The stochastic indicator does not track the price or the volume of the underlying currency pair, but rather the speed and price impulse. This means that the stochastic indicator changes direction before the price itself and can, therefore, be considered as a leading indicator. The most important signals identified by Lane are the bullish and bearish divergences that form in the stochastic indicator, which can anticipate future price changes. However, since the stochastic indicator oscillates within a given range, it can also be used to identify price levels of overbought purchases and overpriced sales.
How to install Stochastic on chart indicator?
- First of all download the Stochastic on chart indicator.zip
- Copy mq4 files to your Metatrader Directory/experts/ indicators /
- Start or restart your Metatrader software.
- Select Chart and Timeframe where you want to load the indicator file.
- Now load the indicator file from indicator section then you will see the Stochastic on chart indicator on your Chart.