What is RSI? If you want to make money or get a chance to make money with Forex transactions, you will also need to act on technical terms, descriptions, applications, statistical data, analysis studies. Both following the financial market and acting within these technical transactions will increase the chance of winning with Forex.
Of course, there is no guarantee, but it is possible to say that it is effective. One of the most preferred or used technical terms in the Forex market is RSI. Well, what? How to use? In short terms, the RSI indicates a technical indicator.
It contributes to the analysis studies and the development of conscious Forex understanding. It is remarkable that it was first developed in 1978 and is the most preferred technical indicator for those in the Forex market today. You can also think of it as a graph based on sharp increases or decreases in a given time value. A line expressed as momentum is determined and numerical values are used below or above it.
How to Use RSI?
When you see the RSI statement, you should know that you are facing a purely technical process. When you look at how it is used, you will really need to take time and examine it. Values between 0 and 100 are included in this technical indicator.
In the indicator line, overbought and sell segments have been identified, and when approached, a signal understanding on the basis of transaction is valid. In general, it is seen that the appropriate level is 75 to perform the sales transactions and the appropriate level is 25 to perform the purchase transactions. Accordingly, no action has been developed. In technical analysis, it is stated that the level determined as 75 is the overbought limit, the level set as 25 is determined or accepted as the over-sell limit.
Is it a guarantee to win with Forex RSI?
In the Forex market or investment option, using the RSI technical system, being close to the chances of earning, will mean at least research. However, it is never possible to use a statement that you will earn guaranteed money with the investments you will make as a result of the data you receive from here. Even if you are using Forex technical transactions, it is one of the recommended investment options that is completely risk-free, revealing the possibility of losing all of the money we invest.
You can review our article named ”What is Scalping How?”