Disparity Index Definition.

The disparity index is a technical indicator that is used to measure the relative distance between the moving average of the asset price and the actual asset price. The disparity index is calculated by taking the difference between the moving average of the asset price and the asset price, and then dividing this by the … Read more

What Is the Aroon Oscillator?

The Aroon Oscillator is a technical indicator used in order to measure whether a stock is in a bullish or bearish trend. The Aroon Oscillator is calculated by subtracting the Aroon Down from the Aroon Up. The Aroon Oscillator will be positive when the Aroon Up is greater than the Aroon Down, and it will … Read more

Inverse Saucer.

In technical analysis, an inverse saucer is a bearish reversal pattern that is formed after an extended period of bullish price action. It is characterized by a sharp price decline followed by a period of consolidation, after which the downtrend resumes. The inverse saucer pattern is similar to the head and shoulders pattern, but with … Read more

Reversal.

The term “reversal” is used to describe a change in the direction of a price trend. A reversal can be defined as a change in price direction after a period of time in which the price trend has been moving in a particular direction. A reversal can occur at any time frame, but is most … Read more

Trend Definition and Trading Tactics.

The term “trend definition and trading tactics” is used to describe a set of technical analysis tools and techniques that are used to identify the direction of a market trend and to trade accordingly. There are two main types of market trend: 1. Uptrend – This is when the market is in an overall upward … Read more

What Is a Wedge in Technical Analysis?

A wedge is a technical analysis pattern that is created when the price of an asset moves between two trendlines that are heading in opposite directions. The upper trendline is created by connecting the asset’s highs, while the lower trendline is created by connecting the asset’s lows. The pattern is considered complete when the price … Read more