The evening star is a three-candlestick pattern that signals the reversal of a bullish trend. The pattern is composed of a large bearish candlestick, followed by a small bullish candlestick, and then another large bearish candlestick. How do you trade morning star? The morning star is a candlestick pattern that consists of three candles. It … Read more
A Keltner channel is a technical analysis indicator used to help identify market trends and potential reversals. market trends. The indicator is a set of three bands that are plotted based on the average true range of price movement. The centerline of the channel is typically set at the 20-period moving average of the true … Read more
A relief rally is a sharp, short-term increase in stock prices that occurs after a period of decline. Relief rallies are often seen as a sign that the underlying trend is still intact, and that the recent decline was simply a corrective move. However, relief rallies can also be false signals, and it is important … Read more
Net volume is the difference between the total volume of shares traded on the up ticks and the total volume of shares traded on the down ticks. Net volume is used as a technical indicator to gauge the strength of a stock’s price movement. If net volume is positive, it means that more shares were … Read more
Forecasting: What It Is and How It’s Used in Business and Investing. What is forecasting planning? Forecasting planning is the process of estimating future demand for a product or service and planning the resources needed to meet that demand. It involves analyzing past demand patterns, using market research and other data sources to identify trends, … Read more
An island reversal is a candlestick chart pattern in which a stock price gaps up or down, forms an island of trading activity, and then gaps back in the opposite direction. The island reversal pattern is considered to be a very powerful signal, as it indicates a sudden change in investor sentiment. The island reversal … Read more
The Stochastic RSI is a momentum oscillator that measures the level of the RSI relative to its range over a given period of time. The Stochastic RSI is calculated using the following formula: StochRSI = (RSI – RSImin) / (RSImax – RSImin) where: RSI = the Relative Strength Index RSImin = the lowest RSI value … Read more
Chande Momentum Oscillator: Definition, Calculation, and Example What is Chande? Chande is a technical indicator which sums up the direction of price movement over a certain period of time, and is used to predict future price movements. Chande is calculated by taking the sum of the price changes over a certain period of time, and … Read more
The real body is the area between the open and the close, and it shows whether the bulls or the bears were in control during the period. A candlestick with a small real body is called a doji. A doji shows that the bulls and the bears were in equal control during the period, and … Read more
The Positive Volume Index (PVI) is a technical indicator that measures the amount of buying pressure behind a stock’s price movement. The PVI is calculated by taking the difference between the current day’s volume and the previous day’s volume, and then dividing that number by the previous day’s volume. If the resulting number is positive, … Read more
