Optimization of MACD and RSI indicators: An Empirical Study of Indian Equity Market for Profitable Investment Decisions

Mahajan, Yogesh

doi:10.5958/2249-7323.2015.00140.6

Cited by 4 publications

(1 citation statement)

References 9 publications

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“…These two strategies have also been applied to the NIFTY 50 index chart, and the resulting trend has been studied using two modified RSI strategies mentioned in the paper. 3…”

Section: Scope Of Researchmentioning

confidence: 99%

Trend identification with the relative strength index (RSI) technical indicator –A conceptual study

Panigrahi

Vachhani²,

Chaudhury³

2021

JMRA

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We all must agree that the word "trend" is now the buzzword of the stock market. As a part of investment strategy and analysis, it is always suggested that the investors should keep an eye on medium-term and short-term changes in addition to longer-term (secular) patterns. Traders and investors use the RSI as a momentum indicator. Overbought and oversold situations are indicated by RSI values between 70 and 30. Over the past two decades, several techniques have been developed to analyze NIFTY 50 data for investment purposes. In this paper, we have estimated the returns by looking at the two trends i.e., 50-50 and 60-40. In addition to this, how to trade and back-test our strategy is also explained. Applying these two RSI strategies to the NIFTY 50 chart revealed that 50-50 offers a higher long-term return, while 60-40 provides a superior short-term return. Finally, the strategies' returns F-statistics and P-values were calculated and analyzed to determine their significance level and acceptability.

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“…These two strategies have also been applied to the NIFTY 50 index chart, and the resulting trend has been studied using two modified RSI strategies mentioned in the paper. 3…”

Section: Scope Of Researchmentioning

confidence: 99%