ROC (Rate of Change)

Rate of Change (12) momentum.

What is ROC?

Rate of Change (12) measures the percentage change between the current price and the price N periods ago. Positive values indicate upward momentum, negative values indicate downward momentum.

Parameters (12)

  • Bullish: ROC > 0 — positive momentum
  • Bearish: ROC < 0 — negative momentum

Interpretation

  • Bullish: ROC crossing above zero — positive momentum
  • Bearish: ROC crossing below zero — negative momentum
  • Divergence vs price can signal reversals
  • Data refreshes periodically — not real-time

Trading Signals

  • Buy: ROC crosses above zero (upward momentum)
  • Sell: ROC crosses below zero (downward momentum)
  • ROC extremes flag stretched moves — watch for reversion

Price Overlay

  • Close Price: Daily closing price (right Y-axis)
  • ROC divergence from price = momentum losing steam
  • ROC crossing zero + price direction = trend confirmation
  • ROC extreme + price reversal = exhaustion signal

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