Tag: difference
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Momentum and Rate of Change (ROC)
Momentum and rate of change (ROC) are simple technical analysis indicators showing the difference between today’s closing price and the close N days ago. Momentum is simply the difference, Momentum = Close(today) – Close(N days ago) Rate of change scales by the old close, so as to represent the increase as a fraction, …
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ETFs vs Mutual Funds and The Fundamental Difference
ETFs are very much like mutual funds. That is, they are baskets of stock that are bought and sold. But they have many differences from mutual funds. The fundamental difference between ETFs and mutual funds in that shares of ETFs can be traded at any time while the host stock market is open. Mutual funds,…
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What is MACD? How to Read MACD?
Moving Average Convergenc/Divergence ( MACD) indicator is an oscillator technique that uses 2 exponential moving averages. What makes this indicator so useful is that it combines some of the oscillator principles with a dual moving average crossover approach. MACD line is the difference between two exponentially smoothed moving averages of closing prices (usually the last…