First of all, this indicator helps to identify the current market trend. It is also good at identifying the moment that a trend begins which is very crucial for the trend.
What does RAVI look like? In most cases it is created in a separate window below the price chart. In fact, it is displayed as a simple wavy line. It is unique since the line is located against two parallel horizontal straight lines. Its location in relation to these lines at a given period of time allows you to make a judgment about the prospects of the markets movement.
The most important moments for traders are
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