RSI (Relative Strength Index)

Introduction: The RSI is an momentum indicator, and that implies it assists with distinguishing the speed and change in a stock's price movement. It's utilised to check whether a stock is overbought (price might fall soon) or oversold (price might rise soon).

Terminologies:

• Overbought: This implies the stock has risen a ton in value and might be expected for a correction (price fall).
• Oversold: This implies the stock has fallen a great deal in value and might be prepared to quickly return (price rise).

Explanation: The RSI is plotted on a size of 0 to 100. On the off chance that RSI is over 70, the stock is considered overbought, and assuming it is under 30, it is considered oversold.

Example: Envision you are following Stock XYZ, and the RSI tumbles to 25. This demonstrates that the stock might be oversold, and buyers could soon come in, pushing the price up.

How to Use:

• Buy when RSI is under 30 (oversold), and the value begins to give indications of recuperation.
• Sell when RSI is over 70 (overbought), demonstrating the stock could before long see a price drop.

RSI Formula:

• RSI: The Relative Strength Index value is calculated using the following steps:

RSI = 100 - (100 / (1 + RS))

• Where:
• RS (Relative Strength): The average of "Up Moves" divided by the average of "Down Moves" over the chosen period (typically 14 days).
• Up Moves: The periods where the price closed higher than the previous period.
• Down Moves: The periods where the price closed lower than the previous period.
• Period: Typically 14 days (can vary depending on trader preferences).

Stochastic Oscillator

Introduction: The Stochastic Oscillator looks at the current closing price of a stock to its price range over a set period, assisting with recognising potential trend reversal points.

Terminologies:

• Oscillator: An instrument that moves between two limits (like 0 and 100) to show overbought or oversold conditions.
• Reversal: When the price heads in a different path, for instance, from going up to going down, or the other way around.

Explanation: The Stochastic Oscillator assists traders with checking whether a stock is overbought or oversold. On the off chance that it's over 80, the stock is probable overbought, and assuming it's under 20, the stock is possible oversold.

Example: Stock XYZ has a Stochastic perusing of 85, meaning it may be overbought and prepared at a price decline soon.

How to Use:

• Buy when the oscillator is under 20 and starts to climb.
• Sell when the oscillator is over 80 and starts to drop down.

Stochastic Oscillator Formula:

• %K: The main line of the Stochastic Oscillator is calculated using the following formula:

%K = (Current Close - Lowest Low) / (Highest High - Lowest Low) * 100

• %D: The %D line is a 3-day moving average of the %K line:

%D = 3-day moving average of %K

• Where:
• Current Close: The most recent closing price of the stock.
• Lowest Low: The lowest price over the lookback period (typically 14 days).
• Highest High: The highest price over the lookback period (typically 14 days).

Commodity Channel Index (CCI)

Introduction: The Commodity Channel Index (CCI)) measures how far a stock's price has moved from its historical average. It recognises overbought or oversold conditions.

Terminologies:

• Overbought: When a stock's price has risen excessively fast and might be expected for a pullback.
• Oversold: When a stock's price has fallen excessively fast and might be expected for a return.

Explanation: CCI assists traders with distinguishing extremes in price movement. At the point when CCI is over 100, it recommends the stock is overbought, and when it's underneath - 100, it proposes the stock is oversold.

Example: On the off chance that Stock ABC's CCI transcends 100, it could be overbought and prepared for a price Correction.

How to Use:

• Buy when the CCI falls underneath - 100 and begins to rise, showing oversold conditions.
• Sell when the CCI transcends 100 and begins to fall, demonstrating overbought conditions.

CCI Formula:

• CCI: The Commodity Channel Index is calculated using the following formula:

CCI = (Typical Price - Moving Average) / (0.015 * Mean Deviation)

• Where:
• Typical Price: The average of the high, low, and close prices for the period:
  Typical Price = (High + Low + Close) / 3
• Moving Average: The simple moving average (SMA) of the typical price over a specified number of periods (typically 20).
• Mean Deviation: The average of the absolute differences between the typical price and the moving average over the same period.

