This version of Stochastic evaluates the probability of taking the specified profit in points. The appropriate value is set in the parameters, and the product automatically shows possible options for the market it is currently applied to. There are much more options and the information is more extensive compared to conventional Stochastic (see the screenshots).
- The yellow channel is absent (flat movement, market entry is not recommended).
- The yellow channel is narrowing (trend is forming).
- The yellow channel is widening (the market is slowing down, volatility is dropping).
You can enter the market at several conditions, for example:
- The yellow channel is narrowing, the main line is crossing the channel to the outside (the market volatility is growing).
- The yellow channel remains unchanged, the main line is crossing it inwardly.
- The yellow channel is narrower than 20-80 lines, the main line is crossing the level 80 (20) inwardly.
The market entry based either on the main line or on the crossing of the main line and the yellow channel is performed at trader's discretion.