Generally, the price rises, declines and oscillates. Therefore, it has a speed. The speed of the price-action is known as the rate of change or momentum. To evaluate the momentum, technical traders use the momentum oscillators such as stochastic, MACD, moving averages, RSI and CCI.
The price-action can speed up, slow down and reverse too. It becomes clear to me that it is logical to compare the price-action to a vehicle (moving engine).
So if the price-action is comparable to a vehicle, what is the fuel that it burns to generate the energy to propel itself?
Well, that is what I will be sharing under the next subtitle.