There are many novices who are not familiar with trading indicators and do not know how to use them. Today, Brother B will teach you how to use the RSI indicator to observe market trends and find entry points.
This issue uses #BTC☀ as a benchmark for learning because the trading volume is large enough
When I posted the article, I captured the #BTC走勢分析 4-hour chart. The sub-chart indicator below is the one I used #RSI指标 . This sub-chart indicator is available in everyone's chart viewing tools. You can see it by selecting it. Every time RSI enters the oversold zone, the market will rebound. Note that rebound is not a reversal. As for the strength of the rebound, this RSI indicator will not give it. It can only tell us that it has entered the oversold area at this time, and there is a high probability of exhaustion, and the high probability is ≠ 100%.
Please note: Indicators are our tools, and we should use them flexibly. It is best to use multiple indicators together. The following figure illustrates a case where an indicator fails.
In the above picture, RSI gives an overbought signal, but the market does not fall back, but continues to rise. What does this mean? It means that any indicator is a reference tool. The more familiar you are with it, the more comfortable you will be with it. So as a novice, you must study it carefully~
After-class exercises: Compare the RSI indicators at each level and tell me the answers you observe in the comment section.
#BecomeCreator
#BinanceSquareCreatorAward
