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Stochasticoscillator

Bollinger Bands, Moving Averages, and Stochastic Oscillator* LIVE TRADING * This is not a get rich quick scheme, if you have the time to study and practice this video it will give great insight on how price moves. Add the indicators to your chart and see if the 3 main signals create entry points for trades 3 Main Signals: - Stochastic (settings) 14,3,3 with %K marked as RED and %D marked as GREEN (inversed from default) - CM_Williams_Vix _Fix - Bollinger Bands (default settings) Extremely insightful example of how specific indicators correlate to create a trade setup. What the trade setup looks like and how you can practice it in real time. Time Frame Reference and how they mix. Calling out candlesticks as they populate. Indicators (all indicators from Trading View indicator library): - Stochastic (settings) 14,3,3 with %K marked as RED and %D marked as GREEN (inversed from default) - CM_Williams_Vix _Fix - Volume - Bollinger Bands (default settings) - TEMA - settings 9 EMA purple, 50 EMA yellow, 200 EMA black - Divergence for many V3
by CHART_GUYY
How to Analyze the $SPY Daily ChartGreetings fellow traders, Welcome to this installment of our newsletter where we analyze price action on AMEX:SPY on the daily, hourly, and 15 minute timeframes. We will keep this one short and sweet. DAILY TIMEFRAME What is the Trend? The short term trend is bullish: the 9-candle EMA is trading above the 20-candle EMA. The medium term trend is bullish: the 20-candle EMA is trading above the 50-candle EMA. The longer term trend is bullish: the 50-candle EMA is trading above the 200-candle EMA. How Strong is the Current Trend? One of the ways that traders can analyze the strength of a trend is by appeal to the Average Directional Index (ADX). Readings below 20 indicate a weak or non-existent trend. If the ADX is going up, readings between 20 and 40 indicate a developing early trend of low to moderate strength. Readings between 40 and 55 indicate a strong, well-established and robust trend. And finally readings above 55 indicate an extremely strong trend that is likely approaching exhaustion. At the moment, the ADX is 25.04 on the daily chart, indicating a low strength trend that can, with additional momentum, pick up steam. But how likely is this? In order to answer that question, we are going to have to look at several other technical indicators, supply and demand levels, and chart patterns. One of these technical indicators is the relationship between the 9-candle EMA and the 20-candle EMA. Despite the impressive upward move in price action yesterday, the distance between the 9-candle EMA and the 20-candle EMA remained constant from the day before. If the trend was strong, you would expect the distance between the two to be increasing. The fact that it did not is a potential warning sign that the trend is not extremely strong at the moment. What do the Momentum Oscillators Tell Us? Another thing to consider are the two main momentum oscillators: the Relative Strength Index (RSI) and the Stochastic Oscillator. These momentum oscillators can give us clues as to whether or not the current trend is reaching exhaustion, or if it is likely to continue. Let’s first consider RSI. As of yesterday’s close, we have an RSI reading of 65.86 — a reading that is approaching the technical overbought level of 70. For reference, the last time that AMEX:SPY was trading at these levels was in August of 2022. During that incredible summer rally, the RSI pushed all the way up to 73.43 before the trend reached exhaustion and a powerful reversal ensued. Bearing that in mind, you should not necessarily be surprised if AMEX:SPY were to push into that overbought territory this time around as well before reversing. That being said, the Stochastic Oscillator is flashing a reading of 97.52, which is incredibly close to the maximum overbought reading of 100. This is a major indication for technical analysts that we may soon see a mean reversion in price action so that this all-important momentum oscillator can “cool off” for a bit. Indeed, it has been 6 days since AMEX:SPY last made contact with its 9-candle EMA, suggesting that we are potentially due for a basic reversion to the mean in price action. If we were to first push higher, though, there are a few levels on AMEX:SPY to keep in mind. How High can the Market Push? The first is the upper Bollinger Band, which closed yesterday at 430.97. While that value will shift higher today, this upper band is a level to keep in mind as potential resistance should the market catch an end-of-the-week bid. The second level is the high from August 2022: 431.73. Both of these levels are within reach if bulls want them. Finally, if things get really crazy, keep your eyes on 435.34. Are there Signs of Bearish Divergence? Notwithstanding the