Understand before you act

RSI (14), explained

RSI compares recent gains with recent losses on a scale from 0 to 100. It measures momentum, not fundamental value.

How Index Screener uses it

Relative Strength Index

The daily signals use 14-period RSI with Wilder smoothing. Values above 70 activate Overbought; below 30 activate Oversold.

What it helps you assess

Assess momentum and notice when a move is stretched.

What it cannot tell you

Strong trends can hold extreme readings for a long time. RSI and Bollinger signals may reflect the same price move, so they are not independent evidence.

Before an entry or exit

These are learning examples to build your own checklist. They are not tested trading rules or personalized recommendations.

Entry considerations

Look for confirmation

Look for momentum recovery alongside price confirmation, such as a return above support. Match the signal to the broader trend instead of using a threshold alone.

Exit considerations

Follow your risk plan

Review weakening momentum together with your stop and price structure. An RSI threshold is a review prompt, not a complete exit plan.

Further reading

References explain the indicators. Site rules and the example checklists above are described by Index Screener.