Complex indicators. Should we use them or not?

BITTREX:XMRBTC   Monero / Bitcoin
58 0
Hi guys!

I've decided to continue exploring various instruments. Today we'll talk about Stochastic oscillator. But before we start, I have an important message for you. Using indicators with their default settings will not yield good results. I try to tell you not only about basis but about different specificities of each instrument. That will make your technical analysis more diverse.

Stochastic consists of %K and %D lines. It also has percentage scale and oversold/overbought zones (If you are interested in detailed the calculation, you can fund the information on the net).

Buy signals:
1) When %K line goes out from the oversold zone.
2) When %K line crosses %D line upward (this signal also gives many false signals and I don't recommend you to follow it).
3) Various divergences and convergences of indicator and price.

Correct indicator setting is very important. Depending on the time frame that is comfortable for you to work, use next settings:
1) time frame less than 1h: (5,3,3)
2) time frame from 1h to 1d: (10-20,3,3)
3) time frame 1w: (21,7,7)

And remember: the main specificity of Stochastic is that it gives many false signals when the market is in trend. In the next article, I will prepare information about filtration methods of false signals of this indicator.

Comment if you are interested in such information. Thank you for likes and followings!
ZH 繁體中文
EN English
EN English (UK)
EN English (IN)
DE Deutsch
FR Français
ES Español
IT Italiano
PL Polski
SV Svenska
TR Türkçe
RU Русский
PT Português
ID Bahasa Indonesia
MS Bahasa Melayu
TH ภาษาไทย
VI Tiếng Việt
JA 日本語
KO 한국어
ZH 简体中文
AR العربية
HE עברית
首頁 股票篩選器 外匯篩選器 加密貨幣篩選器 全球財經日曆 如何運作 圖表功能 網站規則 版主 網站 & 經紀商解決方案 小工具 圖表庫 功能請求 部落格 & 新聞 常見問題 幫助 & 維基 推特
個人資料 個人資料設定 帳戶和帳單 我的客服工單 聯絡客服 發表的想法 粉絲 正在關注 私人訊息 在線聊天 登出