damages resulting from using information presented here, even in case that such information is inaccurate. The owner of this website may have positions in securities mentioned here. Read full disclaimer.
© 2009-2010 BeaBu.com | It is prohibited to reproduce any content, including all text, charts, graphics, and web design, without explicit permission.
Home | About | Contact | Sitemap | Log in | BeaBu is hosted by iPower - 100% powered by wind energy.
