Intermediate 6 min read

RSI without lying to yourself

"Overbought" doesn't mean sell. The divergences that matter, and the ones that are noise.

RSI above 70 doesn't mean "sell now" — in a strong trend it can stay pinned above 70 for weeks while price keeps climbing. Overbought means momentum is strong, not that a reversal is imminent.

What actually matters: divergence at a level that already matters, confirmed by price structure breaking (a lower high, a broken trendline) — not the divergence alone. See the RSI divergence lesson in this chat for the full three-filter checklist.