What is RSI in Trading & How RSI Works? Formula and Strategy
Trading in stock market is not profitable without applying the certain tools & techniques that is possible only when you analysis the stock price or market index on a technical chart. Merely price movement or chart patterns are not enough to analysis and predict the movement, here you need to use certain technical analysis tools, and RSI Indicator is one of them. What is RSI in Stock Market? RSI full form, Relative Strength Index is one of the most commonly used technical indicators traders use to check whether a stock or market index is overbought or oversold zone. RSI oscillates between zero and 100 and when RSI Indicator is above 70,it is considered in the overbought zone and when RSI Indicator is trailing below 30 it means the stock is oversold. The relative Strength Index indicator has been created by J. Welles Wilder Jr. and announced in his formative book1978, New Concepts in Technical Tr...