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When an oscillator rises or falls beyond its reference line, it helps a trader to pick a top or a bottom. Oscillators work spectacularly well in trading ranges, but they give premature and dangerous trading signals when a new trend erupts from a range. When a strong trend begins, oscillators start acting like a dog that pulls its owner off his path.
An oscillator can stay overbought for weeks at a time when a new, strong uptrend begins, giving premature sell signals. It can stay oversold for weeks in a steep downtrend, giving premature buy signals. Knowing when to use oscillators and when to rely on trend-following indicators is a hallmark of a mature analyst

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  • 5 years later...

For achieving success daily trading analytic support from the credible broker is very important. In Forex market brokers are various types but broker which gives daily trading analytic support can really help their traders. I choose Forex4you broker who is very reliable and transparent. In their platform they give daily trading analysis on fundamentally and technically. Now I can realize my mistakes and make good money easily in the retail market place.

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I have chosen my broker called FXdirects for getting the exclusive customer service in my trading career. Because I believe that a trader can achieve success by getting the right facilities for right trading approach from his credible broker. I just feel very safe and complete by trading with them. Because for my scalping trading they give Raw ECN spread, wide range of trading bonus, promotional offers and many others.

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