RSI > 90 Alert ( Bear & Futures Market )
RSI-Based Strategies
Signal Name: MAGIC RSI > 90 Futures Short Buy Signals
Description:
This signal activates when the RSI (Relative Strength Index) crosses above 90 on futures charts. An RSI above 90 typically indicates that the asset has reached an overbought condition, and there may be a potential reversal or a shorting opportunity. However, additional market conditions and technical analysis should always be considered for better accuracy.
Timeframes:
Applicable across all timeframes but works best on 15m, 30m, and 1h charts for short-term trading strategies.
Guidance:
- Entry Trigger: When the RSI crosses back down below the 90 level, it might signify an opportunity to enter a short position.
- Stop Loss: Place stop loss orders above the recent high to limit potential losses in case of unexpected movements.
- Confirmation Tools: Combine with other indicators such as MACD, Moving Averages, or Volume for validation.
Note:
This signal provides insights but should not be the sole basis for trading decisions. Always evaluate market sentiment and ensure proper risk management.
