RSI INDICATOR

Relatives strength index

The relative strength index was developed by J. Welles Wilder and published in a 1978 book, New Concepts in Technical Trading Systems.

RSI indicator working in following conditions.

1. It is specially only for intraday. 
2. It is give us good result in highly volatile stocks.
3. Delivery of stocks should be low on percentage.
4. Set time frame at 15 minutes.
5. Set over sold position at 10 points.
6. Set over bought position at 90 points.
7. When stock moves upwards of 90 points then the stock sold because it comes in the over bought position
8. When the stock falls to the lowest level of 10 points, the stock should be bought as the stock reflects the status of this over sold and it starts buying again.

Follow above instructions and see the magic of RSI Indicator.

Pic 1 How to set RSI INDICATOR

Pic 2 over bought and over sold position 

This is my simple trick's to understand RSI Indicator hope this is helpful for you.