There are various technical analysis tools available in the market to help traders with their trading actions. All of these indicators have their own advantages and difficulties when it comes to using them for predicting the stock’s future. Still, personally, I feel that RSI or the relative strength index which is an oscillating momentum indicator ,is the most accurate technical indicator, not only based on its performance but also based on the user-friendly nature.
RSI uses numbers to indicate the market conditions. This simple approach is very simple for the traders to understand and also these numbers are not any random numbers. The numbers have proper mathematical calculations behind it and have a definite periodic interval. Thus it has all other conditions fixed, which again makes it easier for the trader to understand. Following RSI, Bollinger’s band is the second most accurate indicator.