$KGEN 4-hour RSI is 79.5, in overbought territory.
When I first started learning technical analysis, I saw an overbought RSI and wanted to sell. It took me a while to understand that an RSI above 70 is called overbought, meaning only that buying pressure has accounted for a large share of price movements during that period. In a one-way market, it can stay elevated for a long time; being overbought is not, by itself, a sell signal.
Don't chase a trade at the most volatile moment. Wait for the candlestick to close and settle before deciding.
When I first started learning technical analysis, I saw an overbought RSI and wanted to sell. It took me a while to understand that an RSI above 70 is called overbought, meaning only that buying pressure has accounted for a large share of price movements during that period. In a one-way market, it can stay elevated for a long time; being overbought is not, by itself, a sell signal.
Don't chase a trade at the most volatile moment. Wait for the candlestick to close and settle before deciding.
