Study the images 1-4. Which of these shows a Mean Reversion (Ranging) market?

Question image

Understand the Problem

The question is asking to analyze four images and identify which one represents a Mean Reversion (Ranging) market. This requires knowledge of market patterns and trading terminology.

Answer

Image 3

The final answer is that Image 3 shows a Mean Reversion (Ranging) market.

Answer for screen readers

The final answer is that Image 3 shows a Mean Reversion (Ranging) market.

More Information

A ranging market is characterized by prices consistently moving between support and resistance levels, indicating a lack of trend.

Tips

Mistaking trends for ranging markets is common. Ensure that there is no overall upward or downward trend.

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