potential for one final push to enter the overbought territory on RSI, it is very important to note that on Monday of this week we received a technical bearish divergence signal in price action. Even though the market made a higher high than at any point in the previous 30 trading days, we did not get a higher high in: The reading on the Relative Strength Index The reading on the Stochastic Oscillator The reading on MACD When these indicators fail to make higher highs while price is making higher highs, this is an incredibly strong sign of bearish divergence. Should the market push into close, positioning for a mean reversion pullback during power hour should certainly be on watch. What are the Mean Reversion Price Targets? However high price ultimately pushes before reversal, it would be prudent to keep the following potential pullback levels in mind if you are trying to play a mean-reversion trade. The first target would be the 9-candle EMA. While it is currently trading at 424.54, this value will change with each passing day. You can use this, or potentially the 14-candle EMA, as your first “profit-taking target” for a mean reversion trading strategy. Do keep in mind, though, that there is currently some solid demand between 426.14 and 425.82 that we will have to break through in order to gain some selling momentum. The second target, should the first be broken, would be 422.58, a previous resistance level. The third “stretch” target would be around 420.73. Anything below 420 would likely see 418.31. What are the Main Supply and Demand Levels to Add to our Charts? Finally, make sure to track the recent supply and demand levels on the daily timeframe: 429.62 420.72 417.62 415.72 411.92 Stay tuned for the follow-up video where we zoom in on the hourly chart for more specific short-term guidance.
AMEX:SPY
by StockJustice
The Stocashi A Heikin-Ashi style Stochastic RSIWhat up guys and welcome to the coffee shop. I have a special little tool for you today to throw in your toolbox. This one is a freebie. This is the Stochastic RS-Heiken-Ashi "The Stocashi" This is the stochastic RSI built to look like Heikin-Ashi candles. a lot of people have trouble using the stochastic indicator because of its ability to look very choppy at its edges instead of having nice curves or arcs to its form when you use it on scalping time frames it ends up being very pointed and you can't really tell when the bands turn over if you're using a stochastic Ribbon or you can't tell when it's actually moving in a particular direction if you're just using the K and the D line. This new format of Presentation seeks to get you to have a better visual representation of what the stochastic is actually doing. It's long been noted that Heikin-Ashi do a very good job of representing momentum in a price so using it on something that is erratic as the stochastic indicator seems like a plausible idea. The strategy is simple because you use it exactly the same way you've always used the stochastic indicator except now you can look for the full color of the candle. this one uses a gradient color setup for the candle so when the candle is fully red then you have a confirmed downtrend and when the candle is fully green you have a confirmed up trend of the stochastic however if, you a combination of the two colors inside of one candle then you do not have a confirmed direction of the stochastic . the strategy is simple for the stochastic and that you need to know your overall trend. if you are in an uptrend you are waiting for the stochastic to reach bottom and start curving up. if you are in a downtrend you are waiting for the stochastic to reach its top or its peak and curve down. In an uptrend you want to make sure that the stochastic is making consistently higher lows just like price should be. if at any moment it makes a lower low then you know you have a problem with your Trend and you should consider exiting. The opposite is true for a downtrend. In a downtrend you want to make sure you have lower highs. if at any given moment you end up with a higher high than you know you have a problem with your Trend and it's probably ending so you should consider exiting. The stochastic indicator done as he can actually candles also does a very good job of telling you when there is a change of character. In that moment when the change of character shows up you simply wait until your trend and your price start to match up. You can also use the stochastic indicator in this format to find divergences the same way you would on the relative strength index against your price highs and price lows so Divergence trading is visually a little bit easier with this tool. The settings for the K percent D percent RSI length and stochastic length can be adjusted at will so be sure to study the history of the stochastic and find the good settings for your trading strategy.
