Hi, I have 2 charts both charts have Stochastic oscillator period set to 14. One chart have interval of 5 minutes the other is set to 1 hour interval. Why do the Stochastic oscillators look different? is software recalculating the 5 minute different than the 1 hour chart? thank you in advance.
Things are as they are. The algorithm (ie. the underlying maths) is correct. You can understand it best if you first study & experiment with simple moving average (SMA). So, bottom line is: be careful when using a different interval, as then the result mostly differs. Ergo: stick always to the same parameters... S.a. https://en.wikipedia.org/wiki/Stochastic_oscillator https://en.wikipedia.org/wiki/Moving_average#Simple_moving_average https://en.wikipedia.org/wiki/Moving_average_crossover
There are not scaled together so how can you tell they look different. A 5 minute chart has twelve times as many bars as a 1 hour chart. Regardless Stoch or any other indicator will most of the time be different looking on different timeframes. It is when they "line-up" that you pay attention.
% IT sure is, on those charts; i measured it[before i rightly assumed it was]. Same reason a 50 day moving average is different from 50 week moving average ; one of my chart systems auto translates a 50dma into a 50 wma.[Not to be confusing but IBD puts a 50 day movin average on its weekly charts, so in that case its the same] All the false signals= noise on 5 minutes is one reason even Don Bright Daytrading Co did not like 5 minutes charts. He said every ship wreck has a chart on the bottom of ocean.