Williams %R (Williams Percent Range)

Introduction: Williams %R is a momentum indicator that actions overbought and oversold levels, like the Relative Strength Index (RSI). It shows how the current closing value compares to the highest high over a particular time frame.

Terminologies:

• Overbought: When a stock's price has risen excessively fast and might be expected for a pullback.
• Oversold: When a stock's price has fallen excessively fast and might be expected for a return.

Explanation: Williams %R sways among 0 and - 100. At the point when the indicator is above - 20, the stock is overbought, and when it is beneath - 80, it's considered oversold. This can assist brokers with spotting possible reversal.

Example: On the off chance that Stock XYZ's Williams %R dips under - 80, it recommends oversold conditions, showing a potential purchasing opportunity.

How to Use:

• Buy when Williams %R crosses above - 80, showing oversold conditions.
• Sell when Williams %R crosses beneath - 20, demonstrating overbought conditions.

Williams %R Formula:

• Formula:

Williams %R = [(High - Close) / (High - Low)] × -100

• Where:
• High: The highest price over the lookback period (typically 14 periods).
• Low: The lowest price over the lookback period.
• Close: The most recent closing price.

TRIX (Triple Exponential Average)

Introduction: TRIX is a momentum indicator that shows the rate of change of a triple-smoothed exponential moving average. It assists traders with distinguishing the trend and spot likely trend reversal.

Terminologies:

• Triple Exponential Moving Average: A moving average that is smoothed multiple times to lessen transient variances.
• Rate of Change (ROC): The rate change in price after some time, showing momentum.

Explanation: TRIX oscillates above and below zero. A positive TRIX value demonstrates a vertical trend, while a negative TRIX value shows a descending trend.

Example: In the event that Stock XYZ's TRIX crosses over zero, it proposes a potential buy opportunity as the stock is picking up speed.

How to Use:

• Buy when TRIX crosses over zero, showing a bullish trend.
• Sell when TRIX crosses under zero, demonstrating a negative trend.

TRIX Formula:

• Step 1: Calculate the single exponential moving average (EMA) of the closing price over a specified period (e.g., 15 days).
• Step 2: Calculate the second EMA of the previously calculated EMA.
• Step 3: Calculate the third EMA of the second EMA.
• Step 4: Compute the percentage change of the third EMA:

TRIX = [(Triple EMA_today - Triple EMA_yesterday) / Triple EMA_yesterday] × 100

Chande Momentum Oscillator (CMO)

Introduction: The Chande Momentum Oscillator (CMO) is a momentum indicator that actions the momentum of a stock by contrasting the price changes over a particular period. It assists traders with distinguishing potential overbought or oversold conditions.

Terminologies:

• Momentum: The speed of price movement, demonstrating how rapidly a stock's price is evolving.
• Overbought: A condition where the stock price is viewed as excessively high and might be expected for a revision.
• Oversold: A condition where the stock price is viewed as excessively low and may bounce back.

Explanation: CMO goes from - 100 to +100. A CMO over +50 proposes overbought conditions, while a CMO beneath - 50 recommends oversold conditions. Traders utilise these levels to distinguish potential reversal points.

How to Use:

• Buy when CMO is beneath - 50, showing oversold conditions and a potential price bounce back.
• Sell when CMO is over +50, showing overbought conditions and a potential price decline

CMO Formula:

• CMO: The Chande Momentum Oscillator is calculated using the following formula:

CMO = [(SU - SD) / (SU + SD)] × 100

• Where:
• SU (Sum of Gains): The sum of the positive price changes over the chosen period.
• SD (Sum of Losses): The sum of the absolute values of negative price changes over the chosen period.
• Period: A typical period is 14 days, but this can vary depending on trading preferences.

Rate of Change (ROC)

Introduction: The Rate of Change (ROC) is a momentum oscillator that actions the rate change in price over a predetermined period. It assists traders with recognising the speed of price movements.

Terminologies:

• Oscillator: A indicator that fluctuates above and below a centerline, distinguishing trends and reversal.
• Percentage Change: TThe distinction in price communicated as a level of the first price.

