Chaikins Oscillator



Chaikin's Oscillator Interpretation:

This indicator can emphasize the end of a trend when prices reach a new high or a new low while the Chaikin Oscillator does not reach a new extreme and change direction. The divergence between the indicator and the price quote identify major reversal points and give strong buy or sell signals.

A bullish divergence occurs when the stock price makes new lows while the indicator fails to make new lows. A bearish divergence occurs when the stock price makes new highs while the indicator fails to make new highs.

Chaikin's Oscillator Calculation:

The Chaikin's Oscillator is created by subtracting an x period exponential moving average of the Accumulation Distribution Line. (default values : x=10 and y=3)




Return from Chaikins Oscillator to Using Indicators

New! Comments

Have your say about what you just read! Leave me a comment in the box below.







From the writers...

"It is far better to show you how to trade on your own, than it is for you to depend on us to tell you what to trade and when"


Your E-mail Address
Your First Name
Then

Don't worry — your e-mail address is totally secure.
I promise to use it only to send you Successful Forex Traders.


Get Chitika | Premium


The top five Trading Indicators as voted by you guys

Bollinger Bands
Stochastics
MACD
Moving Average
Parabolic SAR

To vote for what you find to be the most useful or for a full list of indicators please click here



If you have found this website helpful, please donate to show your support. The average donation is £7