There are dozens of technical indicators, how to choose good stock indicators? Technical indicators are used to know when to enter or exit a trade. If you know how to enter and exit a trade, you can easily make profits. That is why choosing good stock indicators are important. Some of stock market indicators are more common and useful than others. Also you need a few of them to trade not all off them. In this article I try to describe three oscillators: Momentum and Rate of Change (ROC) Moving Average Convergence/Divergence (MACD) Relative Strength Index (RSI) What are oscillators? Oscillators are indicators that are usually computed from prices and that tends to cycle or “oscillate” within a fixed or limited range. Momentum and Rate of Change (ROC) Momentum is an oscillator designed to measure the rate of price change, not the actual price le fiat currency vel. This oscillator consists of the net difference between the current closing price and the oldest closing price from predetermined period. The formula is: Momentum (M) = CCP – OCP Where: CCP is Current Closing Price and OCP is Old Closing Price Momentum is simply the difference, and the ROC is a ratio expressed in percentage. Momentum and Rate of Change (ROC) are simple indicators showing the difference between today’s price and the close N days ago. Momentum in general term means strongly movement of prices in a given direction. Moving Average Convergence/Divergence (MACD) MACD is computed by subtracting a longer moving average from a shorter moving average. MACD is used with a signal or trigger line, which is a moving average of MACD. If MACD and trigger line cross, then this indicate that a change in the trend is likely. MACD developed by Gerald Appel.