Unknown Indicator
Mean Deviation In A Nutshell
A way to implement this tool is if you’re investing and want to ensure you equity or product is not getting to far from the mean. If you notice the product is increasing and is way past the deviation levels, this could be an indication you may want to look at taking products. This tool could work for intra day trading as well, giving you areas to watch and take action if the product gets too out of line.
Similar to standard deviation, this is a way to gauge how far a data point is from the mean or where is should be speaking in loose terms. The mean deviation is the mean of that data you are analyzing’s absolute deviations around the mean of your data, or the average distance from the mean. So, similar to standard deviation, it is telling you where the data should be and when to be alert that is has gone too far from the average or mean.
Closer Look at Mean Deviation
When using products such as this, it is important to fully understand what makes up the equation, that way you know how it works and can adjust it in the future. Sure, you may understand the data it puts out, but you may not know why it is what it is. That way, if a data point gets to far away, you can analyze why that is. Be sure to test this out on a demo account first, that way you understand how it functions and if it will be a good fit. If you ever have questions, reach out to an investing community and begin bouncing ideas off of others. That is the best way to learn how this is being used in the real financial world.
Other Indicators
All Technical Analysis
Generate Optimal Portfolios
Other Complementary Tools
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |