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Market Reverts to Mean and gives Second Chance.
A well known concept about market behavior is that it tend to revert back to the mean.
Often the question arises "What is the mean and how is it determined?"
Today was a day where it was easy to see. On the above chart you can see that there are two Red median lines drawn. And as you can see prices came back to the prior median line and to the next one.
It was near the intersection of the two where the market reversed up to continue the up trend.
Often the question arises "What is the mean and how is it determined?"
Today was a day where it was easy to see. On the above chart you can see that there are two Red median lines drawn. And as you can see prices came back to the prior median line and to the next one.
It was near the intersection of the two where the market reversed up to continue the up trend.
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