Explanation: ROC fluctuates around zero. A positive ROC shows up momentum, while a negative ROC demonstrates descending momentum. Traders frequently use ROC to affirm trends or spot expected reversal.

Example: Assuming Stock XYZ's ROC is +10%, it suggests that the stock's price has expanded by 10% over the last indicated period.

How to Use:

• Buy when ROC crosses over zero, demonstrating likely vertical momentum.
• Sell when ROC crosses under zero, showing likely descending momentum.

ROC Formula:

Where:

• Current Price: The most recent closing price of the stock.
• Price n Periods Ago: The closing price of the stock n periods ago (e.g., 10 days).
• n: The number of periods used for calculation (e.g., 10 days).

Ultimate Oscillator

Introduction: A Ultimate Oscillator is an momentum indicator that consolidates three distinct time spans to deliver a more solid sign for traders. It expects to decrease misleading signs frequently seen in different oscillators.

Terminologies:

• Timeframes: Various periods utilised for examination, ordinarily short, medium, and Long-Term.
• Signal: A prompt for traders to trade in light of market situations.

Explanation: A Ultimate Oscillator sways somewhere in the range of 0 and 100. Values over 70 show overbought conditions, while values under 30 demonstrate oversold conditions. It joins three distinct estimations in light of various time spans to give a more extensive perspective on price momentum.

Example: Assuming that Stock XYZ's Ultimate Oscillatorr is at 75, it proposes that the stock is overbought, possibly flagging a price correction.

How to Use:

• Buy when A Ultimate Oscillator is under 30, demonstrating oversold conditions and a potential price bounce back.
• Sell when A Ultimate Oscillator is over 70, showing overbought conditions and a potential price decline.

Ultimate Oscillator Formula:

• The Ultimate Oscillator is calculated as:

Ultimate Oscillator = 100 × [(4 × Average(7-period BP/True Range)) + (2 × Average(14-period BP/True Range)) + (Average(28-period BP/True Range))] / (4 + 2 + 1)

• Where:
• BP (Buying Pressure): Current Close - Minimum(Low or Previous Close)
• True Range (TR): Maximum(High or Previous Close) - Minimum(Low or Previous Close)
• 7-period, 14-period, 28-period averages: Exponential moving averages of BP/TR over the respective time periods.

Schaff Trend Cycle (STC)

Introduction: The Schaff Trend Cycle (STC) is a trend following momentum indicator that consolidates the ideas of Moving average and cycles. It assists traders with recognising the direction and strength of a trend.

Terminologies:

• Moving Average: A computation used to break down pieces of information by making averages over a predefined period.
• Cycle: A repetitive example of development in price over the Long-Term.

Explanation: STC sways somewhere in the range of 0 and 100. Values over 75 show overbought conditions, while values under 25 demonstrate oversold conditions. It joins moving averages to give a more exact sign of potential trend reversal.

Example: In the event that Stock XYZ's STC is at 80, it shows overbought conditions, proposing a potential price decline.

How to Use:

• Buy when STC crosses under 25, showing oversold conditions and a potential price bounce back.
• Sell when STC crosses over 75, demonstrating overbought conditions and a potential price decline.

STC Formula:

• Step 1: Calculate the MACD Line:
MACD Line = EMA(Fast Length) - EMA(Slow Length)
• Step 2: Calculate the Signal Line:
Signal Line = EMA(Signal Length) of MACD Line
• Step 3: Calculate the Stochastic of the MACD Line:
Stochastic MACD = \[(MACD Line - Lowest MACD) / (Highest MACD - Lowest MACD)\] × 100
• Step 4: Apply an EMA to the Stochastic MACD to produce the STC:
STC = EMA(Cycle Length) of Stochastic MACD

Key Parameters:

• Fast Length: Typically 12 periods.
• Slow Length: Typically 26 periods.
• Signal Length: Typically 9 periods.
• Cycle Length: Adjusted based on market conditions, e.g., 10 periods.

