Rate of change (ROC) refers to how quickly something changes over time.
Thus, it is the acceleration or deceleration of changes (ie, speed), and not the magnitude of the individual changes themselves.
In finance, rate of change is used to understand price retracement and determine trend momentum.
Moving averages are used by traders to understand the rate of change in asset prices by smoothing them out.
The price change rate indicator is a technical tool that measures the percentage change in price between the current price and the price a certain number of periods ago.
The Accumulation/Distribution Line (A/D) measures the supply and demand of an asset or security by looking at where price closed in a period range and then multiplying that by volume.
A bullish engulfing pattern is a candlestick pattern that forms when a small black candlestick the next day is followed by a large white candlestick whose body completely overlaps or engulfs the body of the previous day’s candlestick.
A cup and handle is a technical charting pattern that resembles a cup and handle, where the cup is shaped like a “U” and the handle is slightly offset downwards.
The Directional Movement Index (DMI) is a technical indicator that measures both the strength and direction of price movement and is designed to reduce false signals.
Donchian Channels is a technical indicator designed to identify bullish and bearish extremes that encourage reversals, as well as up and down breakouts, breakouts and emerging trends.
The Double Exponential Moving Average (DEMA) is a type of technical indicator used to identify a potential uptrend or downtrend in the price of a stock or other asset.
The Dow Theory is a technical framework that predicts that a market is in an uptrend if one of its moving averages rises above a previous important high, followed or followed by a similar rise in the other moving average.
Elliott Wave Theory is a form of technical analysis that looks for recurring long-term price patterns associated with constant changes in investor sentiment and psychology.