resistance penetrations

Forexgen platform Failure Swings (also known as support or resistance penetrations or breakouts). This is where the RSI surpasses a previous high (peak) or falls below a recent low (trough). Support and Resistance. The RSI shows, sometimes more clearly than price themselves, levels of support and resistance.

Divergences. As discussed above, divergences occur when the price makes a new high (or low) that is not confirmed by a new high (or low) in the RSI. Prices usually correct and move in the direction of the RSI.