What is ‘Qstick Indicator’
A technical indicator developed by Tushar Chande to numerically identify trends in candlestick charting. It is calculated by taking an ‘n’ period moving average of the difference between the open and closing prices. A Qstick value greater than zero means that the majority of the last ‘n’ days have been up, indicating that buying pressure has been increasing.
Explaining ‘Qstick Indicator’
Transaction signals come from when the Qstick indicator crosses through the zero line. Crossing above zero is used as the entry signal because it is indicating that buying pressure is increasing, while sell signals come from the indicator crossing down through zero. In addition, an ‘n’ period moving average of the Qstick values can be drawn to act as a signal line. Transaction signals are then generated when the Qstick value crosses through the trigger line.
Further Reading
- Measuring the Impact of Energy Interventions on the Poor—An Illustration from Guatemala – elibrary.worldbank.org [PDF]
- An integrated stock market forecasting model using neural networks – www.inderscienceonline.com [PDF]
- Forecasting Financial Time Series with Grammar‐Guided Feature Generation – onlinelibrary.wiley.com [PDF]
- A non-random walk down Canary Wharf – mpra.ub.uni-muenchen.de [PDF]
- A NOVEL PROBABILISTIC NEURAL TRADING STRATEGY USING R AND SHINY PACKAGE FOR THE DEVELOPMENT OF AN ONLINE APPLICATION – search.proquest.com [PDF]
- An integrated stock market forecasting model using neural networks – rave.ohiolink.edu [PDF]
