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MomentumLagging

KST — Know Sure Thing

Overview

KST (Know Sure Thing) is a smoothed rate-of-change oscillator that combines four different ROC timeframes into a single weighted line, revealing broad momentum shifts across multiple cycles. It was designed by Martin Pring for identifying major trend changes in stocks and is equally useful in crypto markets. Compare it with the ROC and other momentum tools in our indicator guide library.

How It Works

KST smooths four rate-of-change calculations (typically 10, 15, 20, 30 periods) with SMAs (10, 10, 10, 15), then weights them (1, 2, 3, 4) and sums the results. A 9-period SMA signal line is overlaid for crossover signals. The heavy weighting on the longest ROC emphasises the dominant cycle.

Key Signals

  • KST crossing above the signal line = bullish momentum confirmation.
  • KST crossing below the signal line = bearish momentum confirmation.
  • KST crossing above zero confirms a positive momentum regime.
  • KST divergence from price warns of impending trend change.

Common Mistakes

  • Using KST for short-term trading — it's designed for intermediate to long-term analysis.
  • Ignoring the signal line and only watching KST direction.
  • Not adapting the four ROC periods for different asset classes and their typical cycle lengths.

More Momentum Indicators

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Stochastic RSI (StochRSI)

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ADX — Average Directional Index

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CCI — Commodity Channel Index

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