Keyword: Relative Strength Index (RSI)

Is a momentum oscillator that measures the speed and magnitude of a stock’s price changes. Based on its average trading patterns, you can find out whether the stock has been overbought or oversold. RSI oscillates on a scale between zero and 100. A stock is considered overbought when its RSI rises above 70, indicating that it may be getting overvalued. It is considered oversold when the RSI drops below 30, indicating that it is likely becoming undervalued.