Fast Stochastics

The Fast Stochastic indicator supplied with NinjaTrader cannot be used with an input series other than price. We have recoded it so that you may apply it to other indicators. To do so, simply select any of the other NinjaTrader indicators as input series.

Fast Stochastic for NT8

Indicator Description

As with the standard Stochastic, the Fast Stochastic oscillator compares the closing price to the range in the lookback period. This effectively places the Fast Stochastic indicator in the momentum category.

You may use the Fast Stochastic indicator to establish overbought and oversold levels. The range display values from 0 to 100. Values below 20 express an oversold scenario, trading near the bottom of its high-low range. Values above 80 overbought, trading near the top of its high-low range. Of course, you may adjust these levels to fit the characteristics of the market you trade. The Fast Stochastic indicator is different from the standard Stochastic as it does not smooth the Period K line.

The Fast Stochastics oscillator can be used with the Library Roofing Filter to correct distortions in the fixed scale threshold readings. You can then use the threshold levels without manual adjustments according to the current trend scenario. An example on how to do that was discussed in our post on Improving Fast Stochastic Setups (with video).

Generally, you’ll want to align the Fast Stochastics oscillator with a higher timeframe trend / momentum bias. You may also increase the probability of successful trades by “buying support and selling resistance”. For additional information, please review our Indicator Spotlights on the Average Daily Range Projections, Opening Range, Regression Channel, Daily Pivot Levels and Fibonacci Retracement Lines.

Other library indicators

Other than the Fast Stochastics indicator, our standard momentum oscillators category feature a number of other entries, such as the Acceleration Declaration, Awesome Oscillator, Double Smoothed Momentum (Blau), Double Smoothed Stochastics (Blau), LBR 3/10, the Traders Dynamic Index, Slow RSI, Stochastic RSI, Stochastic Momentum Index (Blau), along with new and improved versions of the standard RSI and Stochastics indicators.

The NinjaTrader Indicators Library also has a category for advanced oscillators, with among others the Rainbow Oscillator, Projection Oscillator and the SVE Stochastics ITF. These tools build on the same concept as the standard momentum oscillators, but with a higher degree of sophistication. In general, they allow for added value approaches, utilizing a set of more complex algorithms. Our Indicator Spotlight has also reviewed other indicators that may be used to determine momentum, namely the TDI indicator and the Ichimoku Kinko Hyo,

The Fast Stochastics oscillator is available for NinjaTrader 8.