For the roast to be cooked perfectly, all the conditions have to be just right. A pan that it will fit in, a hot oven, a timer so you don't overcook--they all work together to produce a succulent meal. If the oven is too hot or the timer isn't set properly, you might be stuck with a hunk of charred meat.

Stocks work the same way. All the conditions, or indicators, need to be used in sync for the best results. When you use the indicators in conjunction with each other, the chances that you'll make a more profitable decision increase.

When the red and blue lines dip together under the 20 line, it means the stock is oversold (everyone is selling). When the lines float together above the 80 mark, the stock is overbought (everyone and his/her mother is buying).

So what does it all mean? Provided the other indicators are healthy, you want to buy when a stock is oversold because the short-term prices are likely to rise. Sell when a stock is overbought, and short-term prices are likely to fall!