As a Salaried Individual, it is hard to see the stock market charts in the office hours. So that's why Google Sheet comes handy, where you can actually see the market trend when you want it. That's why today we are going to know about Relative Strength Index or RSI and how we can use Google Sheet to find out the RSI of any stock.
RSI or Relative Strength Index is an analysis which actually measures the speed and the rate of price of a stock changes in the market in a dat to day basis. RSI is mainly calculated in 14-day time period and it ranges from zero to 100.
The formula to calculate Relative Strength Index is
RSI = 100 – [100 / {1 + (Average of Upward Price Change / Average of Downward Price Change}].
That means we are calculating what is the average trend, is it going down or going up. If the trend is higher we get the value close to 100 whereas if the trend is lower we get the value close to 0.
In the Video below, I have shown an example on how to get a RSI of any stock. We whatever used Google Finance to get the close price of a stock for 100 days and then calculated the RSI from it.
I have also created 3 sheets which actually gives you the RSI of stocks of Nifty 50 and Nifty Next 50 as well as Top 50 ETF. The link of the sheet is https://docs.google.com/spreadsheets/d/1hxd7GKatIbHssYlOdMXGCqwxQOKWGNg5g6Je2AWcOfM/edit?gid=1988516776#gid=1988516776 which you can make a copy and use it to find the RSI of any stock or any crypto.
This is actually part of a nee strategy where you can actually buy good shares when their RSI is lower and then sell it when the RSI is higher which actually gives you one indicator for buying and selling.
