How to use RSI indicator in trading BTC/USD

[korazon 589]

12 hours ago, scorpiali said:

Yes there is a lot and we need to know and learn them all to be professional in trading and try to predict the next candle, but the majority are use them wrong and predict a bad market price  

there isn't the need to be professional to trade, learning just few indicators i think is enough to trade. majority of the traders i encounter are using RSI or bolingger which i guess its o their personality and have learned to use them. 

 

it takes time to learn so at first they will find it not easy. just like me i lose amount of money since the time i was learning and even up to today i sometimes lose still.

[scorpiali 5626]

8 hours ago, korazon said:

there isn't the need to be professional to trade, learning just few indicators i think is enough to trade. majority of the traders i encounter are using RSI or bolingger which i guess its o their personality and have learned to use them. 

 

it takes time to learn so at first they will find it not easy. just like me i lose amount of money since the time i was learning and even up to today i sometimes lose still.

Yes right if we learn how to analyze with indicator we can trade and have a good profit just like that but the problem the analyze in crypto it's not a exact science 

[korazon 589]

11 hours ago, Qazi said:

Price comparison will change all the time and specially in crisis which came from the carona virus and destroyed all economy. however you shared nice information and it was helpful when you posted, now time changed. 

That's true also. This is why things are very unsure of what is going to happen. Halving may not even have any effect after it. This lockdown had made lots of people jobless, storing more food would be more important than investing.

[tienda 8776]

Thank Dear for sharing this tutorial! is your first topic creating here and is a constructive topic man, things like this are very important here to know about, because all people who are here doing trade and are cryptocurrency users.

[scorpiali 5626]

On 4/16/2020 at 2:10 PM, Binjit said:

Actually i was dont know how to use indicator i am not big traders but after this post i know how to
use indicator thanks for sharing this helpful information for us i will helpful for me in future

Right me too i never use this tools but after now i use it all the time on my chart because it's really helpful and can give some idea about the price ,That's why we love this forum 

[BitcryptoHan 2557]

On 5/9/2020 at 6:04 AM, elguettlazhari said:

The RSI was developed by c. Whistle Welder was first introduced to the financial markets in his 1978 trading guide titled “New Concepts in Trading Systems Technologies” Basically the RSI tracks market prices that act as a momentum oscillator which means that their readings fluctuate between the two extremes (0 and 100).

@elguettlazhari You are very correct, it works the way momentum oscillator works, it is even an oscillator too but there calculations are very different. 

[Saj555 2250]

On 2/24/2020 at 2:39 AM, korazon said:

This is the first tutorial I am creating here in the forum. And I hope people will eventually learn from this. I don't really claim to be an expert in trading but I have quite a good experience somehow I believe I can make money if I continue to trade so. Anyway so this is how to use the Relative Strength Index (RSI) in the charts you are using.

 

 

 

This is a chart in tradingview which I use to look at the market. Lets just focus for now in the RSI below this chart which in the rightside is where you can see numbers 20,40,60 and 80. Actually, this is 0-100. and you can see there are two broken lines(----) which is in the 70 and 30. The two broken lines indicate overbought and oversold, I'm sure you guys already understand what overbough and oversold as it is what it is.

 

I circled RED to the ones where the market hits the overbought level and oversold level to which if the market is in such condition, something must be decided. 

So when the RSI chart touches the 70 level, it means that BTC is now overbought and it may drop anytime soon. and This goes as well to the level 30 which indicates that BTC is oversold and traders might just starts to buy back the BTC they dumped.

 

By the way this is for the starters only but its already a good fighting chance for you to learn and start experimenting in trading. Would love to hear something you can share upon suing the RSI or what ever indicators you use along with it.

 

Update: Using Fibonacci in Trading

 

 

 

 

This is totally a new topic for me. And your post was so informative that I could easily understand about the relevant subject. Thank you for sharing the information with us. Now I will be also available to understand this while trading in btc. RSI chart is really effective and trustworthy to know better about the crypto trading. 

