Hybrid Indicator

AAA

DEFINITION of 'Hybrid Indicator '

A technical indicator that combines core elements of chart analysis with existing indicators. Hybrid indicators are one of the two main types of technical indicators, the other being unique indicators. The term may also refer to an indicator used to express the credit risk of hybrid securities.

INVESTOPEDIA EXPLAINS 'Hybrid Indicator '

Indicators such as the Moving Average Convergence Divergence (MACD) and certain market breadth indicators are examples of hybrid indicators. Since these indicators combine existing indicators with chart patterns and mathematical manipulation, there are innumerable ways in which hybrid indicators can be formed.

RELATED TERMS
  1. Unique Indicator

    A technical indicator that can be developed using only core elements ...
  2. Chartist

    An individual who uses charts or graphs of a security's historical ...
  3. Crossover

    The point on a stock chart when a security and an indicator intersect. ...
  4. Technical Indicator

    Any class of metrics whose value is derived from generic price ...
  5. Moving Average Convergence Divergence ...

    A trend-following momentum indicator that shows the relationship ...
  6. Altman Z-Score

    The output of a credit-strength test that gauges a publicly traded ...
RELATED FAQS
  1. How can a representative sample lead to sampling bias?

    A representative sample, like any other type of sample, by its very nature leads to a degree of sampling bias, or sampling ... Read Full Answer >>
  2. What's the difference between a representative sample and a convenience sample?

    A representative sample properly represents the statistical population from which it is chosen, whereas a convenience sample ... Read Full Answer >>
  3. What percentage of the population do you need in a representative sample?

    Technically, a representative sample requires only whatever percentage of the statistical population is necessary to replicate ... Read Full Answer >>
  4. What's the difference between a representative sample and a random sample?

    A representative sample is a group or set chosen from a larger statistical population or group of factors or instances that ... Read Full Answer >>
  5. What are the best selection methods for creating a simple random sample?

    The best selection methods for selecting a simple random sample are the lottery method, using a random number table or having ... Read Full Answer >>
  6. What types of data are necessary to make a technical analysis?

    Virtually all technical analysis is designed to be done with data inputs of price and time. One other data input important ... Read Full Answer >>
Related Articles
  1. Active Trading Fundamentals

    Simple Moving Averages Make Trends Stand Out

    The moving average is easy to calculate and, once plotted on a chart, is a powerful visual trend-spotting tool.
  2. Trading Strategies

    Momentum And The Relative Strength Index

    These two indicators can give the trader a better understanding of when to get in and out of an issue.
  3. Active Trading Fundamentals

    How Market Psychology Drives Technical Indicators

    The tenets of market psychology underlie each and every charting tool.
  4. Forex Education

    How To Build A Trading Indicator

    Wondering how people like Elliott and Gann built their famous trading tools? Learn the basics of constructing an indicator.
  5. Forex Education

    Stochastics: An Accurate Buy And Sell Indicator

    Find out how stochastics are used to create buy and sell signals for traders.
  6. Active Trading

    An Introduction To Oscillators

    Find out how this indicator may help improve the average investor's entry and exit points.
  7. Charts & Patterns

    Are These the Top 3 Value Stocks of 2015?

    A look at three value plays for the long-term investor.
  8. Investing Basics

    What is the Rule of 70?

    The rule of 70 is an easy way to calculate how many years it will take for an investment to double in size.
  9. Fundamental Analysis

    Explaining Variance

    Variance is a measurement of the spread between numbers in a data set.
  10. Chart Advisor

    Defensive? Eye Infrastructure via the IGF ETF

    Investing in infrastructure is not exactly the flavor of the day, but it may prove useful to turn toward defensive sectors in case of a market downturn.

You May Also Like

Hot Definitions
  1. Standard Error

    The standard deviation of the sampling distribution of a statistic. Standard error is a statistical term that measures the ...
  2. Capital Stock

    The common and preferred stock a company is authorized to issue, according to their corporate charter. Capital stock represents ...
  3. Unearned Revenue

    When an individual or company receives money for a service or product that has yet to be fulfilled. Unearned revenue can ...
  4. Trailing Twelve Months - TTM

    The timeframe of the past 12 months used for reporting financial figures. A company's trailing 12 months is a representation ...
  5. Subordinated Debt

    A loan (or security) that ranks below other loans (or securities) with regard to claims on assets or earnings. Also known ...
  6. International Financial Reporting Standards - IFRS

    A set of international accounting standards stating how particular types of transactions and other events should be reported ...
Trading Center