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Ferrules help prevent stranded wire from fraying when connecting to terminal blocks, or placing under set screws or pressure plates. Ferrules provide strain relief to the wire, are resistant to abrasion, impacts and vibration and are a stonger connection than ring or fork terminals. Ferrules greatly reduce the contact resistance between the wire and connector, and even help cut down on the oxidation in the strands due to the lack of air space between them. Nylon insulation provides easily identifiable color coding.
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