What is ROC rate of change in technical analysis in stock market

The price rate of change (ROC) is a technical indicator that measures the percentage change between the most recent price and the price “n” periods in the past. It is calculated by using the following formula:

(Closing Price Today – Closing Price “n” Periods Ago) / Closing Price “n” Periods Ago

ROC is classed as a price momentum indicator or a velocity indicator because it measures the rate of change or the strength of momentum of change.
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