The KDJ indicator is an oscillator consisting of three lines: K, D, and J, along with two reference levels. The K and D lines correspond to those used in the stochastic oscillator, while the J line measures the deviation of the D value from the K value. This convergence of the three lines is used to identify potential new trading opportunities. Similar to the stochastic oscillator, the KDJ indicator highlights overbought and oversold conditions, which often signal possible trend reversals. This tool is designed to assist traders in timing entries and exits by analyzing momentum and trend strength through these oscillating lines.