Suzlon Energy, Central Bank among 10 overbought stocks with bearish RSI

Relative Strength Index (RSI) is a technical indicator which gauges stock movement and assists investors in making informed decisions. On July 10, Monday, StockEdge reported that 27 stocks were in the overbought zone but witnessed a bearish or declining RSI. From this group, ETMarkets has handpicked 10 stocks that continue to trade in the overbought zone.

The RSI is a widely-used technical indicator that measures the strength and velocity of price movements in a stock. It provides a numerical value ranging from 0 to 100, indicating whether a stock is overbought or oversold. RSI is calculated based on the average gain and loss of a stock's closing prices over a specific period, typically 14 days.

A higher RSI value suggests that a stock is overbought, potentially indicating a reversal or correction in its price. Conversely, a lower RSI value suggests oversold conditions, potentially signaling an upward movement.

This decline in RSI indicates a potential weakening of bullish momentum and may serve as an early warning sign for investors to exercise caution or consider taking profits.

The Top 10 Stocks with Bearish RSI Signals:

1) JSW Energy Ltd. (RSI: 69.72, Prev. RSI: 71.70)

2) Hero MotoCorp Ltd. (RSI: 69.53, Prev. RSI: 72.63)

3) Poly Medicure Ltd. (RSI: 69.33, Prev. RSI: 71.17)

4) Sunteck Realty Ltd. (RSI: 69.26, Prev. RSI: 82.89)

5) Suzlon Energy Ltd. (RSI: 68.92, Prev. RSI: 73.78)

6) Central Bank Of India (RSI: 68.81, Prev. RSI: 71.41)

7) Aavas Financiers Ltd. (RSI: 68.74, Prev. RSI: 74.85)

8) Varroc Engineering Ltd. (RSI: 68.51, Prev. RSI: 70.24)

9) Bajaj Finserv Ltd. (RSI: 68.36, Prev. RSI: 74.36)

10) Jindal Stainless Ltd. (RSI: 68.27, Prev. RSI: 76.20)

(Disclaimer: This is an AI-generated article. Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)