A price target is the projected price level of a financial security as stated by an investment analyst or advisor. Price targets are used by investors and analysts to determine whether a security is undervalued or overvalued, and as a guide for setting investment objectives. How do you read a technical analysis chart? When you … Read more
The Percentage Price Oscillator (PPO) is a momentum oscillator that measures the difference between two moving averages as a percentage of the larger moving average. The PPO can be used to identify trend direction and possible trend reversals. The PPO measures the difference between a short-term moving average ( typically 26-period ) and a long-term … Read more
The Mass Index is a technical indicator that is used to measure the strength of a market trend. The Mass Index is calculated by taking the ratio of the day’s high price to the day’s low price. The Mass Index is then plotted on a graph with a period of 9. A rising Mass Index … Read more
The Three Black Crows: Meaning, Significance, and Limitations What is the three method? The three method is a technical analysis technique that uses the three most recent candlesticks to generate buy and sell signals. The technique is based on the assumption that the market trend will continue if the three candlesticks form a consistent pattern. … Read more
A horizontal channel is a price pattern that is created when the price of an asset fluctuates between two parallel levels. This type of channel is often created during periods of consolidation, when the price is bouncing between support and resistance levels. The horizontal channel is a continuation pattern that can be used to identify … Read more
A harami cross is a candlestick pattern that signals a potential reversal in the market. It is composed of a large candlestick followed by a small candlestick that is completely contained within the body of the first candlestick. The small candlestick can be either bullish or bearish, but the direction of the reversal is typically … Read more
The Tri-Star Definition is a technical analysis pattern that is used to predict a reversal in the current trend. It is composed of three candlesticks that have the following characteristics: 1. The first candlestick is a long white candlestick that closes near its high. 2. The second candlestick is a small black candlestick that opens … Read more
A tweezer is a candlestick pattern that is formed when the candlesticks have similar highs or lows. This pattern can be either bullish or bearish, depending on the direction of the candlesticks. If the candlesticks have similar lows, this is considered a bullish tweezer, as it suggests that the market is starting to turn around. … Read more
Choppy markets are periods of time where the price of an asset moves erratically and without a clear direction. These periods are often characterized by a lack of volume and a lack of participation from both buyers and sellers. Choppy markets can be caused by a number of factors including macroeconomic news, earnings releases, or … Read more
Hook reversals are candlestick patterns that can be used to identify potential reversals in the market. The patterns are formed when the open and close of a candlestick are both below the previous candlestick’s open and close, respectively. Hook reversals can be used as standalone signals or in conjunction with other technical indicators to generate … Read more
