Trading Tips- Mean Reversion Trading

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    thelogicaldude

    Published on Jun 08, 2023
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    Mean reversion trading is like playing with a bouncy ball. Prices in the stock market go up and down, just like the ball. Mean reversion traders believe that when prices go really high or low, they will eventually come back closer to their average or "mean." They try to make money by buying something when it's low and selling it when it's high. Although it doesn't always work perfectly, over time, things tend to go back to their average, just like the ball tends to come back down.

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