The Short-Range Oscillator

Your Guide to Near-Term Market Swings

Below 10 (Oversold): When the Short-Range Oscillator drops below 10, it generally signals that the market is due for a short-term bounce higher. This often indicates a temporary overselling, creating potential entry points for nimble traders.

Above 90 (Overbought): Conversely, readings above 90 suggest the market is becoming overbought and may be due for a short-term pullback. This can be a signal to exercise caution or consider profit-taking.