What is the oscillator? An oscillator is a technical indicator that tells at a glance whether a security currently trades in an “overbought” or “oversold” condition.
Archive for the ‘Technical Analysis’ Category
Begin oscillator trading from RSI
Posted by Taro on May 12th, 2010
Posted in Technical Analysis 
Tags: Forex Indicator, Indicator, MetaStock Indicator, Trading Volume 
No Comments »Volume : Another Important Indicator
Posted by Taro on May 12th, 2010
I wrote about trading volume and how to use it in trading before. Here, we will extend to the application of volume as an indicator in trading. Let’s see how we apply volume as a technical indicator. Volume plays an important role as an indicator traders use to indicate price direction. Interpretation of volume signals [...]
Posted in Technical Analysis Tags: Forex Indicator, Indicator, MetaStock Indicator, Trading Volume No Comments »Basics of Stochastic Indicator
Posted by Taro on May 10th, 2010
The Stochastic Oscillator is an overbought/oversold indicator developed by Dr. George Lane. The stochastic is a common indicator that is integrated into every charting software including MetaStock. Put simply, the Stochastic Indicator (SI) is a price oscillator which compares today’s price to its price range over a specific period of time. For example a 14-day [...]
Posted in Technical Analysis Tags: Forex Indicator, Indicator, MetaStock Indicator, Stochastic No Comments »Secret of Setting Exits in Trading
Posted by Taro on November 15th, 2009
Whenever traders enter a trade, they must have 3 factors clear in their mind; where to get in, where to take profits, and where to cut and run if market turns against them. The secret of exiting a trade for professionals is to plan their exits. Before entering a trade, professionals set their specific target [...]
Posted in Technical Analysis Tags: Money Management, Stops, Technical Analysis, Trading System No Comments »How to Place Stops using the SafeZone?
Posted by Taro on November 3rd, 2009
Where traders should put their stops? This is one of the hardest questions in technical analysis. Stops have to tight enough to protect capital and also have to distant enough to keep clear of meaningless swing. If look at trading in engineering point of view, the concept of signal and noise in engineering can be [...]
Posted in Technical Analysis Tags: Money Management, Stops, Technical Analysis, Trading System No Comments »Forecast Price using Pivot Point Analysis – Part 2
Posted by Taro on October 5th, 2009
The basis of pivot point formulas, which traders use to calculate pivot point numbers, involves several steps. Traders should be able to interpret the rationale behind the calculations. According to the traditional formula, the pivot point is considered as the average of the previous session’s trading range combined with the closing. The support and resistance [...]
Forecast Price using Pivot Point Analysis – Part 1
Posted by Taro on September 28th, 2009
Pivot Point Analysis is a price forecasting method that is very popular among professional day traders. There are some other terms, such as price range forecasting or pin-pointing tops and bottoms, that used to refer to the numbers derived by pivot points. The Pivot Point Analysis is considered as a leading indicator rather than a [...]
Easy Profits from Moving Averages Trading – Part 2
Posted by Taro on September 20th, 2009
Moving Averages (MAs) could be used from the simple to the complex trading system. The basic of trading using MAs is to trade in the same direction of their slope. When enter a trade, don’t buy high above Moving Average or sell low below MA. Enter a trade when price return to MA. When traders [...]
Posted in Technical Analysis Tags: Forex Indicator, Indicator, MetaStock Indicator, Moving Average No Comments »Easy Profits from Moving Averages Trading – Part 1
Posted by Taro on September 13th, 2009
Moving Averages or MAs are among the simplest tools for technical traders. They are ones of the most useful tools that help traders in identifying trends and finding entry points. The Moving Averages are plotted on price charts. No matter what time-frame is used, traders can apply Moving Averages on it.
Posted in Technical Analysis Tags: Forex Indicator, Indicator, MetaStock Indicator, Moving Average No Comments »The Kangaroo Tail Pattern in Technical Analysis
Posted by Taro on September 8th, 2009
The kangaroo tails is a pattern that points trading opportunities for traders. It has been introduced in Alexander Elder’s book, Come Into My Trading Room. The tails could be used to mark trend reversals in markets. While trends need long time to form, the kangaroo tails are formed in just a few days.
