Relative Strength Index (RSI)

Relative Strength Index (RSI): It is an analytical measure to determine the momentum and strength of a currency’s trading, as it indicates the extent to which the price has changed in the recent period between oversold and overbought, and it ranges between 0-100. Where if its value rises above 70, it is considered that the currency is witnessing excessive purchases that cause an excessive rise that may rebound to a pivot level, and on the contrary, when the value of the index is less than 30, this indicates an excessive selling in the market that may later reflect a possible rise.

Learn more economic terms in the Glossary of Terms

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