FSO (Fast Stochastic Oscillator)
The FSO (Fast Stochastic Oscillator) is a momentum indicator that compares a particular closing price of a security to a range of its prices over a certain period of time. It is used to generate overbought and oversold trading signals, utilizing a 0-100 bounded range of values. A reading above 80 is considered overbought, and a reading below 20 is considered oversold. See also Slow Stochastic Oscillator (SSO).
Arguments
| Name | Description |
|---|---|
period | number of candles |
Useful Signal Expressions
1. Stochastic Overbought
Signal:
close().fso(14).gt(80)
Explanation: The Fast Stochastic Oscillator is above 80, suggesting the security is overbought.
2. Stochastic Oversold
Signal:
close().fso(14).lt(20)
Explanation: The Fast Stochastic Oscillator is below 20, suggesting the security is oversold.