CFA Practice Question

There are 221 practice questions for this study session.

CFA Practice Question

When the average loss is zero, RSI becomes ______.
A. zero
B. 50
C. 100
Explanation: A "divide by zero" situation occurs for RS and RSI is set to 100 by definition. Assuming a 14-period RSI, this means that prices moved higher or remained the same all 14 periods. There were no losses to measure.

User Contributed Comments 2

User Comment
mrpman what is rsi?
davcer relative strenght index
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