The Indicator of Overbought or Oversold
This indicator analyzes a current price of a symbol and displays how high (overbought) or how low (oversold) the price is comparing to the real price which is calculated using a special algorithm. The indicator displays data in one of three measuring units: points, currency units, or percents (adjusted in settings). Works on any timeframe.
If the indicator's readings are above zero - the price is high (overbought), and it will probably go back to the real level soon. So we will open Sell orders when the price goes down.
If the indicator's readings are below zero - the price is low (oversold). So we will open Buy orders when the price goes up.
- Unit of Measurement - measuring unit for the indicator's readings:
2. The indicator works on the timeframes from М1 to D1.