Stochastic Oscillator

(redirected from Stochastic Oscillators)
Also found in: Wikipedia.

Stochastic Oscillator

In technical analysis, an indicator of market momentum. A stochastic oscillator measures whether the closing price of a security is closer to the high or the low. It is based on the assumption that when a market is trending upward, the closing price will be closer to the highest price, and, when it is trending downward, the closing price will be closer to the lowest price. It is calculated as:

Stochastic Oscillator = 100 * (closing price for a given day - lowest price for the previous 14 trading days) / (highest price for the previous 14 trading days - lowest price for the previous 14 trading days).
Mentioned in ?
References in periodicals archive ?
They cover neural and oscillatory networks of associative memory, oscillatory networks for modeling the brain structure's performance, image processing based on the oscillatory network model, parallel information processing and photon echo, and stochastic oscillators for modeling polarized light beams.
Crude's 30-day stochastic oscillators have climbed to almost 70, a level that would indicate prices are overbought.
George Lane, a financial analyst from the 1950s is one of the first to publish on the use of stochastic oscillators to forecast prices.
The stochastic oscillator is a momentum indicator used in technical analysis, introduced by George Lane in the 1950s, to compare the closing price of a commodity to its price range over a given time span.
Transaction signals can be spotted when the stochastic oscillator crosses its moving average.
The fast stochastic oscillator or Stoch %K calculates the ratio of two closing price statistics: the difference between the latest closing price and the lowest price in the last N days over the difference between the highest and lowest prices in the last N days:
In effect, the stochastic oscillators compare a security's closing price to its price range over a predetermined time frame.
Stochastic oscillators contain two lines which are prominently displayed in graphs throughout the study.
An examination of stochastic oscillators will hopefully show appropriate signals on both full-fledged upmoves and downmoves as well as the corrective processes which disrupt overall or major trends.
Sell signals were received from both fast and slow stochastic oscillators in March, 1995 when %K turned down and crossover the %D line.
Among the themes are modeling and controlling coupled stochastic oscillators, the localization of oscillations in dynamical systems and control of oscillatory delayed-coupled networks, the mathematical modeling of dynamic systems for volcano physics, geometric control for quantum and classical models, and modeling and optimizing beam and plasma dynamics.

Full browser ?