This post is dedicated to my Erudite siblings Chronos and Nikko who has never watched the Star Wars. Let’s watch it together, shall we? I love you both.
You guessed it right, this is an RSI story. But why is grandpa Yoda in the title? Why is he even here? My answer is WHY not? Read grandpa Yoda’s Mentor ID and you’ll learn the Biggest WHY:
Who does Yoda train? Luke Skywalker, Clone Troopers? Yes! And grandpa Yoda’s trainees are called the Padawans.
A Padawan, or Jedi apprentice, is a trainee who is apprenticed to a Jedi Knight or Master. Padawans receive one-on-one instruction in the ways of the Jedi. When a Padawan’s training is completed, he must pass the Trials to become a Jedi Knight. Padawan means LEARNER in Sanskrit.
Speaking of LEARNER, my Erudite siblings and I have this is our Top 3 Strengths, heheheh! (My blog post is not complete without a segue, I think I have to rename my blog Nunu’ Segue Segments. You see what I did there? A segue within a segue, the inception of segues. Okay, last ko na yon).
What is RSI? What does these 3 important letters stand for?
Let’s read it from Investopedia:
The ZFT uses RSI 14-day period and there are three types of RSI patterns each differently used in Uptrend, Sideways, and Downtrend. But here I just want to emphasize the most important level of RSI: the green line shown above – the RSI 50 demarcation line. This is a power line, if you consistently use this in an uptrend you are surely profitable by the end of the year. I emphasized the words consistently and uptrend, because your psychological capacity must be aligned with your technical analysis knowledge. Try back testing this simple system: Buy if RSI is above 50, if MAs are in AOTS and if price is above AOTS. It’s so simple right? Yes, but ONLY IF you are consistent in following it, ONLY if you have the psychological capacity to stick to this system. Go ahead, back test it, trade it, and see the results if you did it to 100 consistent trades.
Remember what Coach Celeste said: TRUST THE PROCESS, but before that you train to master the PROCESS OVER PROFITS.
That’s the end for now. I hope you enjoyed reading as much as I enjoyed writing this piece.
Take care and God bless your trades!
Hanggang sa muli kabayan!