BLOG – Page 16 – investment IQ

"The CMB Composite Index is a tool that combines multiple indicators to evaluate market trends – explore its components on InvestmentIQ.in"

CMB Composite Index

Post published:23/07/2025

What Is the CMB Composite Index? Constance Brown first presented the CMB Composite Index, an unbound momentum indicator, in her book Technical Analysis for the Trading Professional. The traditional RSI indicator, created by Welles Wilder, had several drawbacks that this updated version of RSI aims to address. First, Brown's signal now includes a momentum component, which Wilder's version does not. Brown also decided to turn the CMB Composite Index into an unbound indicator. Some reversal indications may be missed by traditional RSI because of its restricted character. Brown recommends looking for divergences between the CMB Composite Index and traditional RSI, which can indicate an upcoming reversal.…

"The %B Indicator helps traders analyze where price stands within Bollinger Bands. Learn how it works on InvestmentIQ.in."

What Is the %B Indicator?

Post published:22/07/2025

What Is the %B Indicator? The price of a securities is measured by the %B Indicator in relation to the upper and lower Bollinger Bands. It can be used to determine the strength of a trend and spot overbought or oversold situations. It can assist you in identifying entry points inside a particular trend when combined with other indicators, such as the Money Flow Index (MFI). All things considered, the %B is a flexible instrument that can improve your capacity to assess and react to markets. There are six basic relationship levels: %B is below 0 when price is below the lower band %B equals 0 when…

"Understand how Average True Range Percent (ATRP) helps traders evaluate market volatility in percentage terms – from InvestmentIQ.in"

Average True Range Percent (ATRP)

Post published:18/07/2025

Average True Range Percent (ATRP) Investment iq offers the ATRP, which is a variant of the ATR. The Average True Range (ATR) and ATRP both quantify volatility, but they are not the same. Since ATRP is expressed as a percentage, you can use it to compare the ATR values of several securities. The ATR is divided by the closing price, and the result is multiplied by 100 to determine the ATRP.A copy ATRP = (ATR / Close) * 100 Using ATRP With .investmentiq In investmentiq, you can view multiple charts simultaneously, making…

"Learn how to calculate ATR (Average True Range) with a clear step-by-step explanation – by InvestmentIQ.in"

“How to Calculate ATR in-2025?

Post published:17/07/2025

"How to Calculate ATR? The Average True Range (ATR) can be computed intraday, daily, weekly, or monthly and is typically based on 14 periods. The ATR in this case will be calculated using daily data. The initial 14-day ATR is the average of the daily TR values over the previous 14 days, and the first TR value is just the High minus the Low because there must be a beginning. Then, using the ATR value from the prior period, Wilder attempted to smooth the data.A copy Current ATR = [(Prior ATR x 13) + Current TR] / 14 - Multiply the previous 14-day ATR by 13. - Add…

"Visual representation of Average True Range (ATR) and ATR Percent (ATRP) – tools for measuring market volatility on InvestmentIQ.in"

Average True Range (ATR) and Average True Range Percent (ATRP) in-2025

Post published:16/07/2025

What Is the Average True Range (ATR)? The Average True Range (ATR) is a volatility indicator that was created by J. Welles Wilder. Wilder created ATR with commodities and daily prices in mind, as he did with the most of his indicators. Compared to equities, commodities are sometimes more volatile. They frequently experience gaps and limit moves, which happen when a commodity opens up or closes below the session's maximum permitted change. The volatility of gap or limit moves would not be captured by a volatility model that solely relies on the high-low range. In order to account for this "missing" volatility, Wilder developed the Average True Range. It is important to remember that ATR doesn't indicate price direction, just volatility.In his 1978 book, New Concepts in Technical Trading Systems, Wilder discusses ATR. The Directional Movement Concept (ADX), RSI, and Parabolic SAR are also included in this book. Wilder's indications have endured and are still widely used even though they were created before the computer era. True…

ATR Trailing Stops provide dynamic, volatility-based exit levels to help traders lock in profits and reduce risk.

ATR Trailing Stops

Post published:14/07/2025

What is the ATR Trailing Stops Indicator? An indicator based on volatility, the ATR (Average True Range) Trailing Stop establishes dynamic stop-loss levels for market entry or exits. This indicator establishes the trailing stops by utilizing the Average True Range, a statistic that assesses market volatility. By dynamically modifying the stop levels in response to shifting market conditions, the indicator can assist you in risk management or in determining when to enter the market. How are the ATR Trailing Stops Calculated? ATR Trailing Stops calculation requires a few steps. They are as follows: Calculate…

"Swing Charting simplifies price action by highlighting significant highs and lows, helping traders identify trends and reversals."

Swing Charting

Post published:28/06/2025

Swing Charting What do Point & Figure charts, Kagi charts, Renko charts, Filtered Waves, and ZigZag have in common? They are all related to swing charting in some way. What…

⚖️ Is buying or selling pressure dominating the market? The Arms Index (TRIN) helps traders spot market extremes and short-term reversals with volume-weighted accuracy. 🔍 A powerful tool for intraday and swing traders.

Arms Index (TRIN)

Post published:13/06/2025

What Is the Arms Index (TRIN)? The Arms Index, also known as the TRIN or Short-Term TRading INdex, is a breadth indicator developed by Richard W. Arms in 1967. The…

📈 Want to level up your chart analysis? Learn how to use indicators like RSI & MACD and overlays like moving averages to spot trends, momentum, and entry points. 🎯

Technical Indicators & Overlays

Post published:06/06/2025

Technical Indicators & Overlays Introduction Technical Indicators are the often squiggly lines found above, below and on-top-of the price information on a technical chart. Indicators that use the same scale…

📊 Not all support & resistance levels are obvious! Learn proven methods — from trendlines to Fibonacci retracements — to identify key price zones with confidence. 🚀

Methods to Establish Support and Resistance?

Post published:05/06/2025

Highs and Lows Support can be established with the previous reaction lows, while resistance can be established by using the previous reaction highs. The below chart of Halliburton (HAL) shows…