Definition
Momentum oscillator comparing the close to the high-low range over N bars, with %K smoothing and a %D signal average. Readings above 80 are overbought, below 20 oversold.
Parameters
Asset, Lookback period (14), %K smoothing (3), %D smoothing (3), Line (k | d)
Output range: 0 to 100
Example condition
`Stochastic(AAPL, 14, 3, 3, k) < 20` (Oversold bounce setup)Usage notes
Bullish signal is %K crossing above %D in oversold territory — a low %K alone just means a strong downtrend.
Use in a strategy
Add this indicator to a strategy condition, choose its supported parameters and compare the output with the threshold required by your rule. Preserve the same interval and lookback when comparing backtests.
After saving the condition, inspect its asset, interval, lookback and comparison operator against the parameters above. If no trades occur, check whether the condition ever became true and whether the requested input data exists for that period. A missing input is not a zero-valued signal. An indicator produces an input to a rule. It does not establish future returns, and data availability can differ across assets and periods.