How to Identify Market Bottoms

High Volatility & Panic Selling – Extreme fear, sharp declines, and heavy volumes signal capitulation

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Oversold Technical Indicators – RSI below 30 and moving averages far below historical levels hint at reversal

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Positive Divergence – Prices make new lows, but indicators like MACD or RSI show higher lows

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Sentiment at Extreme Fear – Investor sentiment and fear gauges (like VIX spikes) indicate potential bottoms

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Institutional Buying – Smart money (institutions, insiders) quietly accumulating after prolonged weakness

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How to Identify Market Bottoms

High Volatility & Panic Selling – Extreme fear, sharp declines, and heavy volumes signal capitulation

Oversold Technical Indicators – RSI below 30 and moving averages far below historical levels hint at reversal

Positive Divergence – Prices make new lows, but indicators like MACD or RSI show higher lows

Sentiment at Extreme Fear – Investor sentiment and fear gauges (like VIX spikes) indicate potential bottoms

Institutional Buying – Smart money (institutions, insiders) quietly accumulating after prolonged weakness

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