rate of change (roc) trading strategy ki information.

AOA

Rate of change trading strategy ik momentum based strategy hai but es ma in twist hai ROC strategy ma two concept ki practice ki jati hai. First trend ki strength ko study kiya jata hai or possible momentum shift ko bey measure karny ki khosis ki jati hai. Ye bhot important hai key market ki rapid changes sy react kiya jaye. Ye bey advise kiya jata hai key market par nazar rakhi jaye key wo kis side par move kar rahi hai. Ye objective view rate of change sy he aya hai.



What is Rate of Change.

Rate of change ki short abbreviation ROC hai. Ye ik technical indicator hai or ye momentum based indicator family sy tahaluq rakhta hai. ROC percentage in current price or ko price N period ma measure karta hai. Dosray alfaz ma agr bat ki jaye to rate of change ye compare karta hai key current price ketni tezi sy move kar rahi hai nisbatan pechle din ya pechly week kay. So ham ROC indicator velocity indicator b kehty hain. ROC indicator do chezo ko measure karta hai. First ye kay kb momentum shift occur kary ga or second trend ki strength ya weakness.



Calculation of Rate of Change.

ROC ik formulay kay zaraye find kiya ja sakta hai.

ROC= [(closing price - closing N periods ago) / closing price N periods ago ] x 100

Default number of period jis par ROC find ki jati hai wo 9 periods hai or ye short term trading kay lae bhot suited hai. Long term trading kay laye bigger period use kiya jata hai. Akhir ma result ko 100 sy multiply es lae kiya jata ta kay result ko percentage ma transform kiya ja saky.



ROC indicator for trading.

ROC indicator price kay sath sath move karta hai. Agr market ki price N periods ma increase kar rahi hai to ROC positive value dey ga. But agr price N periods ma fall kar rahi hai to es ka matlab ye hai k ROC ki value negative ho gi. Jb ROC zero line kay uper or nechy move kar rahi hoti hai to eska matlab ye hota hai kay price consolidation move ma hai. Jb ROC zero line ko cross kar jati hai to ye change in market trend ko show karta hai.



Why ROC trading.

Trader kis base par ROC ko use karyn or relative strength index ko ignore karyn now ye question rise hota hai. Es ki waja ye hai kay ROC leading oscillator hai jo high momentum ma stock ko spot karta hai. Jo short term ma bhot achi outcome deta hai. ROC ye b information deta hai kay strong buyer or seller market ko dominate kar rahy hain.



ROC trading strategy.

ROC trading strategy best hai scalpers kay laye or day traders kay lae kiu kay wo short term trading ko prefer karty hain. ROC price ka sath rise or fall karti hai. Long term trading kay lae trend ko multiple time frame ma anlayze karna chahe. ROC trader ko ye information deta hai kay price ketni fast move kar rahi hai agr es ko previous periods sy compare kiya jaye to. ROC ka upper band unlimited hota hai or es kay lower ki limit -100 tak hoti hai.

Re: Rate of Change (ROC) Trading Strategy ki information.

yes dear, forex trading ma kafi saray indicators use hota hain jin ma sa kuch leading aur kuch lagging hotay hain, ye hmain market ki moment aur pairs ki routine kay baray ma information daitay hain, in ma sa Rate of change aik simple leading momentum indicator ha jo momentum oscillator kay similar principle par working karta ha, ye indicator market kay trend ma acceleration aur deccelration ki speed ko measure karta ha,

Features of Rate of Change:





ye indicator latest close prices ko past ki certain period ki close price kay sath compare karta ha, is kay liay 7-days rate of change recent close price ko 7 days ago wali close price kay sath use karay ga, Momentum indicator ki tarah Rate of change bhi consistant hota ha aur ye dono prices ki changes jay liay kafi sensitive hota ha jin ma recent close price aur specified period wali close prices shamil hoti hain

Calculation of Rate of Change:





Rate of change two steps ma calcualte hota ha, pehlay step ma momentum calculate kia jata ha jo previous close price ko latest close price ma sa subtract kar kay hasil hota ha, is result ko previous close price sa divide kia jata ha aur pphr 100 sa multiply kar kay percentage hasil kar li jati ha iska formula ye banta ha,

Rate of change = (latest close - previous close) / (previous close) x100

previous close wo earlier price hoti ha jo trader na specify ki hoti ha, resulted percentage ko oscillator par plot kia jata ha jo +100% aur -100% kay darmian oscillate karta ha

How ROC is used:



ROC ma momentum oscillator ki tarah key consideration center line hoti ha, jab ROC center line sa fall below hoti ha aur turn back karti ha aur perticular pair ki prices uptrend ma hoti hain to buy signal generate hotay hain, isi tarah jab ROC center line sa above move kar kay turn karta ha aur pair ki prices downtrend ma hoti hain to sell signals generate hotay hain, ranging market ma overbought aur oversold conditions reference line par depend karti hain, jo ROC kay around manually draw ki jati ha, general rule kay mutabik ROC ko 5% sa ziada time reference line kay above aur below spend nhi karna chaiay, entry signals us waqt generate hotay hain jab ROC par draw ki gae trend line violate hoti ha

Re: Rate of Change (ROC) Trading Strategy ki information.

Introduction.
Rate of change jiski short term ROC bhi hay, aik aisa indicator hay jo keh momentum technical indicator hay. Yani keh ye indicator hamain current trend ka momentum kam ya ziada hona batata hay. Is indicator ki madad say ham short yerm time frames main bahut achi tarah say trade kar sakty hain. Ye indicator mojudah price aur previus periods ki price kay sath calculate kar kay in main change ka batata hay. Yeh indicator zero kay sath plotted hota hay. Ager price main posotive change aye to upside move karta hay, jab keh ager is main negative change aye to ye downside move karta hay.



Calculation Method.
Is ki calculation bahut easy hay laikin thori si technical bhi hay. Ham last periods ki price laity hain. Maslan ager ham last 12 times ki prices laity hain to phir iski aberage ko current price main say minus karty hain. Is tarah ye change baz dafa negative main ati hay aur baz dafa positive hoti hay.
Iska formula ye hay.
ROC=Closing price - closing price N periods ago / closing price N periods ago × 100

How ir helps in trading.
Ager ROC zero say up ho air barh raha ho to iska matlab hay keh yahan trend upside hony kay sath sath is change ka momentum bhi taiz hay aur acceleration mai hay. Aur ager zero day up to magar gir raha ho to iska matlab keh uptrend main kami a rahi hay. Laikin ager zero say uper ROC hony ki surat main ye again up jana shuru ho jaye to iska matlab hay keh uptrend ki speed bahut ziada hay.
Jab keh ager ROC zero say nichy ho aur gir raha ho to iska matlab hay keh downtrend speed main hay. Jab keh ager zero say nichy to ho magar uper jana shuru ho to iska matlab keh downtrend slow ho raha hay.



Trading strategy by using ROC.
Bazahir RIC kay zero say above aur rising ki surat main buy ki trade jab keh zero say nichy aur falling ki surat main sell ki trade lagani he suitable hay. Laikin confirm signal kay liye ham isko moving average kay sath mixup kar kay use kar sakty hain ta keh ham loss say bachy rahain.