Glossary › stochastic oscillator
Trading glossary · indicators
stochastic oscillator
A 0 to 100 gauge that shows where the latest close sits between the recent highest and lowest prices.
The fuller meaning
An oscillator placing the close within the high-low range of the last N periods, usually 14, on a 0 to 100 scale, with %K as the main line and %D a 3-period average of it. Above 80 is called overbought and below 20 oversold; it is fast, works best in ranges and can stay pinned at an extreme in trends.
stochastic oscillator, also called stochastic.
Related words
61.8% level · ATR · ATR expansion · bearish divergence · Bollinger Bands · bullish divergence · crossover · %D · death cross · divergence