Just noticed: $WAL ’s daily RSI is 76.4, which is in overbought territory.
People often ask how to read the RSI, so here’s my take.
The RSI is calculated using closing prices only. It doesn’t include trading volume or reflect the wicks that form during a candlestick.
Oversold just means prices have fallen quickly and sharply over this period. They might rebound afterward, or they might consolidate sideways near the lows for a while before recovering.
Don’t chase trades during the fastest part of a move. Wait for the price action to settle, then take a look.
People often ask how to read the RSI, so here’s my take.
The RSI is calculated using closing prices only. It doesn’t include trading volume or reflect the wicks that form during a candlestick.
Oversold just means prices have fallen quickly and sharply over this period. They might rebound afterward, or they might consolidate sideways near the lows for a while before recovering.
Don’t chase trades during the fastest part of a move. Wait for the price action to settle, then take a look.