Price Alerts 5 min read

RSI Alerts on Investography: Catching Oversold and Overbought Conditions

RSI alerts on Investography fire when a stock's Relative Strength Index crosses above or below key thresholds. Here is how to set them up and interpret the signals correctly.

What RSI Measures

The Relative Strength Index (RSI) is a momentum indicator scaled from 0 to 100. RSI above 70 traditionally indicates a stock is overbought — it has risen too far too fast and may be due for a pullback. RSI below 30 indicates oversold conditions — the stock has fallen sharply and may be approaching a recovery point. Investography calculates RSI using Wilder's 14-period formula applied to daily close prices.

Setting an rsi_below Alert

Setting an rsi_above Alert

Use rsi_above at 65 to 70 to detect when a stock is entering overbought territory. This is useful for stocks you hold — a notification that RSI is approaching 70 gives you advance warning that the rally may be extended, allowing you to decide whether to take partial profits or tighten a trailing stop.

RSI alerts are available on Pro and Premium plans. They are calculated from daily close prices, which means the RSI value updates once per session after market close. An RSI alert will reflect the RSI computed from the most recent daily bar, not intraday calculations.

RSI in Context

An RSI below 30 does not guarantee a recovery — stocks can stay oversold for extended periods during a downtrend. Use RSI alerts as a prompt to investigate, not as a standalone buy signal. Pair them with a price_above alert at a level just above the recent low to detect when the actual price recovery begins before acting.

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