RSI measures the speed of recent price changes on a 0–100 scale.
Above 70 is conventionally “overbought”, below 30 “oversold”.
It is one of the technical checks in every Veqtio stock report.
What it actually tells you
RSI does not predict reversals — it measures stretch. An oversold
stock in a healthy uptrend is often a buying opportunity; an oversold stock
in a downtrend can keep falling for months. Context decides everything.
The useful patterns
Divergence: price makes a new low but RSI makes a higher low —
selling pressure is exhausting. Range shifts: in bull phases RSI tends
to bottom near 40, not 30; in bear phases it tops near 60. Recognizing which
regime you are in beats using fixed thresholds.
14 periods (days, on a daily chart). Shorter is more sensitive and
noisier; longer is smoother and slower.
Related terms: P/E Ratio (Price-to-Earnings) · Free Cash Flow (FCF) · Insider Transactions · Institutional Holdings (13F)
This glossary entry is part of Veqtio’s investing reference. Explore our AI-driven stock reports and the transparent Investment Log of every call we’ve made. Not financial advice — see the disclaimer.