Skip to main content
Question#chart-analysis
P

Price Action Pro

Trader · · 482 views

What is the RSI and how do you use it properly?

Everyone uses RSI but I am confused about the right way to interpret overbought and oversold signals.
2 answers
Answer
Advertisement

💡 2 Answers

WC

Wolf Cub

Trader · 15 days ago

RSI above 70 = overbought, below 30 = oversold. But in a strong trend, RSI can stay above 70 for weeks. The real signal is RSI divergence — price makes new high but RSI makes lower high.

👍 16
WC

Wolf Cub

Trader · 15 days ago

I use RSI divergence more than overbought/oversold levels. Bearish divergence at resistance = high-probability short. Bullish divergence at support = high-probability long.

👍 10

✍️ Write Your Answer

Sign in to answer this question

Advertisement