Stochastic Trend for Higher Timeframe



In this page, you will learn about the ‘Stochastic Trend for Higher Timeframe’ conditions.



The stochastic oscillator is a technical indicator of momentum used to compare the closing price to a range of prices over a given period of time. This oscillator is sensitive to fluctuations in market price, although the level of fluctuation in the indicator can be smoothed somewhat by altering the time period being measured. %K refers to the main plot line, and %D refers to the signal line (just an SMA of %K).



Stochastics have 3 settings:
Stochs %K Length - Default is 14. Number of bars back on the chart that stochastics use.
Stochs %K Smoothing - Default is 6. Length of the SMA of stochastics, this SMA is actually %K.
Stochs %D Smoothing - Default is 3. Length of the SMA of %K, this SMA is actually %D.



We have 2 condition options:
Uptrend - %K is above %D on specified timeframe
Downtrend - %K is below %D on specified timeframe

The timeframe for the stochastic momentum can also be customized with the timeframe dropdown selection. The timeframe must be equal to or higher than the current timeframe or the results will not be accurate.

Example: If you wanted to code a strategy where one of the entry conditions was:
%K is above %D (with default settings) on the 1 day timeframe.
You would input it like this: