Technical Note｜$STRK ｜Daily RSI(14) 75.4｜Overbought
First, the definition: mathematically, RS equals the average gain divided by the average loss, and RSI = 100 − 100 ÷ (1 + RS). The averages use Wilder smoothing, not a simple arithmetic mean.
How to read it: “Divergence” is a commonly discussed way to interpret RSI. When the price makes a new high but RSI does not, this is often taken as a sign that upward momentum is weakening. However, divergence can persist for a long time.
Extreme readings are often accompanied by more volatile price swings. In such cases, it’s better to reduce your position rather than add to it.
#STRK
Crypto carries risks. Exercise caution before entering the market.
First, the definition: mathematically, RS equals the average gain divided by the average loss, and RSI = 100 − 100 ÷ (1 + RS). The averages use Wilder smoothing, not a simple arithmetic mean.
How to read it: “Divergence” is a commonly discussed way to interpret RSI. When the price makes a new high but RSI does not, this is often taken as a sign that upward momentum is weakening. However, divergence can persist for a long time.
Extreme readings are often accompanied by more volatile price swings. In such cases, it’s better to reduce your position rather than add to it.
#STRK
Crypto carries risks. Exercise caution before entering the market.