Category Archives: Price Indicators

Average Directional Index Rating

Average Directional Index Rating The Average Directional Index Rating or ADXR is simply a smoothed version of the Average Directional Index or ADX that was developed by Welles Wilder. It averages the day’s ADX with the ADX N days ago. … Continue reading

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Aroon Indicators

Aroon Indicator The Aroon Indicator was introduced by Tushar Chande in 1995 to determine whether a security is trending or trading sideways and to measure the strength of the trend. It is designed to anticipate the changes made in the … Continue reading

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Williams %R

Williams %R Williams %R was introduced by Larry Williams to determine the overbought and oversold levels. It is a momentum indicator that is similar to Stochastic Oscillator. The indicator shows the relationship of the current closing price relative to the … Continue reading

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Rate of Change

Rate of Change The Rate of Change or ROC is a non-bound oscillator that fluctuates above and below the zero line. It shows the difference between the current price and the price of n periods on a percentage form. Calculation … Continue reading

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Parabolic Indicator

Parabolic Indicator The Parabolic Indicator, developed by J. Wells Wilder, is technical indicator that uses a trailing stop and reverse method called SAR to identify good entry and exit points. The concept is when the security’s price is above the … Continue reading

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Detrended Price Oscillator

Detrended Price Oscillator The Detrended Price Oscillator or DPO is an indicator designed to eliminate long-term trends and focuses on short-term trends. It is the difference between the actual price and the moving average of the price. It determines the … Continue reading

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Donchian Channels

Donchian Channels Donchian Channels were introduced by Richard Donchian. The volatility indicator is displayed as high and low bands which are plotted as the highest high and lowest low of the last n days. A 20-day period is set as … Continue reading

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Vertical Horizontal Filter

Vertical Horizontal Filter Vertical Horizontal Filter or VHF was introduced by Adam White to help indentify the trending and trading markets. Similar to Average Directional Index or ADX, VHF measures the level of the trend. A 28-period is recommended as … Continue reading

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Keltner Channel

Keltner Channel Keltner Channel, also known as Keltner Bands, is a volatility-based indicator that identifies trend, shows overbought and oversold readings and signals price breakouts. It is composed of a central moving average and two channel lines. It is named … Continue reading

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Average Directional Index

Average Directional Index The Average Directional Index, or ADX, was developed by J. Welles Wilder Jr. in 1978 to measure the strength of the current trend. It is derived from two other indicators, the Positive Directional Indicator (+DI) and the … Continue reading

Posted in Price Indicators | 13 Comments