Oscillator: What It Is and How It Works
What Is an Oscillator? An oscillator is a technical analysis tool that constructs high and low bands between two extreme values and then builds a trend indicator that fluctuates within these bounds. T
What Is a Technical Indicator?
Technical indicators are heuristic or pattern-based signals produced by the price, volume, and/or open interest of a security or contract used by traders who follow technical analysis.
What Are Common Strategies for Using Volume-Weighted Average Price?
Volume-weighted average price (VWAP) is a commonly used benchmark derived from a ratio of the average share price for a stock compared to the total volume of shares traded over a particular time frame
Using the Coppock Curve to Generate Trade Signals
The Coppock Curve (CC) was introduced by economist Edwin Coppock in an October 1962 issue of Barron's. While useful, the indicator is not commonly discussed among traders and investors. Traditionally
The Wyckoff Method: Making Money the Wyckoff Way
Legendary technician Richard Wyckoff wrote about financial markets in the early decades of the 20th century at the same time as Charles Dow, Jesse Livermore, and other iconic market analysis figures.
The Utility of Trendlines
What Is the Utility of Trendlines? Uptrends and downtrends are hot topics among technical analysts and traders because they ensure that the underlying market conditions are working in favor of a trade
Support and Resistance Reversals
Many traders who use technical analysis hear phrases that suggest a "broken support level will become a future area of resistance" or that a "previous level of resistance will become a support." For b
On-Balance Volume: The Way To Smart Money
What Is On-Balance Volume? On-balance volume (OBV), a momentum indicator that measures positive and negative volume flow, was developed by Joseph Granville and introduced in 1963 to the technical comm
How to Trade Breakouts Using Elliott Wave Theory
Professional accountant Ralph Nelson Elliott fired the opening shot in a decades-long debate when he released The Wave Principle in 1938.
How Do I Create a Trading Strategy With Bollinger Bands and the RSI?
Bollinger Bands are one of the most common volatility indicators used in technical stock market analysis. The bands plot three separate lines on a price chart, with the outer two representing a two-st