Monthly Archives: December 2020
Indicators
Written on December 28, 2020 at 7:53 am, by lishitong
There are essentially two groups into which technical indicators fall – leading and lagging indicators. Leading indicators will change in advance of expected economic trends; they are often used to predict future movements but not always necessarily accurate. Lagging indicators are used to summarise past movements as opposed to predicting future; it changes after theContinue Reading
Lagging Indicators
Written on December 28, 2020 at 7:51 am, by lishitong
Moving AveragesA moving average is a type of technical indicator that traders use in order to calculate the average price of a security over a given time. There are two different types of moving averages; simple moving average [SMA] and an exponential moving average [EMA] Simple Moving Averages (SMAs)A simple moving average is calculated byContinue Reading
Leading Indicators
Written on December 28, 2020 at 7:39 am, by lishitong
As mentioned before leading indicators will change in advance of expected economic trends; they are often used to predict future movements but not always necessarily accurate. Now that we have discussed moving averages, an example of a lagging indicator, let us move on to the Relative Strength Index which is a type of leading indicator.Continue Reading