The Russell 2000 Small Cap index just broke its more aggressive uptrend line after having pulled very far away from its 200-day moving average.

Comments (6)
No. 1-6
tjones6111
tjones6111

Hi Sean, can you explain the significance of using 6 on the RSI as opposed to 14? Thanks!

Sean Hyman
Sean Hyman

Editor

Yep, it just responds faster and generates more signals. That's all. The 14 period RSI isn't sensitive enough, in my opinion and doesn't give nearly enough signals.

Sean Hyman
Sean Hyman

Editor

See how the 6-period RSI gave a number of signals whereas the 14-period never really got to a full RSI buy signal?