Momentum

ROC

Rate of Change

Edited by GANGCO STUDIO · Updated

Contents ROC
  1. MACD
  2. Ichimoku Cloud
  3. Pivot Line
  4. DMI
  5. Parabolic SAR
  6. Aroon
  7. Supertrend
  8. Exponential Moving Average
  9. MA Golden Cross
  10. MA Dead Cross
  11. ADX
  12. RSI
  13. Stochastic
  14. SONAR
  15. TRIX
  16. CCI
  17. ROC
  18. Disparity Index
  19. Psychological Line
  20. Williams %R
  21. AB Ratio
  22. Ultimate Oscillator
  23. Volume Profile
  24. OBV
  25. MFI
  26. Volume Oscillator
  27. Volume Ratio
  28. AD Line
  29. EOM
  30. PVT
  31. CMF
  32. VWAP
  33. Force Index
  34. Bollinger Bands
  35. ATR
  36. Envelope
  37. Keltner Channels
  38. Donchian Channel
  39. Standard Deviation
  40. Chaikin Volatility
  41. Three White Soldiers
  42. Three Black Crows
  43. Morning Star
  44. Evening Star
  45. Hammer
  46. Inverted Hammer
  47. Hanging Man
  48. Shooting Star
  49. Doji
  50. Bullish Marubozu
  51. Bearish Marubozu
  52. Bullish Engulfing
  53. Bearish Engulfing
  54. Piercing Line
  55. Dark Cloud Cover
  56. Bullish Harami
  57. Bearish Harami
  58. Elder-Ray Index
  59. Coppock Curve

An indicator that connects into a line how many percent the close has risen or fallen compared with the close a few candles ago.

Weapon tier
Standard
Slots used
Sub-charts 1/2

Concept

ROC asks “how many percent has the price changed compared with 12 candles ago?”. Above 0 the price is higher than back then; below 0 it is lower.

The panel shows a single roc line, with a dotted line at 0 whenever the value has gone below 0. The farther the line is from 0, the faster the move.

  • ROC

Charts by TradingView Lightweight Charts™

80 candles with volume and the roc line in the panel. While the price falls, roc stays below 0; at candle 60 (arrow) roc rises above 0. The price then climbs slowly and roc stays above 0 for a while. Keyboard: ←/→ to move, +/− to zoom, 0 to see the whole chart.

roc rising above 0 means the price is higher than it was 12 candles ago. This chart was chosen as a scene where the price rose afterwards; dropping back below 0 after crossing is common too. Drag the chart sideways with a finger or the mouse to move it, and pinch with two fingers to zoom in. With a keyboard, click the chart, then use ←/→ to move and +/− to zoom.

How it is calculated

ROC = (current close − close 12 candles ago) ÷ close 12 candles ago × 100.

It compares just two candles without averaging, so it reacts quickly and is correspondingly jagged.

Parameters

What it setsName in the gameDefaultRange
How many candles back to compare with period 12 1 – 100

Trading ideas

Crossing 0: when roc has been below 0 for a while and then rises above it, it is commonly read as a falling price becoming higher than its reference point, meaning the trend is starting to turn. The chart on this page shows that scene.

Watching the slope: if the price keeps rising but each roc peak is lower than the last, the rise is seen as slowing down.

Common traps

  • The comparison is with a single candle 12 candles ago, so if that candle was an unusual spike, the value changes a lot regardless of the current price.
  • In sideways moves roc crosses 0 often, which produces many signals.
  • The chart on this page was chosen as a scene where the price rose after the signal. Read it together with the trend (lesson 2) and volume.

In the game

  • “ROC” is a “Standard” weapon and uses 1 of the “Sub-charts” panels (limit 2). Volume in the starting setup already uses 1, so adding ROC brings it to 2 (0 left).
  • The panel shows a single roc line, plus a dotted line at 0 whenever the value has gone below 0.

Related indicators and lessons

  • RSI — An indicator that compares recent up moves with recent down moves and shows, as a number from 0 to 100, which side has been stronger lately.
  • Stochastic — An indicator that shows, on a scale of 0 to 100, where today’s close sits between the lowest and the highest price of the last few candles.
  • SONAR — An indicator that draws how much an exponential moving average has risen (or fallen) compared with a few candles ago, to read the “slope” of the trend.
  • TRIX — An indicator that shows by what percent, per candle, a very smooth line — an exponential moving average stacked three times — rises or falls.
  • CCI — An indicator that shows how many times its usual swing the price has moved away from its recent average.
  • Disparity Index — An indicator that shows, around a baseline of 100, how many percent the close is away from its moving average.
  • Psychological Line — An indicator that reads the market mood, upbeat or gloomy, from the percentage of recent candles that closed higher.
  • Williams %R — An indicator that shows, as a number from −100 to 0, how far today’s close sits below the highest price of recent candles.
  • AB Ratio — An indicator that compares how far each candle rose above and fell below its open, showing which side was stronger during the session.
  • Ultimate Oscillator — An indicator that blends buying pressure over a short, a medium and a long period into a number from 0 to 100.
  • 2. Trends and sideways moves