Cycles represent relatively smooth fluctuations with mean 0 and of varying period and amplitude, their estimation using technical indicators has always been a major task. In the additive model of price, the cycle is a component : Price = Trend + Cycle + Noise Based on this model we can deduce that : Cycle = Price - Trend - Noise The indicators specialized...
Trailing stops play a key role in technical analysis and are extremely popular trend following indicators. Their main strength lie in their ability to minimize whipsaws while conserving a decent reactivity, the most popular ones include the Supertrend, Parabolic SAR and Gann Hilo activator. However, and like many indicators, most trailing stops assume an...