Relative Vigor Index (RVI)

Introduction: The Relative Vigor Index (RVI) is an momentum oscillator that actions the strength of a price trend by contrasting the end price with the price range. It assists traders with distinguishing expected trade signals in view of market momentum.

Terminologies:

• Oscillator: A indicator that varies above and under a centreline, used to demonstrate trends and reversal.
• Price Range: The distinction between the high and low price over a particular period.

Explanation: RVI sways somewhere in the range of 0 and 100. A worth over 50 shows areas of strength for a trend, while a worth under 50 demonstrates a descending trend. It can likewise show overbought and oversold conditions.

Example: In the event that Stock XYZ's RVI is at 65, it proposes areas of strength for a trend.

How to Use:

• Buy when RVI crosses over 50, demonstrating an expected vertical momentum.
• Sell when RVI crosses under 50, demonstrating likely descending momentum.

RVI Formula:

• RVI: The Relative Vigor Index is calculated using the following formula:

RVI = (Close - Open) / (High - Low)

• Where:
• Close: Closing price of the stock.
• Open: Opening price of the stock.
• High: Highest price of the stock during the period.
• Low: Lowest price of the stock during the period.

Smoothed RVI:

To reduce noise, the RVI is smoothed using a Simple Moving Average (SMA) over a set number of periods (e.g., 10):

Signal Line:

A signal line is derived by applying another SMA to the smoothed RVI. Traders often use the crossover of the RVI and its signal line to identify buy and sell opportunities.

KST (Know Sure Thing)

Introduction: The Know Sure Thing (KST) is an momentum indicator that utilises numerous weighted moving averages to distinguish possible trade signals. It assists traders with checking the strength of a trend.

Terminologies:

• Momentum: The speed at which a stock's price changes strength in a particular direction.

Explanation: KST consolidates a few smoothed momentum indicators to make a solitary line that distinguishes potential trend reversal.

Example: In the event that Stock XYZ's KST line crosses over zero, it might show bullish momentum and a potential purchasing a valuable opportunity.

How to Use:

• Buy when the KST crosses over its sign line, showing expanding momentum.
• Sell when it crosses beneath its sign line, demonstrating diminishing momentum.

KST Formula:

• KST: The Know Sure Thing is calculated as follows:

KST = (ROC1 × SMA1) + (ROC2 × SMA2) + (ROC3 × SMA3) + (ROC4 × SMA4)

• Signal Line: The signal line is a moving average (e.g., 9-period SMA) of the KST.
• Where:
• ROC1: Rate of Change over a short period (e.g., 10 days).
• ROC2: Rate of Change over a medium period (e.g., 15 days).
• ROC3: Rate of Change over a longer period (e.g., 20 days).
• ROC4: Rate of Change over a very long period (e.g., 30 days).
• SMA1, SMA2, SMA3, SMA4: Simple Moving Averages of each ROC over specific smoothing periods.

McClellan Oscillator

Introduction: The McClellan Oscillator is a broadness indicator that measures the momentum of advances and decreases in the stock Market. It recognises potential bullish or negative trends in view of market expansiveness.

Terminologies:

• Advances: Stocks that nearby higher than the earlier day.
• Declines: Stocks that nearby lower than the earlier day.

Explanation: The McClellan Oscillator is gotten from the contrast between the 19-day and 39-day exponential moving averages of the net advances. It provides Insights to the market momentum.

Example: Assuming the McClellan Oscillator is rising, it proposes that the market is encountering expanding purchasing pressure.

How to Use:

• Buy when the oscillator crosses over zero, showing expected bullish momentum.
• Sell when it crosses below zero, indicating potential bearish momentum.

Formula:

• The McClellan Oscillator is calculated as:

McClellan Oscillator = (19-Day EMA of (Advancers - Decliners)) - (39-Day EMA of (Advancers - Decliners))

• Where:
• Advancers: The number of stocks advancing in price on a given day.
• Decliners: The number of stocks declining in price on a given day.
• 19-Day EMA: The exponential moving average of (Advancers - Decliners) over 19 days.
• 39-Day EMA: The exponential moving average of (Advancers - Decliners) over 39 days.