Relative Strength Index (RSI) – FX Replay Guide

The RSI in FX Replay is a momentum oscillator that helps you gauge whether the market is overbought or oversold—key for spotting potential reversals and timing entries and exits.

Key RSI Levels

• Above 70 = Overbought: Watch for potential pullbacks or short setups.
• Below 30 = Oversold: Watch for potential rebounds or long setups.
• Around 50 = Neutral: Can act as a trend confirmation line
  (above 50 = bullish bias, below 50 = bearish bias)

How to Add RSI in FX Replay

• Go to the Indicators panel
• Search for “Relative Strength Index”
• Click to apply it to your chart

How to Use RSI in FX Replay

• Trend Confirmation
  Use RSI crossing above or below 50 to support directional bias
• Divergence
  Look for price moving one way and RSI the other
  e.g., Bullish divergence = lower lows in price + higher lows in RSI
• Entry/Exit Triggers
  Use RSI levels in combination with your strategy rules
  (e.g., buy on oversold confirmation, sell on overbought fade)

Strategy Testing with RSI

• Use FX Replay’s backtesting tools to test RSI-based systems on historical price data
• Change RSI settings (default = 14) to see how faster/slower values (e.g., 9 or 10) impact performance
• Combine RSI with other indicators (like MA, MACD) to filter for higher-probability setups

Pro Tip

RSI alone isn’t a signal—it’s a context tool.
In FX Replay, always confirm RSI insights with price action, support/resistance levels, or other indicators before placing trades.