Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: dave kaiser who wrote (66686)	10/11/2003 9:29:30 PM
From: Lee Lichterman III	Respond to of 94695

RSI is Relative Strength indicator, basically like a stochastic or other sinusoidal price indicator for measuring over bought or over sold levels. It is a sine wave indicator many use on charts that runs from 1 - 100 and most use a reading of 20 as over sold and 80 as over bought. Formula is 100 - (100/1+(Upward price change/downward price change)) RSI comes standard on just about every stock charting program so no real reason to know the formula unless you are building your own indicators and tweeking or including it in your own hybrid indicator =================== J6P is what we call the majority investor and stands for Joe six pack or Jane six pack. Basically the uninformed investor that plows into what ever is moving without regard for fundamentals, doesn't know how or where to find a 10Q, 10K, judges a prospectus by how many glossy pages it has if they do breeze through a financial report, they don't read the footnotes etc. Good Luck, Lee

To: dave kaiser who wrote (66686)	10/12/2003 10:30:52 AM
From: James F. Hopkins	Respond to of 94695

J6P= Joe six pack, slang for the dummies who believe CNBC or Fox Fictional News.. RSI is relative strength index; there are 2 kinds , 1 is relative strength against other stocks ( I use in a limited way ) 2 is the relative strength against it's own performance over some ( adjustable ) period of time I use 5 days..and use this a lot along with other technical indicators, of which none are a golden grail, but combined can be very good when they compliment one another and all show the same sort of divergence. Divergence is when the stock is going up but the indicators are not up as much, or the stock going down with the indicators improving. ---- This will lead you to more TA than you will ever have time to read google.com --- Jim