Business
Relative Strength Index ( Or RSI ) is one the best indicators in Indian stock market, it also helps to gauge the momentum and signals to identify potential tops or bottoms. RSI oscillates between 0 and 100, overbought (above 70)/oversold (below 30) levels. RSI diverging foretelling reversals Stocks such As TCS or even Infosys, RSI divergence can signify Distribution. Use support/resistance levels to filter signals with RSI. It can be used in the swing trading on daily or 4-hour charts and nifty trading indicators on 15-minute charts. Here is an RSI backtest on Nifty historical data to fine tune its use and enter a profitable swing trade.