Glossary · from the DESK dictionary
Relative Strength Index (RSI)
A technical momentum indicator measuring the speed and magnitude of recent price movements, to identify overbought or oversold conditions in a security.
In plain words
Moves on a scale of 0 to 100, with values above 70 typically considered overbought, and below 30 considered oversold.
What it means for traders
One of the most widely used technical indicators, employed by traders of all experience levels.
Common pitfalls
Can remain in overbought or oversold territory for extended periods during strong trending markets, without signaling a reversal.
Related terms
Momentum Indicator · Overbought-Oversold Indicator · Relative Strength · Slow Stochastic · Stochastic Oscillator · Technical Correction · Technical Indicator · J. Welles Wilder · Williams %R
From the DESK dictionary. For information only, not investment advice.
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DESK is a research tool and not investment advice. Page generated: 2026-10-12.