Question -

What is trade exhaustion?

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William Cummings
Answered 3 years, 1 month ago
<p id="isPasted">If you can properly identify trading trends exhaustion, it’s one of the best times to capitalize on a moving market.&nbsp;</p><p>The phenomenon occurs when most of the traders trading in a certain asset is either too long or too short. This leaves a handful of investors ready to move on the other side of the transaction.</p><p>Trend exhaustion might signal the reversal of a current trend since it shows that there is an excess in supply or demand, indicating the market is overbought or oversold.</p>
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Harvey Brown
Answered 3 years, 1 month ago
<p><br>Exhaustion often signals the reversal of a current trend because it illustrates excess levels of supply or demand, indicating a market is either overbought or oversold.</p>