The Life Cycle of Markets | DailyFX: "Ranges
Unfortunately, trends don’t last forever. Eventually prices get so high, or so low that new buyers or sellers are hesitant to enter the market. This can create congested or ‘back-and-forth’ types of markets that can be daunting to speculate in.
But there are two ways to approach such situations… in the first, the trader can look for this ‘ranginess’ to continue; looking to sell resistance, or to buy support with the expectation that prices will move to the other side of the range."
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