Table of Contents

# Technical Indicators and Overlays

**Technical Indicators** are the often squiggly lines found above, below and on-top-of the price information on a technical chart. Indicators that use the same scale as prices are typically plotted on top of the price bars and are therefore referred to as **"Overlays."**

This section describes the various kinds of technical indicators and overlays that are available here at *StockCharts.com*.

- Introduction to Technical Indicators and Oscillators - An in-depth introduction to the various kind of technical indicators and oscillators out there. A "must read" article for StockCharts.com users.

## Overlays

- Bollinger Bands - A chart overlay that shows the upper and lower limits of 'normal' price movements based on the Standard Deviation of prices.
- Chandelier Exit - A indicator that can be used to set trailing stop-losses for both long and short position.
- Ichimoku Clouds - A comprehensive indicator that defines support and resistance, identifies trend direction, gauges momentum and provides trading signals.
- Keltner Channels - A chart overlay that shows upper and lower limits for price movements based on the Average True Range of prices.
- Moving Averages - Simple and Exponential - Chart overlays that show the 'average' value over time. Both Simple Moving Averages (SMAs) and Exponential Moving Averages (EMAs) are explained.
- Moving Average Envelopes - A chart overlay consisting of a channel formed from simple moving averages.
- Parabolic SAR- A chart overlay that shows reversal points below prices in an uptrend and above prices in a downtrend.
- Pivot Points- A chart overlay that shows reversal points below prices in an uptrend and above prices in a downtrend.
- Price Channels - A chart overlay that shows a channel made from the highest high and lowest low for a given period of time.
- Volume by Price - A chart overlay with a horizontal histogram showing the amount of activity at various price levels.
- Volume-weighted Average Price (VWAP) - An intraday indicator based on total dollar value of all trades for the current day divided by the total trading volume for the current day.

## Indicators

- Accumulation Distribution Line - Combines price and volume to show how money may be flowing into or out of a stock.
- Aroon - Uses Aroon Up and Aroon Down to determine whether a stock is trending or not.
- Aroon Oscillator - Measures the difference between Aroon Up and Aroon Down.
- Average Directional Index (ADX) - Shows whether a stock is trending or oscillating.
- Average True Range (ATR) - Measures a stock's volatility.
- BandWidth - Shows the percentage difference between the upper and lower Bollinger Band.
- %B Indicator - Shows the relationship between price and standard deviation bands.
- Commodity Channel Index (CCI) - Shows a stock's variation from its 'typical' price.
- Coppock Curve - An oscillator that uses rate-of-change and a weighted moving average to measure momentum.
- Correlation Coefficient - Shows the degree of correlation between two securities over a given time frame.
- Chaikin Money Flow - Combines price and volume to show how money may be flowing into or out of a stock. Alternative to Accumulation/Distribution Line.
- Chaikin Oscillator - Combines price and volume to show how money may be flowing into or out of a stock. Based on Accumulation/Distribution Line.
- DecisionPoint Price Momentum Oscillator - An advanced momentum indicator that tracks a stock's rate of change.
- Detrended Price Oscillator (DPO) - A price oscillator that uses a displaced moving average to identify cycles.
- Ease of Movement (EMV) - An indicator that compares volume and price to identify significant moves.
- Force Index - A simple price-and-volume oscillator.
- Know Sure Thing (KST) - An indicator that measures momentum in a smooth fashion.
- Mass Index - An indicator that identifies reversals when the price range widens.
- MACD - A momentum oscillator based on the difference between two EMAs.
- MACD-Histogram - A momentum oscillator that shows the difference between MACD and its signal line.
- Money Flow Index (MFI) - A volume-weighted version of RSI that shows shifts is buying and selling pressure.
- Negative Volume Index (NVI) - A cumulative volume-based indicator used to identify trend reversals.
- On Balance Volume (OBV) - Combines price and volume in a very simple way to show how money may be flowing into or out of a stock.
- Percentage Price Oscillator (PPO) - A percentage-based version of the MACD indicator.
- Percentage Volume Oscillator - The PPO indicator applied to volume instead of price.
- Price Relative - Technical indicator that compares the performance of two stocks to each other by dividing their price data.
- Rate of Change (ROC) - Shows the speed at which a stock's price is changing.
- Relative Strength Index (RSI) - Shows how strongly a stock is moving in its current direction.
- StockCharts Technical Ranks (SCTRs) - Our relative ranking system based on a stock's technical strength.
- Slope - Measures the rise-over-run for a linear regression
- Standard Deviation (Volatility) - A statistical measure of a stock's volatility.
- Stochastic Oscillator - Shows how a stock's price is doing relative to past movements. Fast, Slow and Full Stochastics are explained.
- StochRSI - Combines Stochastics with the RSI indicator. Helps you see RSI changes more clearly.
- TRIX - A triple-smoothed moving average of price movements.
- True Strength Index (TSI) - An indicator that measures trend direction and identifies overbought/oversold levels.
- Ulcer Index - An indicator designed to measure market risk or volatility.
- Ultimate Oscillator - Combines long-term, mid-term and short-term moving averages into one number.
- Vortex Indicator - An indicator designed to identify the start of a new trend and define the current trend.
- William %R - Uses Stochastics to determine overbought and oversold levels.

