Thursday, July 29, 2010

Technical Indicators - Relative Strength Index (RSI)

One of the most popular technical analysis indicators, the Relative Strength Index (RSI) is an oscillator that measures current price strength in relation to previous prices. The RSI is a versatile tool, it can be used to:
  • Generate buy and sell signals
  • Show overbought and oversold conditions
  • Confirm price movement
  • Warn of potential price reversals through divergences
  1. RSI Buy ad Sell Signals
  2. RSI Alternative Buy and Sell Signals and Divergences