youtor.org
Stochastic Indicator Tutorial
#############################
Video Source: www.youtube.com/watch?v=7PAKQUVlONY
http://www.guerillastocktrading.com/l... (CLICK HERE FOR THE FULL LESSON) It follows the speed or the momentum of price. As a rule, the momentum changes direction before price. As such, bullish and bearish divergences in the Stochastic Oscillator can be used to foreshadow reversals. This was the first, and most important, signal that Lane identified. Lane also used this oscillator to identify bull and bear set-ups to anticipate a future reversal. Because the Stochastic Oscillator is range bound, is also useful for identifying overbought and oversold levels.
#############################
