A technical indicator that compares where a security's price closed relative to its price range over a given time period. The sensitivity to market movements can be reduced by adjusting the number of time periods or by taking a moving average of the result. This indicator is calculated by using the following formula:

%K = 100[(C – L14)/(H14 – L14)]


C = the most recent closing price
L14 = the low of the 14 previous trading sessions
H14 = the highest price traded during the same 14-day period.