Trading Strategies

Using Overbought Conditions

Pullback Trading

1. Open the Overbought tab.
2. Identify instruments with RSI above 70.
3. Check nearby resistance.
4. Wait for bearish confirmation.
5. Enter a short-term pullback trade.

Trend Continuation Trading

Strong trends can remain overbought for extended periods.

Look for:

• Strong weekly performance
• Strong daily performance
• RSI above 70
• Shallow retracements

Instead of shorting immediately, wait for pullbacks and trade with the trend.

Positional Trading

1. Select Daily or Weekly timeframe.
2. Find assets with sustained RSI strength.
3. Confirm the trend remains intact.
4. Use pullbacks as entry opportunities.

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Using Oversold Conditions

Mean Reversion Trading

1. Open the Oversold tab.
2. Find RSI below 30.
3. Identify support zones.
4. Wait for bullish confirmation.
5. Enter after confirmation.

Buying Pullbacks in Uptrends

A common workflow:

1. Daily trend remains bullish.
2. 4h RSI drops below 30.
3. Price reaches support.
4. Buyers return.

This often creates attractive risk-reward setups.

Positional Accumulation

Oversold conditions can help identify:

• Deep pullbacks
• Temporary weakness
• Potential value zones

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