Relative Strength Index

• 1). Look at the Relative Strength Index (RSI) of an equity share. The RSI is used to show when a share is thought to be oversold (too cheap) or overbought (too expensive). The RSI uses a 14-day average of the share price, which is plotted on a scale between one and 100. If the current day's price significantly exceeds the average and is at the extremes of the scale, the share is said to be overbought or oversold. Typically if the share falls below 30 on the scale it is oversold, above 70 and it is overbought.
  
  
• 2). Create a chart using BigCharts (bigcharts.marketwatch.com) by entering the ticker symbol of the equity share you wish to analyze in the "Enter Keywords/Symbol" field and click "Advanced Chart." The ticker symbol is the short unique identifier of a particular company's equity share and is usually three letters derived from the company name. The chart will appear showing the historical price movements of the selected equity share.
  
  
• 3). Select "Indicators" from the menu on the left of the screen and pick "RSI" from the drop down menu and click "Draw Chart." The chart will be re-drawn to show the RSI indicator plotted against the price.
  
  

Moving Average Convergence Divergence Indicator

• 1). Follow the Moving Average Convergence Divergence indicator (MACD). This indicator measures the speed of a share's rise or fall. It is comprised of two lines plotting the average price over a period, usually 26 and 12 days. A signal that the price of a share will continue to move in a particular direction occurs when the two lines cross, indicating the momentum of the price movement is strong.
  
  
• 2). Draw a chart on the BarChart website (barchart.com) by selecting "Stocks" from the top menu. Enter the share's ticker symbol in the "Enter Ticker and click "GO." From the "Quotes and Charts" menu, select "Technical Chart." The chart will be drawn displaying the price and volume of shares traded. Beneath the chart there are several options that you can select to customize the chart.
  
  
• 3). Select "Moving Average Convergence/Divergence" from the "Add An Overlay" drop down menu. Click "Draw Chart" to view the share's chart with the MACD displayed beneath it.
  
  

On Balance Volume Indicator

• 1). Study the volume of shares traded using the On-Balance Volume (OBV) indicator. Perhaps the most straight-forward indicator to understand, the OBV shows how many shares have been traded during a particular period and displays a negative or positive value depending on a share's price movement. If the price has fallen, the OBV will be given a negative value, if it has risen the value will be positive. This indicator is usually used to spot buying or selling trends over a period of time.
  
  
• 2). Enter the ticker symbol of the share you wish to chart in the "Enter Stock Symbol" field on the ClickCharts (clickcharts.com) website. Click the "GO" button to draw the chart.
  
  
• 3). Select "On Balance Volume" from the "Indicators" drop down menu in the "Chart Settings" box on the right of the screen and click the "GO" button. The chart will now display the On Balance Volume indicator.