by CoffeeshopCrypto
4
The "Hidden RSI Divergence" and a LIVE TRADEFinding regular divergences is an easy thing especially when you're using the heiken Ashi algo oscillator but finding hidden divergences can be a little bit more complex. So in today's video I'm going to show you how to find hidden divergences and what you should do with them. Obviously step number one is go to the community scripts on tradingview and search for Heiken Ashi Algo Oscillator If you Have any trouble finding it just follow this link What you're watching me do in this video is identifying hidden Divergence has and I am doing a live trade. I am also discussing the importance of setting your support and resistance levels as well as looking at your charts, doing your analysis on a high time frame and then doing your actual trades on a lower time frame. In the previous video as I've mentioned before anything happening between the green and red or + 10 + - 10 range of the oscillator anything inside that area is irrelevant you don't care about heiken Ashi values or oscillators values or anything inside that area so when you have your RSI cross for example above the 0 level you also need a hike and as you candle to close above + 10 when you have your RSI value across below the 0 leveled you also need a heiken Ashi candle to close below the -10 level. One thing to note is the major difference between regular divergences and hidden divergences is this. When looking for Regular Divergence has you are looking for highs above the +10 of the oscillator or you are looking for Lowe's below the -10 level of the oscillator. However with hidden Divergences it is different. a hidden Divergence will be the Lowe's above + 10 and the highs below -10. So at this point you are looking for the highway 6 or the low wicks in those areas. But ultimately you still trade them the same way. Meaning that if your RSI slope is to the down side then you have to be ready for your price to move down. If the slope of your RSI Divergence is to the upside then you have to be ready for price to move up. I could do my best to tell you in this dialogue how to do this trade however it would be best for you to just watch this video and ask questions below.
Education
by CoffeeshopCrypto
6
What is the Heiken Ashi Algo OscillatorWhat is the "Heiken Ashi Algo Oscillator" Well here is a link to it It is an indicator that measures volume and momentum. It plots and RSI as Heiken Ashi candles. It includes seven different types of moving averages against the relative strength index. Each one of these moving averages calculates faster than the previous, starting from the SMA to the LSMA. It includes a hidden vwap as a moving average to confirm Trend Direction. It uses a "Double Stochastic Strategy" designed by @CoffeeshopCrypto The first Stochastic being called the "slow stochastic" and the second stochastic using a hull moving average calculation and it's K% and a separate multiplication in its D%. ------------------------------------------------------------------ Welcome to the coffee shop everyone. This is your host and Barista Eric as always serving up something piping hot and frothy unless you just like a chai tea which tastes like a hot Garden in a cup. Chai is definitely not my cup of tea but I do like drinking tea over coffee . So if you feel like sending me something then let it be either coins on tradingview or it could be a few tea bags of your favorite. Okay so I'm keeping the intro very short today and I know my videos tend to be pretty long and I max out at the 20 minute marker but I do like to keep you people informed and today is the information you've been waiting for. today is the release of the Heiken Ashi Algo oscillator. There is definitely not enough time in this video To break down all the different ways you can use it for trading because it is available to so many different styles and strategies so in today's video I'll show you what all the parts do what all the parts mean you can take it and added to your chart and start running with it. In the meantime day-to-day you will see new strategies posted in my profile. Each one depicting a different trading strategy and trading style that can you can use against the Heiken Ashi Algo Oscillator. I figured it would be easier this way anyway to break up the trading Styles across different videos so that there is no confusion and you won't have to worry about watching two different styles in the same video at least . So without