One classic interpretation of momentum indicators is that of overbought and oversold.

Regular readers of my reports will probably recognize that I use cycle analysis when trying to work out which direction a currency pair will be moving and when this direction is likely to reverse.

Those who have followed my work for some time know that I take a "toolbox" approach to analyzing and trading markets. The more technical and analytical tools I have in my trading toolbox at my disposal,

Have you ever been frustrated with RSI? How many times does it fail to reach those overbought and oversold areas? When it does, quite often price just continues.

The Percent Range (%R) technical indicator was developed by well-known futures author and trader Larry Williams.

Based on his research that showed that financial markets bear a striking resemblance to the basic harmony found in nature, Ralph Nelson Elliott postulated that price movements in financial markets follow patterns, but not necessarily in time or amplitude.

The Andrews Pitchfork is yet another one of my "secondary" trading tools. My "primary" trading tools include basic trend lines and chart patterns, trader psychology and fundamental analysis.

Ever wondered how you can generate signals from RSI apart from the usual overbought and oversold levels?