$LUMIA Daily RSI is 80.2, entering overbought territory.
When I was just learning technical analysis, I wanted to get out whenever I saw RSI rise above 70. Later, I realized that “overbought” simply means prices have risen too quickly and too sharply recently. In a one-way uptrend, RSI can stay above 70 for a long time—it doesn’t mean prices are about to fall.
Any indicator is just a summary of past market action, and prices can always move in the opposite direction.
#LUMIA
Personal notes. Make your own decisions about your trades.
When I was just learning technical analysis, I wanted to get out whenever I saw RSI rise above 70. Later, I realized that “overbought” simply means prices have risen too quickly and too sharply recently. In a one-way uptrend, RSI can stay above 70 for a long time—it doesn’t mean prices are about to fall.
Any indicator is just a summary of past market action, and prices can always move in the opposite direction.
#LUMIA
Personal notes. Make your own decisions about your trades.