Stochastic typically has three parameters that users must specify: %K, %D,and number of periods. Normally the default setting is 5,5 and 3. Another commonly used setting is 5, 3, and 8 . 15, 3, 3 is used by conservative traders who are interested in receiving less signals, while 8, 5, 5 and 5, 5, 3 are more aggressive settings for traders who are looking for fast signals. The tradeoff between accuracy and speed is something every trader must consider when choosing the inputs they will use in stochastics.
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