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>Cab,
>What do you mean by 'pegged' at extreme values?
>Harley
All I mean is that bounded oscillators (like RSI) can get
"stuck" in overbought/ oversold territory during a strong
trend.
And if you wait for the indicator to cross below/ above
the overbought/ oversold threshold, this may represent
a terrible time to sell/ buy, i.e., since the strong trend
may still be intact (though somewhat weaker.)
HTH,
CAB.
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