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Strategies & Market Trends : TATRADER GIZZARD STUDY--Stocks 12.00 or Less..... -- Ignore unavailable to you. Want to Upgrade?


To: Suntzu who wrote (8832)5/16/1999 7:18:00 AM
From: TATRADER  Respond to of 59879
 
stochastic compares where a security's price closed relative to its price over a given period of time...basically the fast stochastic deals with the internal smoothing of the %K....It uses a value of 1 vs a value of 3 for the slow stochastic...

Don't get worked up with not knowing the exact nature of these indicators..Just learn how to interpret buy and sell signals that they might generate...Also make sure you get a consensus of indicators agreeing..Don't value one indicator alone...
I like to use the simple stochastic and Relative Strength indicator together(both must agree) when the ADX is below 20(sideways market) or over 40(mature trend) to determine overbought or oversold conditions..