What is an orbiting tool in trading, used for?

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Jenna Howell
Answered 3 months, 1 week ago
<p id="isPasted">In trading, an "orbiting tool" typically refers to an oscillator indicator, used to identify potential overbought or oversold conditions in the market. These indicators fluctuate between two extreme values, helping traders spot areas where a price might be due for a reversal.&nbsp;</p><p><br></p>
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Beatrice Chapman
Answered 1 month ago
<p id="isPasted">An orbiting tool is likely a misremembered term for an oscillator in trading, which is a type of technical analysis indicator used to gauge overbought or oversold conditions in a market, thereby identifying potential buying and selling opportunities and predicting trend reversals. Oscillators fluctuate within a set range, providing signals when prices reach extreme levels, indicating when a market is too high (overbought) or too low (oversold).&nbsp;</p>