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How To Trade The Slow Stochastic Oscilla…tor

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As with any trading indicator, the Stochastic Oscillator is only a tool and should be used as part of an overall trading strategy.

I’m not going to draw a conclusion for you as to the effectiveness but will cover different uses for the Stochastic.

I also am only going to cover the slow Stochastic because I’ve always found the slow version much easier on the eyes then the fast Stochastic as you can see from this graphic.

WHAT IS THE STOCHASTIC OSCILLATOR

You’ve heard of momentum in trading and the Stochastic is designed to give you an objective measure of the momentum in your trading instrument. It’s bounded by the numbers 0 and 100 and will oscillate between those two areas.


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