## Market Indicators

- Introduction to Market Indicators - An in-depth introduction to popular market indicators found on StockCharts.com.

- Market Indicator Dictionary - A complete list of all the market indicators that we track on StockCharts.com.

- Advance-Decline Line - A cumulative breadth indicator derived from Net Advances.
- Advance-Decline Percent - A breadth indicator that measures the percentage of net advances within a particular group, such as an SPDR or index ETF.
- Advance-Decline Volume Line - A cumulative breadth indicator derived from Net Advancing Volume.
- Advance-Decline Volume Percent - A breadth indicator that measures the percentage of net advancing within a particular group, such as an SPDR or index ETF.
- Arms Index (TRIN) - A breadth indicator derived from the AD Ratio and AD Volume Ratio.
- Bullish Percent Index (BPI) - A breadth indicator derived from the percentage of stocks on PnF buy signals.
- DecisionPoint Climatic Volume Indicator (CVI) - Measures overbought/oversold short-term climatic volume conditions.
- DecisionPoint Intermediate-Term Breadth Momentum Oscillator (ITBM) - The ITBM gives a different perspective of breadth than the shorter-term McClellan Oscillator.
- DecisionPoint Intermediate-Term Volume Momentum Oscillator (ITVM) - The ITVM gives a different perspective of volume than the shorter-term McClellan Volume Oscillator.
- DecisionPoint Participation Index (PI) - Measures the percentage of stocks pushing the upper and lower edge of the short-term trend envelope.
- DecisionPoint Short-Term Volume Oscillator (STVO) - The 5-day EMA of the DecisionPoint Climactic Volume Indicator.
- DecisionPoint Swenlin Trading Oscillator (STO) - Overbought/oversold indicator that can assist in identifying short-term tops and bottoms.
- DecisionPoint Volume Trend Oscillator (VTO) - Measures overbought/oversold conditions in the intermediate term.
- High-Low Index - The 10-day moving average of the Record High Percent Index, which is a breadth indicator (see below).
- High Low Percent - A breadth indicator that measures the percentage of new new highs within a particular group, such as an SPDR or index ETF.
- McClellan Oscillator - A MACD type oscillator of Net Advances.
- McClellan Summation Index - A cumulative indicator based on the McClellan Oscillator.
- Net New 52-Week Highs - A breadth indicator showing the difference between new highs and new lows. Percentage, cumulative and smoothed versions can be used.
- Percent Above Moving Average - A breadth oscillator that measures the percentage of stocks above a specific moving average.
- Put/Call Ratio - A sentiment indicator found by dividing put volume by call volume.
- Record High Percent Index - A breadth indicator that shows new highs as a percentage of new highs plus new lows.
- Seasonal Charts - A charting tool that shows monthly seasonal patterns on both an absolute and relative basis.
- Volatility Indices - Indicators of implied volatility designed to measure fear and complacency for a range of indices and ETFs.