The Momentum Indicator is a technical analysis tool that measures the speed and strength of price movements. It is used to identify overbought and oversold conditions in the market and to generate buy or sell signals. The Momentum Indicator is typically classified as an oscillator, which is a type of indicator that fluctuates within […]
In the context of financial markets, “low” refers to the lowest price level that an asset reaches within a specific time period. It is a term commonly used in technical analysis and charting to help investors and traders identify the lowest price levels of an asset. The low is represented as a data point […]
The term “long position” refers to a long-term investment position in a financial asset (such as stocks, currencies, commodities, etc.). When an investor believes that the value of an asset will increase or wants to hold it for a certain period, they take a long position. Taking a long position involves buying a specific […]
In forex trading, “knocking” refers to a situation where a currency pair’s price briefly breaks through a specific level of support or resistance and then quickly reverses back in the opposite direction. It is also known as a false breakout. Knocking can occur when the price approaches a key level, such as a support […]
Key Points, also known as Support and Resistance Levels, are important concepts in technical analysis used to identify levels at which the price of an asset is likely to encounter buying or selling pressure. Support Levels: These are price levels at which the demand for an asset is strong enough to prevent it from […]
Heikin Ashi is a type of candlestick chart used in technical analysis. It is derived from traditional Japanese candlestick charts but offers a different approach. Heikin Ashi charts represent the opening, closing, high, and low prices of each candle. However, unlike traditional candlestick charts, Heikin Ashi candles are calculated using the average of the […]
The concept of Grand Supercycle is based on Elliott Wave Theory and refers to long-term cycles in financial markets. Elliott Wave Theory suggests that price movements follow specific patterns and sequences, which are largely influenced by investor psychology. Within a particular cycle, price movements form repetitive wave patterns. Grand Supercycle represents the longest-term cycle […]
The Gator Oscillator is a technical analysis tool developed by Bill Williams. It is used to analyze price movements and determine trend changes. The Gator Oscillator is actually a histogram derived from the Alligator indicator (another Bill Williams indicator) based on price movements. The Gator Oscillator consists of three different parts: the Jaws, the […]
The Force Index is a technical analysis tool developed by Alexander Elder. It aims to measure the strength of price movements and evaluate the power behind trends by combining price and volume data. To calculate the Force Index, the following steps are followed: The Force Index starts by subtracting the previous day’s closing […]
The Equidistant Channel is a technical analysis tool used to identify and analyze price trends in financial markets. It consists of three parallel trendlines: an upper channel line, a lower channel line, and a median line. The upper channel line is drawn by connecting the swing highs or resistance points, while the lower channel […]