Sunday, August 12, 2007

Oscillators

Oscillators are designed to provide signals regarding overbought and oversold conditions. Their signals are mostly useful at the extremes of their scales and are triggered when a divergence occurs between the price of the underlying currency and the oscillator. Crossing the zero line, when applicable, usually generates direction signals. Examples of the major types of oscillators are moving averages convergence-divergence (MACD), momentum and relative strength index (RSI).

3 comments:

Ghazanfar Ali Shah said...

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forex trading

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