Turtle Channel
A trading band created by plotting the highest and lowest prices of an asset over a certain time period around the price of that asset.
Investopedia Commentary
This indicator is interpreted in a similar manner to other banded indicators such as Keltner channels and moving average envelopes. Some investors use a move toward the upper band to signal an increased likelihood that the security is becoming overbought, and a move to the lower band to signal that a security may be oversold. Other investors believe that a move beyond the upper band of the channel is an indication that upward momentum is increasing, and a move below the lower band is an indication that downward momentum is building.
Related Links
Discovering Keltner Channels and the Chaikin Oscillator
Using Bollinger Band "Bands" to Trade Trend in FX
See also: Bollinger Band, Envelope, Keltner Channel, Momentum, Moving Average, Overbought, Oversold, Technical Analysis