further Ado let's grab our coffee and tea and raise our glasses in a universal, community style toast and get onto the oscillator and all of it's moving parts. This is where you need to play the video and listen, because it would be TOO MUCH to type and too much to read. So let's go. ----------------------------------------- For my trading style, the HA candles have been Recalculate it again because I come to find out that the AHA candles are based on a 2. Calculation which means if my candles are set to 9. IRS I should be twice of that and my RS I'm moving average should be two times at so my candles are 9 my RS I is 18 which is 9 * 2 and my are as I'm moving average is 36 which is 18 * 2. I just wanted to point this out before anyone starts asking me what are the best settings. these are not necessarily the best they are simply the ones that work for me. HA Candle: These are the colors, Wicks, and borders, as they are plotted against yourRSI. they are simply a representation of the RSI signal but you can have your RSI set at one length while your candles are set at another length. RSI: No description needed here this is simply the relative strength index long exit - This is a signal to tell you the uptrend is going to pause or stop. short exit - this is a signal to tell you that the downtrend is going to pause or stop Resistance levels - This is a signal to tell you where you can set the beginning of a trend line and the level of resistance on your chart. support levels - is this a signal to tell you where you can set the beginning or end of a trendline and set a support level on your chart RSI Moving average - this is the signal line of your moving average against your RSI and you can choose up to 7 different calculations. Buy and sel Signals - These signals are triggered based off of certain criteria happening in the oscillator related to volume and Trend Direction. **WARNING** You should take BUYS when you are in an uptrend and SELLS in a downtrend. (IE 200ma below the 50 ma for uptrend and 200 above 50 for downtrend) Slow stochastic RSI ribbon - this prints a visual representation of the regular stock a stick on your oscillator. Fast Stochastic RSI ribbon - This is the second part of the double Stochastic strategy which prints a fasterStochastic on your chart which uses part of a hull Moving Average calculation. Finally ALERTS have been included. To use the alerts go to your alerts Tab and click create alert. Under "Condition" select Heiken Ashi Algo In the drop-down below it you can select: buy signal to enter long Sell signal to enter short Soft Long or Short exit, if you want to get out of your Long or Short trade when the trend begins to change Hard Long or Short exit, Is when you definitely should get out of your long or short trade. there is also an alert set up if you want to be notified about new resistance levels or new support levels. Just select the one you want and adjust the message that will arrive to you via email, phone, or on screen. So........ did we do a good job? Let's talk in the comments below.
Education
by CoffeeshopCrypto
12
BTC Macro Entry Reversal Strategy. Highest risk return.Entry point for BTC based on momentum reversing out of the bear market. For those trading on confirmation and solid risk reward ratios. Find a safe bottom, not necessarily the lowest price. Strategy 1. The major buy signal comes when the first Heikin Ashi 1M closes green. (This was once printed in June 2014. But a high RSI would falsify the signal trigger) 2. Looking deeper into the MACD . We want to see a shorter Histogram close in the monthly. (Where a histogram peak is formed) 3. This is usually confirmed by a healthy sign of the Stoch RSI closing blue over orange. 4. If you're even more conservative. After the signal, I'd wait for an spike in volume. Notes. - My personal prediction is that BTC falls 85% towards 11k. However the strategy is triggered at a price the market has decided. The most important part is the risk adjusted return. - The strategy is best aligned to Lump Sum entry. - The histogram will peak. It's a matter of when. Therefore I'm not interested in the price. - I suggest replaying BTCUSD in past cycles on standard bars to see how the bars are printed. (H-A won't work on replay) - The strategy only has 2 major data points. I'd prefer 3. But the higher time frames install greater confidence. Tickers and Indicators. - BTCUSD INDEX 1M, HeikinAshi. - RSI and Stoch RSI . - MACD with histogram.
