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The Relative Strength Index (commonly known as the RSI) is another technical indicator used by analysts. It uses the momentum in price movements to determine overbought or oversold conditions on a chart. Anything under the value of 30 is considered oversold which could indicate undervalued conditions or a reversal in a downtrend whereas anything over the value of 70 is considered overbought which could indicate overvalued conditions or a reversal in an uptrend.
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