Noise
Price fluctuations with no clear signal
Beginner-friendly explanation
“Noise” in trading refers to small price movements that don’t carry meaningful information. It makes short-term charts hard to read. Example: On a 1-minute chart, Bitcoin's price moves a lot with no clear direction: that’s noise.
Intermediate-level insight
Noise refers to random market fluctuations (low liquidity, speculation, bots). It hides real trends, especially on lower timeframes. Example: A trader filters noise on a 15M chart using a smoothed moving average to detect the real trend.
Advanced perspective
Market noise is a statistical artifact. It can be quantified via volatility indicators (ATR, Bollinger) or filtered using denoising algorithms (adaptive averages, Kalman filters). Example: A quant analyst applies a Kalman filter to BTC price data to isolate the underlying trend.
Technical Analysis & Charting
noise, fluctuation, volatility, trend, outlier, filter, moving average, Kalman