Can we make a profitable MACD trading strategy with the help of the MACD indicator and the MACD histogram? This article looks at creating a MACD trading strategy with the MACD indicator. We look at what it is, and how you can use it. Does the MACD indicator work? In which markets does it work…
Connors RSI including backtest The traditional RSI indicator has been a great tool for technical analysis and trading, but there have been some efforts by traders to improve it. One such improvement gave rise to the Connors RSI, which can be an invaluable tool for traders when applied correctly — not only does it allow…
The Death Cross in trading is a widely cited phenomenon in the financial media. As of writing, the media is full of stories about the price of Bitcoin being close to the Death Cross. In this article, we look at the performance of the Death Cross in the S&P 500. A Death Cross involves two…
Many patterns or models try to predict what the performance of the market may be in any given year. For example, the January effect, presidential cycles, valuation models, etc. Today we will look at one that many traders do not usually know. It’s called the December low indicator strategy. The December low indicator tries to…
This article examines how the RSI indicator works and how to develop an RSI trading strategy. The Relative Strength Index (RSI) was developed by Welles Wilder and first introduced in a magazine called Commodities (now Futures) in June 1978. Wilder published a book in the same year called New Concepts In Technical Trading Systems (he…
Out of the hundreds or thousands of technical indicators and oscillators that exist, the Klinger oscillator indicator is not one that comes to mind first. However, because it is not well known doesn’t mean it doesn’t work or that we should dismiss it. The Klinger Oscillator is a momentum indicator incorporating volume, price, and trend….
A reader recently asked if we use Heikin Ashi Candlestick in our trading. So what exactly is Heikin Ashi? In this article, we will reconsider the price representation called Heikin-Ashi, and try to get something good out of the charting technique to use it for algorithmic trading. Can we make a Heikin Ashi trading strategy?…
The Internal Bar Strength indicator (IBS) has worked remarkably well for over two decades. We can only guess why, but the stock market has been highly mean-reverting during this period, and this has, of course, given the IBS a nice tailwind. IBS is simply an indicator where you buy on weakness and sell on strength,…
Which is the best oscillating indicator for trading strategies? When you start out in trading it might be a daunting task to understand all the bells and whistles provided by your trading software. There are plenty of indicators, moving averages, and oscillators to use. How can you use the indicators to make money? In this…
Many trading indicators are available to traders. One of them is the DeMarker indicator, which was named after a prominent technical analyst Thomas DeMark who created it. The DeMarker indicator, also known by the abbreviation “DeM”, is a technical indicator that measures the demand for the underlying asset. It compares the most recent high and…
