How Smart Traders Actually Use #RSI
RSI is not used to blindly buy at 30 and sell at 70 anymore.
That's beginner thinking.
Smart traders use RSI for:
▪︎ Trend confirmation - In strong uptrend, between 40-80.
Dips to 40-50 are buying opportunities.
▪︎ Divergence - If price makes a new high, but RSI makes a lower high, momentum is weakening.
▪︎ Failure swings - When RSI can't reach previous highs/lows, trend strength is fading.
Modern trading is about context, not numbers.
RSI is a momentum tool - not a buy/sell button.