Two-Point Problem Of The Rate Of Change by Martti Luoma and Jussi Nikkinen
ARTICLE SYNOPSIS ...Stocks & Commodities V. 25:4 (26-30): Two-Point Problem Of The Rate Of Change by Martti Luoma and Jussi Nikkinen
Here's a look at a modified version of the rate of change indicator, free of its detracting problem.
The rate of change indicator (ROC), one of the best-known oscillators in technical analysis, is an important measure of momentum. It describes
the rate at which price changes occur. ROC can be defined as a relative change. This definition of the percentage change provides a natural and commonly used way to measure changes in business and economics. Given the intuitiveness and predi...