RSI: Beyond Overbought & Oversold

The video simplifies the Relative Strength Index (RSI), a popular trading indicator often misunderstood by traders. It explains how RSI measures momentum rather than value, and clarifies the meanings of overbought and oversold conditions.



- Understand that RSI measures momentum, not value.

- Learn the significance of RSI levels above 70 and below 30 in different market contexts.

- Discover how RSI behaves in trending versus ranging markets.

- Recognize the importance of divergence between price and RSI.

- Grasp that overbought and oversold do not guarantee reversals but indicate strength.

- Emphasize the role of context in interpreting RSI signals.

- Utilize RSI to confirm strength in trends instead of predicting price reversals.



RSI, trading, momentum, overbought, oversold, divergence, market trends, technical analysis

Not financial advice.