There are three key technical indicators investors need to consider while taking an investment decision in stocks - the RSI (Relative Strength Index), Stochastic and MACD (moving average convergence and divergence). Although, these are all momentum indicators, they differ in their own philosophies. While RSI determines the strength of a price change, Stochastic identifies significance of closing prices over a certain period of time and MACD strictly restricts itself to moving averages.
When all three are combined together to analyse stocks, a possible rally of five to seven per cent can easily be gauged. Among the three, any one indicator