$EVAA 4-hour RSI is 81.1, in overbought territory, with the current price at 2.6217.
When I first got into technical analysis, I used to sell as soon as I saw an overbought RSI. Later, I realized that an RSI above 70 is called overbought, but it simply means that upward momentum has accounted for a large share of price movement during that period. In a one-way market, it can stay elevated for a long time, so an overbought reading alone isn’t a reason to exit.
Different coins have different typical RSI ranges. Smaller, more volatile coins are more prone to extreme readings, so be cautious about applying a uniform standard.
Calculating your order size based on your stop-loss distance is much more reliable than picking a position size arbitrarily.
#EVAA
I’m just sharing my thoughts; this isn’t investment advice.
When I first got into technical analysis, I used to sell as soon as I saw an overbought RSI. Later, I realized that an RSI above 70 is called overbought, but it simply means that upward momentum has accounted for a large share of price movement during that period. In a one-way market, it can stay elevated for a long time, so an overbought reading alone isn’t a reason to exit.
Different coins have different typical RSI ranges. Smaller, more volatile coins are more prone to extreme readings, so be cautious about applying a uniform standard.
Calculating your order size based on your stop-loss distance is much more reliable than picking a position size arbitrarily.
#EVAA
I’m just sharing my thoughts; this isn’t investment advice.
