An indicator used to determine market movements and identify pricing conditions.

Relative Strength Index (RSI) is a technical indicator that is used to measure the movements of asset prices, and determine whether market conditions are overbought or oversold. Market analysts use this index along with a number of others to observe price movements graphically, after which they can now decide to measure market conditions on a scale of 0 to 100. The closer to 0 the conditions are, the more likely they are oversold. By the same token, the closer to 100 the conditions are, the more likely they are to be overbought.

RSI is a simple index and so it is very popular. Moreover, even though it is not the most practical technical indicator, its accuracy can be boosted when combined with others.

When prices are unable to keep rising, indicating a ‘ceiling’ that cancels out trader expectations.

Resistance is a term used in corporate finance to describe situations where the price of an asset is unable to rise beyond a particular point. This point is described as a ceiling for the asset price and it generally comes about on account of strong selling pressure. As a result, price resistance can only be surmounted when there is stronger buying pressure.

Resistance is the reverse price condition of support. In the latter, prices are unable to fall beyond a certain point. Thus, both of these price indicators or conditions give traders an idea of what to expect from the market.

The crypto space equivalent of ‘wrecked,’ a slang used to describe devastating loss of asset value or liquidation.

Rekt is crypto space vernacular for ‘wrecked.’ The slang is used to describe situations in which there is an overwhelming loss or failure, especially with regards to investments. Moreover, the term may also be used to describe the market when prices are falling beyond expectations. So, a crypto trader or investor may be referred to as having been rekt by a poorly performing coin or generally horrible market conditions.

Relative Strength Index (RSI)

Previous term

Next term