Rsi ( Relative strength index )

5.Relative strength index ( RSI )

This indicator indicate same as stochastic it will display a trend is overbought and oversold.Its level is 30 ,50 and 70.

When market cross 70 level that time we know the market is overbought and we should look for sell entry.

when market cross 30 level that time we know the market is oversold and we should look for the buy entry.

when trader want to confirm which side going trend ( uptrend and downtrend )that time 50 level use.50 level is give a satisfaction decision level.

Example:

Fibonacci Retracement