All terms
Definition
Momentum
Momentum measures the strength and speed of a price move. Strong momentum often leads to larger price movements.
Quick take
The strength and speed of a price move.
Keep this in mind every time you see momentum on the chart — context is everything.
Did You Know?
Momentum often peaks before price does — divergences between price and momentum can warn of a coming reversal.
Common Beginner Mistake
Entering after the momentum candle has already exploded, getting filled at the worst price right before a pullback.