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Trend, momentum and strength: reading a price chart
The "Why is it moving?" button on the trade page reads three things from the chart. Here is what each means, without the jargon.
Updated Oct 31, 2026
Basahin sa FilipinoWhat is the trend (moving averages)?
A moving average is the average price over the last few days, recalculated every day. Tradeground compares today’s price with the averages of the past 7, 25 and 99 days: about a week, a month and three months.
| Today’s price is… | Reading |
|---|---|
| Above all three averages | Uptrend: it has been climbing |
| Below all three | Downtrend: it has been falling |
| Above some, below others | No clear direction |
What is momentum (MACD)?
Momentum is whether a move is speeding up or slowing down. MACD measures it by comparing a short-term average with a long-term one.
| What you see | Plain meaning |
|---|---|
| The rise is speeding up | Buying is getting stronger |
| The rise is slowing down | Buying is getting weaker |
| The fall is speeding up | Selling is getting stronger |
| The fall is slowing down | Selling is getting weaker |
| Just turned | The other side is starting to take over |
What is strength (RSI), and what do "overbought" and "oversold" mean?
RSI is a score from 0 to 100 comparing recent gains with recent losses. 50 means buyers and sellers have been even.
| Score | Name | Plain meaning |
|---|---|---|
| 70 or more | Overbought | Buyers pushed very hard; prices often cool off for a while |
| 55 to 70 | Buyers a bit stronger | |
| 45 to 55 | About even | |
| 30 to 45 | Sellers a bit stronger | |
| 30 or less | Oversold | Sellers pushed very hard; prices often bounce for a while |
These describe what already happened; none of them predicts the future. Use them to understand a chart, not as a signal to buy or sell.