Trading

    Relative Strength Index (RSI): A Trader's Guide

    Invalid Date
    1 min read

    Relative Strength Index (RSI): A Trader's Guide

    The RSI is one of the most popular indicators in crypto. It measures the speed and change of price movements to identify overbought or oversold conditions.

    Reading the RSI

    The RSI ranges from 0 to 100.

    • > 70: Overbought. The asset might be due for a correction (price drop).
    • < 30: Oversold. The asset might be undervalued and due for a bounce.

    Divergence

    Advanced traders look for Divergence:

    • Bullish: Price makes a lower low, but RSI makes a higher low.
    • Bearish: Price makes a higher high, but RSI makes a lower high.

    Calculate RSI values manually for custom timeframes or datasets using the RSI Calculator.

    Related Articles

    View all