How can moving averages help in a Range-Bound Market
Last week, we looked at how to identify a trending market. But markets do not trend forever. In fact, some of the most frustrating trading environments occur when prices stop moving decisively in either direction and begin moving sideways instead. These periods are known as range bound or consolidating markets. Instead of producing clean momentum, markets become trapped between support and resistance levels, often creating sharp reversals and false moves that catch traders off guard.
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