Where fundamentalists could report economic reports and annual reports, technical traders depends on technical indicators to help interpret the market. Bears is mindful of the relevance of volatility on options valuation. This specific trading indicator determines the cumulative sum of bullish days and down days across the window time period and calculates a level that may range from zero to one hundred. Though common oversold and overbought levels can be reliable once in a while, they may not generate the majority timely signals for market trend currency traders.
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