[Shivam1 428]

On 2/24/2020 at 2:09 AM, korazon said:

This is the first tutorial I am creating here in the forum. And I hope people will eventually learn from this. I don't really claim to be an expert in trading but I have quite a good experience somehow I believe I can make money if I continue to trade so. Anyway so this is how to use the Relative Strength Index (RSI) in the charts you are using.

 

 

 

This is a chart in tradingview which I use to look at the market. Lets just focus for now in the RSI below this chart which in the rightside is where you can see numbers 20,40,60 and 80. Actually, this is 0-100. and you can see there are two broken lines(----) which is in the 70 and 30. The two broken lines indicate overbought and oversold, I'm sure you guys already understand what overbough and oversold as it is what it is.

 

I circled RED to the ones where the market hits the overbought level and oversold level to which if the market is in such condition, something must be decided. 

So when the RSI chart touches the 70 level, it means that BTC is now overbought and it may drop anytime soon. and This goes as well to the level 30 which indicates that BTC is oversold and traders might just starts to buy back the BTC they dumped.

 

By the way this is for the starters only but its already a good fighting chance for you to learn and start experimenting in trading. Would love to hear something you can share upon suing the RSI or what ever indicators you use along with it.

 

Update: Using Fibonacci in Trading

 

 

 

 

Trading is the interested things. You can not control your self at any trade. And thanks for this tutorials. This post will help me in trading.

[korazon 589]

Glad you find it useful. It may not be the most detailed you have seen but I may find some time to revise it one day. The market is exciting to watch these days, I hope you all have tried it in the platform you find convenient. Tradingview is useful for trading so make use of it.

[Michael0606 861]

The RSI is a very good strategy, which is used as a complement to other implemented strategies or indicators, which determine the price action where it will go, according to the data stored in the chart and in live movements.

[magd 5231]

Really, it is a useful educational program because this indicator uses several layers of cryptocurrency charts, which makes it difficult to read, so thank you for explaining the peak points and important details about this indicator

[Calvinpriva 17296]

You have shares a good thing friend, there are many traders who don't know about this. If any trader will know how to use RSI signals using the tradingview, you will be able to earn good profit with your tradings.

[Yomose 3704]

I Know little about RSI, it is a very good indicator like that oscillatory momentum but uses another calculations, it shows a time to enter a market or a time not to trade depending on the number listed beside the graph that starts from 0 to 100. 

[korazon 589]

3 hours ago, Yomose said:

I Know little about RSI, it is a very good indicator like that oscillatory momentum but uses another calculations, it shows a time to enter a market or a time not to trade depending on the number listed beside the graph that starts from 0 to 100. 

Good to know. I haven't explore some indicators myself.  So far only few that I have learned. I might be looking into this Oscillatory momentum too but would have to read about it first.  

[Yomose 3704]

9 hours ago, korazon said:

Good to know. I haven't explore some indicators myself.  So far only few that I have learned. I might be looking into this Oscillatory momentum too but would have to read about it first.  

@korazon If you make use of the RSI, there is no any need to make use of the oscillatory momentum, there work are just similar and they use the same principle but different formula. 

[Soaib khan 1035]

thanks for sharing this amazing information with us these days so many people starts cryptocurrency trading so in that case this post is going to help them a lot even I really had no idea about it how to use indicator 

[Honny143 13612]

Present so many indicators available in trading, because this indictors help do trading easy, I'm still new in trading RSI indicators information really helpful for me, because I use this RSI indicator in binamo trading so this type information easy to understand this RSI indicator.

[AlexRay 54]

The Relative Strength Index is a technical trading indicator and is classified as a momentum indicator.
The RSI is based on a 14 day time limit usually although this can be altered, it measured on a scale of 0-100 with overbought assets between 70-100 and oversold assets between 0-30. As the RSI index moves between oversold to overbought, or vice versa it can be seen as indicating a trend but in general at 50 it is considered to have no trend.

Edited October 6, 2020 by AlexRay

[Switchback 22]

On 2/24/2020 at 2:39 AM, korazon said:

This is the first tutorial I am creating here in the forum. And I hope people will eventually learn from this. I don't really claim to be an expert in trading but I have quite a good experience somehow I believe I can make money if I continue to trade so. Anyway so this is how to use the Relative Strength Index (RSI) in the charts you are using.