INDEX:BTCUSD
by Croftyness
(SPY) Bears, the market may move lower: careful of the look backAMEX:SPY In this video I go over very general market conditions and express my bear case on the SPY using some simple indicators. This is not financial advise and was created for entertainment and educational purposes only. Do not use this video and its contents as a recommendation to buy or sell any type of security, the opinions expressed are of my own and should be taken with a grain of salt. No one person is always right (or wrong)- please do your own TA and DD when making any financial decisions in the market. A stock guru I know once told me "price action is king" and I took it to heart. Ignore the noise, be simple, look at the chart and let it speak to you. The video is really only supplemental information to pair with the post below (which is much more detailed): The SPY is coming off a very strong bearish candle close at $412. This marked a range from the previous 4 months with a top of range of $479.98 - closing the month of April's candle -14.33% or -$68.77. This 4 month move countered 8 months worth of price discovery - or in other words, a 1 year reset button was just pushed. Rewind. Monthly Time Frame: Stochastic shows neutral, room for buyers and sellers The 200 is trading below the 50, signaling a bull market - don't isolate this thought though The monthly candle that just closed pushed well past the 12 EMA - which acted as support on the previous 3 months candles (as seen as a slice of the candle wicks/shadows) Weekly Timeframe: Stochastic shows oversold slightly. On this time frame the SO seems to be much more sensitive on the oversold side than the overbought. Bears should keep this in mind when considering short term reversals or lookbacks. The weekly candle printed below the 50 SMA, 12/26 EMA, but above its 200 SMA. The 50 SMA (low) attempted support but ultimately failed. The Daily print closing below closing levels of April 2020 There was also a 12/26 EMA cross under that developed in the last daily print - this could signal a stronger downside that is to come. 3 Day Time Frame: Very similar to the weekly with one big difference lying in the 12/26 crossunder which happened Feb 10 and a look back rally that pushed through (but failed to maintain) in late March. May Sept Dec 21' and Feb 22' all produced similar 3day prints that were follow by a bull rally - do be careful of these rally periods as the SPY continues its downward trend as they will come because the price never goes straight up or down. The Stochastic is again showing signs of being very sensitive to oversold conditions. Oct 21', Jan Feb and March 22' all show a rally after touching the oversold mark. 1 Day Time Frame: This is where the picture becomes a little more clear IMO. The daily print is now below the 200 and 50 SMA set, and the 12/26 EMA still - both the 12 under the 26 and 50 under the 200 - technically a bear market (unlike the 1M, 1W, and 3D showing the 50 over 200) The first overhead EMA is the 12 which could be looked to as resistance upon a lookback. The 50 SMA (low) should also be noted, as it seemed to have provided support April 12th - 18th. This support is now considered resistance. Stochastic showing oversold, and again showing sensitivity to these conditions as compared to its counter This is IMO the most important line of support/resistance you can find - not just for the SPY but for the entire market. The ULTIMATE crash will come with confirmation of the break below. Mark this line on your charts and consider it for the future. This is the bottom of 08' that created support, switched to resistance in 11' which confirmation of its strength in 18' and 20'. It was only during a recovery(?) that it was broken. Time will tell if resistance is now support - we do not know yet because it has not been tested. My gut says it will provide some, but very little resistance when the time comes. This is what that line looks like relative to the daily for context - the current price is roughly $20 away of -5% from this line of "assumed" support. This is not a hard feat IMO for bears to look at as a price target in the short term. This would be in the $390-400 range. If you consider the 3 day chart in relation you will notice the 200 SMA set has a H-C-L of 387.26, 382.71, 376.92, respectively. This could be a lower PT that bears could be looking to. Additional levels to consider to the downside would be a range of 405-411 in the near short term. Really, considering the gap found on April 1st to April 5th that range could be extended to 400 before support could start to be used. There is no real structure here though, the next structure is found in the lower 390s. Lookbacks could happen at any time, but patterns lately show lots of doji and morning star reversals that tend to give us a heads up. Again, nothing goes up or down in a straight line. Lookback levels I would consider would be on the Daily time frame at the 50 and 200 SMA sets 50 SMA: 437.19, 433.28, 428.68 200 SMA: 450.98, 448.15, 445.13 Also, I would consider the pivots at 437.20 and 461.55 as resistance in the case of a rally Conclusion: I expect continuation of bearish pressure with short lived look back rallies. The market overall IMO is not topped out just yet and we very well may see higher highs before lower lows in the short term. Even though I do think a crash is imminent, I do believe there is room for bulls to take short control. Mainly do to oversold conditions that show lots of sensitivity. That said, there is also no indication of a bottom just yet either. Almost all signs point down. Remember, and this is the last time, nothing goes up or down forever - expect turbulence. I think the SPY will go down to $400 to at least test, and perhaps even lower to the 370s before a bottom is found. You all have a wonderful trading week and best of luck to all those in the market!
AMEX:SPYShort
by OccamsPhazer
2