What is overbought? What is overselling? What is the difference between buying silver and overbought? Overselling means that when the silver market price keeps falling to a certain low point, the seller's strength is almost exhausted and the price quickly recovers. In short, oversold means that prices are easy to rise. In technical analysis, when the relative strength index of financial instruments is lower than 25%, oversold will generally occur.
Overbuying means that the market price continues to rise to a certain height, the buyer's power is almost exhausted, and the price falls. Overbuying means that the price is easy to be revised downwards. In technical analysis, when the relative strength index of financial instruments exceeds 75%, it will generally exceed buying.