5 important roles of Relative Strength Index (RSI) . Relative Strength Index (RSI) is a momentum oscillator, developed by J. Welles Wilder, which measures the speed and velocity of price movement of trading instruments (stocks, commodity futures, bonds, forex etc.) over a specified period of time.

The objective of RSI indicator is to measure the change in price momentum.

It is a leading indicator and is widely used by Technical Analysts over the globe.

RSI can be used to spot a general trend.

It is considered overbought when it goes above 70 and oversold when it goes below 30

 Moreover, RSI can also be used to look for failure swings, divergences and center line crossover.