In the past 2 years since we started You Learn Forex, we have been providing information about using the new RSI—Relative Strength Index. What do we mean by “new”? Welles Wilder created the index in 1978 to measure momentum in the market. The first method of using the indicator for trading was to sell when the RSI level reached 70 and buy when it reached 30. Since then, these ideas have not changed much in most trader’s minds. Using these methods, however, leads to problems. All of these ideas are easy to prove as false signals for trading.

The new RSI began when Andrew Cardwell discovered reversal signals on RSI charts. Unfortunately, very few people know about these signals. Our goal at You Learn Forex is to teach traders how to use the new RSI to trade—and trade successfully!

Paul Dean is the owner of You Learn Forex and has been a Forex trader, teacher, and researcher since 2005. He has published 4 eBooks on RSI and trading Forex. He also developed the RSI Paint Indicator alongside programmer/trader, David Moser.