Lesson 9 – RSI

Inviato il 10 November 2008 da Forex Staff

Relative Strength Index (RSI) The RSI is an indicator belonging to the oscillator type of indicators. It was developed by Welles Wilder to help investors gauge the current strength of a pair's price relative to its past performance. The usefulness of this indicator is based on the premise that the RSI will usually top out or bottom out before the actual market top or bottom, giving a signal that a reversal or at least a significant reaction in pair price is imminent. The most common way to read the RSI indicator is: Readings above 70 indicate the prices are overbought and are likely to start ...