➡️RSI is one of the most powerful indicators for beginners. It helps you understand when a coin is too expensive (overbought) or too cheap (oversold).
✅ What is RSI?
A momentum indicator that moves between 0 – 100.
Standard setting: 14 periods (default in Binance).
✅ How to Read RSI?
Above 70 → Overbought 📈 (price may fall soon).
Below 30 → Oversold 📉 (price may rise soon).
Around 50 → Neutral zone (market sideways).
✅ Advanced Tips:
Bullish Divergence: Price makes a new low, but RSI makes a higher low → trend may reverse upward.
Bearish Divergence: Price makes a new high, but RSI makes a lower high → trend may reverse downward.
Failure Swings: RSI crosses 70 then falls → sell signal. RSI dips below 30 then rises → buy signal.
💡 Pro Tip: Always combine RSI with another indicator like Moving Average (MA) for stronger signals.
👉 Example: If price is above MA (uptrend) and RSI is near 30 (oversold) → often a great buy opportunity.
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