McClellan Oscillator
The McClellan Oscillator is a technical analysis tool used to measure the strength of a market. It is based on the difference between the number of advancing and declining stocks in the market. The McClellan Oscillator is a momentum indicator that is used to identify overbought and oversold conditions in the market. It is calculated by subtracting the number of declining stocks from the number of advancing stocks and then smoothing the result with a moving average. The result is a number that oscillates between -100 and +100. A reading above +50 indicates a bullish market, while a reading below -50 indicates a bearish market.
History of the McClellan Oscillator
The McClellan Oscillator was developed by Sherman and Marian McClellan in 1969. The McClellans were pioneers in the field of technical analysis and developed the oscillator as a way to measure the strength of a market. The oscillator is based on the difference between the number of advancing and declining stocks in the market. The McClellan Oscillator is a momentum indicator that is used to identify overbought and oversold conditions in the market.
Comparison Table
| Indicator | Range | Interpretation |
|---|---|---|
| McClellan Oscillator | -100 to +100 | Above +50 indicates a bullish market, while below -50 indicates a bearish market. |
Summary
The McClellan Oscillator is a technical analysis tool used to measure the strength of a market. It is based on the difference between the number of advancing and declining stocks in the market. The McClellan Oscillator is a momentum indicator that is used to identify overbought and oversold conditions in the market. It is calculated by subtracting the number of declining stocks from the number of advancing stocks and then smoothing the result with a moving average. The result is a number that oscillates between -100 and +100. A reading above +50 indicates a bullish market, while a reading below -50 indicates a bearish market. For more information about the McClellan Oscillator, please visit Investopedia, StockCharts, and TradingView.
See Also
- Relative Strength Index (RSI)
- Moving Average Convergence Divergence (MACD)
- Stochastic Oscillator
- Bollinger Bands
- On Balance Volume (OBV)
- Average Directional Index (ADX)
- Commodity Channel Index (CCI)
- Price Rate of Change (ROC)
- Williams %R
- Chaikin Money Flow (CMF)
