medium · Volume Price Analysis
How does the VPA definition of 'Overbought' differ from traditional technical analysis using oscillators?
- VPA defines it as any move that exceeds three standard deviations from the mean.
- VPA defines it as a state where insiders' warehouses are empty and only retail buyers remain.
- VPA uses the Relative Strength Index (RSI) crossing the 70 level.
- There is no concept of 'Overbought' in pure Volume Price Analysis.
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