Indicator Notes | $TRUTH | Daily RSI(14) 78.6 | Overbought
First, the definition: “Overbought” means prices have risen too quickly and too sharply in recent times. It doesn’t mean there are too many buyers, nor does it mean prices are about to fall.
Next, how to read it: During a strong uptrend, RSI can stay above 70 for a long time; during a one-way downtrend, it can also remain below 30 for an extended period. Overbought or oversold does not mean an immediate reversal.
It’s safer to compare multiple data points than to look at just one, but even more signals can’t provide a definitive conclusion.
#TRUTH
Just sharing some thoughts—make your own decisions about buying and selling.
First, the definition: “Overbought” means prices have risen too quickly and too sharply in recent times. It doesn’t mean there are too many buyers, nor does it mean prices are about to fall.
Next, how to read it: During a strong uptrend, RSI can stay above 70 for a long time; during a one-way downtrend, it can also remain below 30 for an extended period. Overbought or oversold does not mean an immediate reversal.
It’s safer to compare multiple data points than to look at just one, but even more signals can’t provide a definitive conclusion.
#TRUTH
Just sharing some thoughts—make your own decisions about buying and selling.