Fast or Slow Stochastics to use at Yahoo?

tsutomu · Joined: 11 Sep 2004 Posts: 2

Hello,

I am from Hong Kong and Yahoo provides a nice website for showing the candlestick charts with stochastics for Hong Kong stocks. There are, however, fast and slow stochastics. Which one should I use? Rolling Eyes

I am not a day trader and I think I am prepared to stay in the long position in terms of months.

Thank you very much.

tsutomu

candlestick1 · Posted: Sat Sep 11, 2004 10:59 am Post subject: Stochastics

use the slow stochastics, they are the ones that will take the wiggles out. For swing trading, 3 to 10 days, we use 12,3,3. For long term trading, 14,5,5 may be better

Tradermom · Guest

The moving averages are also an great indicator. Steve and Dave Elliotts
combining the candlestick signals and the moving averages are working for me. You might want to take a look at the 50 day and 200 day averages.

tsutomu · Joined: 11 Sep 2004 Posts: 2

candlestick1: what do those numbers actually mean? I can't see the parameter at Yahoo! and I don't know which one is which. Are there anyone also making use of Yahoo? Which one is for day trader? Slow of fast stochastics? Then I will assume the other one is the one I should use.

Tradermom: do you mean if 50-day moving average is below 200-day moving averages, consider it as oversold. If it is above, then consider it as overbought? And combine it with the reversal signals of candlesticks?? Is this what you are making use of??

Many thanks!

candlestick1 · Posted: Sun Sep 12, 2004 2:26 pm Post subject: fast and slow stochastics

those numbers are for putting into the parameters for the charts that can be customized. If the Yahoo charts are preset, then you will have to back test to see whether the fast or slow stochastics on their charts worked better in past trading situations.

The 50 day and 200 day moving averages are levels to watch for reversals to occur. Watch to see if the moving average itself is coinciding with the stochastics and a candlestick signal. If all three are in sync, then the probabilities of the moving average being a support or resistance level is that much greater. The use of the moving averages have nothing to do with where they are in relationship to each other or whether they are crossing.

Ron · Guest

I use the slow on bigcharts.com but on stockcharts.com there's a 3rd type called "full" stochastics. Is that better than slow?

candlestick1 · Posted: Mon Sep 13, 2004 1:46 pm Post subject: stochastics

That I can not answer, the best test is to go back and look at the signals at the turns and see how close the stochastics were to bottoming and turning at those points. Keep in mind that the stochastics are only a reference for where the trend is. The signals tell you what the chnge in investor sentiment is doing