If you are using a black theme as I usually use, You need to use this chart.
If you are using a light theme like all other normal people, You need to use this chart.
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Be it Harmonic Pattern or a Price Action Pattern. It is good to have an indicator backing our initial theory to weed out more false positives. But all oscillators are lagging indicators which translates into the fact that your confirmation will come after the trade is triggered and may be done and dusted. If it comes late, Your risk-reward system gets screwed too.
25 indicates overbought. 75 indicates oversold.
But, as it has the impact from the volume of the stock apart from prices, it can not be named as a lagging nor a leading indicator. That's gives it an upper hand.
Use it for divergence testing and as an additional method for confirming Potential Reverse Zones (PRZs)
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