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Overbought
Technical AnalysisA condition where a security's price has risen rapidly and may be due for a pullback. Indicated by RSI above 70, Stochastic above 80, etc. Does not guarantee a reversal, especially in strong trends.
Related Terms
Oversold
A condition where a security's price has fallen rapidly and may be due for a bounce.
RSI (Relative Strength Index)
A momentum oscillator ranging from 0 to 100 that measures the speed and magnitude of recent price changes.
Stochastic Oscillator
A momentum oscillator comparing a closing price to its price range over a set period (usually 14).