What is the RSI indicator? And how does it help you make trading decisions?

The RSI indicator, or "Relative Strength Index," is a technical tool used by traders to measure the strength or weakness of price movements.

How does it work?

Its values range from 0 to 100.

When the RSI is above 70, the asset is considered to be in a state of overbought (potential for a decline).

And when it's below 30, it is in a state of oversold (potential for a rise).

How do I use it?

If a coin like $LTC or $SHIB has an RSI of 75, you might wait for a correction before buying.

However, if the RSI is 28, it could be an opportunity to enter with a potential rebound.

But don't forget:

RSI alone is not enough! Use it with other indicators like MACD and support and resistance lines.

Have you used RSI before? Or is this your first time hearing about it? Share your experience with me!

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