Fast Stochastics

Fast Stochastic for NT8

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.

Indicator Description

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

Because it is range bound, the Fast Stochastic indicator is useful in identifying overbought and oversold levels. The range is defined by values from 0 to 100 where values below 20 express an oversold scenario (trading near the bottom of its high-low range) and values above 80 overbought (trading near the top of its high-low range). Of course, these levels may be adjusted to fit the characteristics of the market you trade. The Fast Stochastic indicator differs from the standard version in that the Period K line is not smoothed.

The Fast Stochastics can be used with the Library Roofing Filter to correct distortions in the fixed scale threshold readings. The threshold levels may then be used without manually adjusting them according to the current trend scenario.

The oscillator is best used when aligned 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 momentum oscillators

Other than the Fast Stochastics, our standard momentum oscillators category feature a number of other entries, such as the Acceleration Declaration, Awesome Oscillator, LBR 3/10, the Traders Dynamic Index, Slow RSI, Stochastic RSI along with new and improved versions of the standard RSI and Stochastics. 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 indicator is available for NinjaTrader 8.