Trading Class

Markets › Nikkei 225 › RSI overbought drop

Japanese stock market · indicator signal

RSI overbought drop on Nikkei 225

On Nikkei 225 the rsi overbought drop showed up 112 times. The target came first 44% of the time, the stop 54%, and 2% went nowhere within 12 candles.

Counted on Nikkei 225: daily candles from January 2015 and hourly candles from September 2024.

By timeframe

TimeframeFoundTarget firstStop firstWent nowhere
Daily5349%47%4%
Hourly5939%61%0%

Nikkei 225 against the rest

ChartsFoundTarget firstStop firstWent nowhere
Nikkei 22511244%54%2%
All Japanese stock market charts41942%56%3%
Every market36,01434%58%8%

Year by year

YearFoundTarget firstStop first
2017475%25%
2018743%57%
2019475%25%
2020425%50%
2021650%50%
2023450%50%
20241050%50%
20254436%61%
20262744%56%

The last 8 times

Counted by the Trading Class research engine on real past candles: entry at the signal candle's close, target 1.5 × ATR(14), stop 1 × ATR(14), 12 candles to decide, a candle that touches both counts as the stop. How we count. Past data, not a forecast and not advice.

What the rsi overbought drop is

RSI rose above 70, then fell back below it. Buying may be tiring.

Run up a hill as fast as you can and soon you need a breather. RSI is a gauge from 0 to 100 that shows how hard price has been pushed lately. Above 70 means price was pushed up very hard, and dropping back below 70 hints the buyers may be tiring.

The full rsi overbought drop lesson, video and quiz ›

Other patterns on Nikkei 225

Inside bar · Gap up · Stochastic bearish cross · Gap down · Stochastic bullish cross · Spinning top · MACD bearish cross · EMA 9/21 bullish cross · EMA 9/21 bearish cross · MACD bullish cross · all of them

The rsi overbought drop elsewhere

Sony · Toyota · SoftBank · Sensex · Nifty 50 · Dow Jones · S&P 500 · GBP/USD · EUR/JPY · Gold · Silver

Questions

How often does the rsi overbought drop work on Nikkei 225?

In 112 cases on Nikkei 225, the target (1.5 × ATR) came before the stop (1 × ATR) 44% of the time and the stop came first 54%; 2% went nowhere within 12 candles.

What is the rsi overbought drop?

RSI rose above 70, then fell back below it. Buying may be tiring.