 

 

 

This is a chart in tradingview which I use to look at the market. Lets just focus for now in the RSI below this chart which in the rightside is where you can see numbers 20,40,60 and 80. Actually, this is 0-100. and you can see there are two broken lines(----) which is in the 70 and 30. The two broken lines indicate overbought and oversold, I'm sure you guys already understand what overbough and oversold as it is what it is.

 

I circled RED to the ones where the market hits the overbought level and oversold level to which if the market is in such condition, something must be decided. 

So when the RSI chart touches the 70 level, it means that BTC is now overbought and it may drop anytime soon. and This goes as well to the level 30 which indicates that BTC is oversold and traders might just starts to buy back the BTC they dumped.

 

By the way this is for the starters only but its already a good fighting chance for you to learn and start experimenting in trading. Would love to hear something you can share upon suing the RSI or what ever indicators you use along with it.

 

Update: Using Fibonacci in Trading

 

 

 

 

A very useful guide, I advise beginners. The author wrote everything briefly and clearly. Although I have not seen this in practice, I think that someday it will be useful to me

[sheian0206 76]

Good explanation of how to use rsi, i particularly use it a lot but i also like to combine it with bollinger bands and 2 emas of 20 and 9. greetings.

[korazon 589]

 

Thats the daily chart of BTC/USDT and you can see I'm using RSI here with MAs.

Its not overbought just as you said so there is a room for the price to really be dumped hard. If it breaks the $10K support, it will really dip hard. 

 

This is just my analysis though so you are free to object. Trump delays the stimulus package and its going to have a domino effect at some point if it takes longer. Many of the holders will likely be selling.

 

Check the weekly.

 

 

 

 

 

[joca 33]

Excellent tutorial on this indicator, the truth is that at first when I started trading, I got to use it and it gave me some good results, as well as the elliot waves and the cross of emas, but later I realized that it was not so good with the indicators, I felt better about the price action, so I am studying candlestick patterns and it has done very well, especially with the binary teach channel on youtube, which has very good information, but I think a good Trader or a successful trader adjusts to both modalities both analyzing price action and with indicators and I still do not adapt to both.

[rocki 319]

On 2/23/2020 at 9:39 PM, korazon said:

This is the first tutorial I am creating here in the forum. And I hope people will eventually learn from this. I don't really claim to be an expert in trading but I have quite a good experience somehow I believe I can make money if I continue to trade so. Anyway so this is how to use the Relative Strength Index (RSI) in the charts you are using.

This is a chart in tradingview which I use to look at the market. Lets just focus for now in the RSI below this chart which in the rightside is where you can see numbers 20,40,60 and 80. Actually, this is 0-100. and you can see there are two broken lines(----) which is in the 70 and 30. The two broken lines indicate overbought and oversold, I'm sure you guys already understand what overbough and oversold as it is what it is.

 

I circled RED to the ones where the market hits the overbought level and oversold level to which if the market is in such condition, something must be decided. 

So when the RSI chart touches the 70 level, it means that BTC is now overbought and it may drop anytime soon. and This goes as well to the level 30 which indicates that BTC is oversold and traders might just starts to buy back the BTC they dumped.

 

By the way this is for the starters only but its already a good fighting chance for you to learn and start experimenting in trading. Would love to hear something you can share upon suing the RSI or what ever indicators you use along with it.

 

Update: Using Fibonacci in Trading

I think that using Fibonacci in Trading is a good way to speculate the price of the cryptocurrency, but this is one of the many factors that can cause the price to rise or fall, and only being guided by fibonacci can be a mistake that will sooner or later lose money.

[irisebrachog 65]

Great explanation of what is RSI, I had seen many tutorials, but no one had explained it as clearly as you have done, very good post Tutorial, you can do many more that way please, I am quite interested in the topic

[lantonio 38]

It is basic and good information, however the RSI for bitcoin is not very reliable at times, I use the boliller bands and the market volumen to complement the traiding with the RSI indicator.