Overbought /oversold Indicators

[Abrar Ahmed]

RSI is good indicator for identifying over sold and over bough level but i have a bad experience with stochastic.
when the price already over sold and price move more then 100pips then its make its movement almost constant.
while in matter of bb and rsi then it will move with price...

Sir, with respect to your opinion and experience i would like to add something.
Even if the stocashtics level remains unchanged at overbough or oversold level too much movement in the price leads to divergences with later act on both the chart and indicator.

---------- Post added at 01:14 AM ---------- Previous post was at 01:12 AM ----------

Use rsi (9) for minutes: 15, 30, and 1 hour
USe rsi (6) for higher time frames

Use stochastic (5,3,3) in low time frames and (9,3,3) in higer ones.

[zihan6500]

I think to understand overbought and oversold we should use the most recognized indicator .I am using RSI(14) to understand over bought and over sold.I think stochastic indicator also help us to understnd these.But we should use one oversold /over bought indicator and other buy sell indicator to understand the trend well.

[Abrar Ahmed]

RSI is good indicator for identifying over sold and over bough level but i have a bad experience with stochastic.
when the price already over sold and price move more then 100pips then its make its movement almost constant.
while in matter of bb and rsi then it will move with price...

Firstly I agree with the fact RSI is a very good indicator. But Stochastic too is a very good indicator. If its settings are matched properly according to timeframe, it can show you the signals confirming upcoming micro waves, mini waves or major waves.

[klavox]

okay i prefer envelope period 14 its very good , but only in the trend market not
in floating ..takecare

[fulltry]

may nay forex trading may overbought indicator ko use nai kaye but may nay forex trading may oversold idicator ko use kay hy but may nay is say zayda profit to get nai kay or may nay forex trading may idicator say knowledge bught gain kaya hy

[hosnim]

Yes i agree with you my brother.the overbought and oversold indicatores are good for the trader to know if he have to exit his trade or not yet.and also to help to take a postion opposite of the trend line

[moon dk]

I think you can use as an indicator of your mt4 indicators RSI, CCI with these indicators you can find overbought and oversold areas with ease, you can adjust the time frame..it is very useful for us to beware of the area.
good luck

[naim10]

I think it is possible to use as a possible signal indications MT4 RSI, CCI with this information you can look overbought and oversold zones effort, you can change the time in the body

[setiawanedi]

in my opinion overbought and oversold indicator is best to RSI. because the RSI indicator is very useful for analyzing oversold and overbought happens when the market is moving. therefore at least we always use indicators oversold and overbought to analyze future.

[fuad25]

I prefer the stochastic and rsi under my data to verify the actual overbought and exaggerated. I m really comfortable, using these two indicators, and they are pretty good ...