About This Strategy
The Relative Strength Index (RSI) measures momentum by comparing the magnitude of recent gains to recent losses. This strategy identifies overbought and oversold conditions to find reversal opportunities.
Video Explanation
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How It Works
1
Calculate RSI (typically 14-period)
2
Look for RSI below 30 (oversold conditions)
3
Look for RSI above 70 (overbought conditions)
4
Enter trades when RSI returns to normal levels (30-70)
Advantages
- Identifies extreme conditions before reversals
- Works well in range-bound markets
- Clear overbought/oversold levels
- Good for swing trading
Disadvantages
- Can stay overbought/oversold for extended periods
- Works poorly in strong trending markets
- Divergences can be tricky to interpret
- Needs confirmation from other indicators
Current Scan Results
Stocks matching this strategy (6 results)
| Symbol | Current Price | Breakout Level | Signal | RSI |
|---|---|---|---|---|
| ASIC | Rs. 156.30 | RSI Oversold | -4.2% | |
| ATBA | Rs. 89.50 | RSI Oversold | -3.8% | |
| BAFL | Rs. 234.20 | RSI Overbought | +5.1% | |
| BATA | Rs. 745.80 | RSI Overbought | +2.3% | |
| BCL | Rs. 456.70 | RSI Neutral | +0.5% | |
| BERG | Rs. 123.50 | RSI Oversold | -2.9% |
💡 Note: These are educational results for demonstration. Always conduct your own research before trading.