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Kairi Relative Index


The Kairi Relative Index, also known as Kairi, is a technical analysis indicator used to measure the deviation of an asset’s price from its simple moving average (SMA). It calculates the percentage difference between the current price and the SMA, helping traders identify price trends and potential reversal points. By analyzing Kairi’s values and movements, investors can make informed decisions on buying and selling opportunities.


The phonetics for the keyword “Kairi Relative Index” are:Kairi: /ˈkaɪri/Relative: /ˈrɛlətɪv/Index: /ˈɪndɛks/

Key Takeaways

  1. The Kairi Relative Index is a technical indicator used to identify overbought or oversold conditions in a financial market.
  2. It is calculated by measuring the difference between the current price of an asset and its simple moving average (SMA), and then dividing this figure by the SMA.
  3. By analyzing the Kairi Relative Index, traders can make informed decisions about potential trading opportunities and whether the trend is strong or weak.


The Kairi Relative Index is important in the business and finance world as it serves as a crucial technical analysis indicator, helping investors and traders evaluate an asset’s relative strength, identify potential market trends, and make more informed decisions. By deciphering deviations between an asset’s current price and its simple moving average, this index assists in pinpointing overbought and oversold conditions, thus aiding users in determining optimal entry and exit points for their trades. Ultimately, the Kairi Relative Index contributes significantly to robust trading strategies and improved risk management tactics, minimizing losses while increasing potential profits.


The Kairi Relative Index is a technical indicator primarily utilized by financial analysts, traders, and investors to identify potential trading opportunities within the financial markets. This versatile index serves as a gauge for short-to-medium term price trends by comparing current market prices with a specific period’s moving average. The Kairi Relative Index enables market participants to monitor and understand the price fluctuations and determine overbought or oversold conditions in stocks, commodities, or other financial instruments. By doing so, users attempt to pinpoint opportunities to enter or exit a position, or even predict the potential trend reversals to optimize their investments. One of the key aspects of the Kairi Relative Index is its consideration of market sentiments and psychological factors that influence price movements. As an oscillator, the index ranges between positive and negative values, with zero being the baseline. When the index generates a positive value above zero, it may indicate a bullish sentiment, suggesting an increase in buying pressure and a potential upward movement in price. Conversely, when the Kairi Relative Index generates a negative value below zero, it may reveal a bearish sentiment, highlighting increased selling pressure and a probable drop in price. Financial experts utilize these insights to formulate well-informed decisions, capitalize on short-term price fluctuations, and ultimately, secure higher profit margins.


The Kairi Relative Index is a technical indicator used in financial markets to assess the momentum, trend, and overbought or oversold conditions of a security or asset. Here are three real-world examples of how the Kairi Relative Index has been used in the finance industry: 1. Market Analysis in Stock Trading: Traders often use the Kairi Relative Index to analyze the momentum of individual stocks. For instance, a trader analyzing the performance of Apple Inc.’s stock (AAPL) may use the Kairi indicator to identify potential trend reversals or price extreme points, helping them make better investment decisions. 2. Analyzing Currency Pairs in Forex Trading: Forex traders employ the Kairi Relative Index to identify potential entry and exit points when trading currency pairs, such as the EUR/USD. By assessing the overbought and oversold conditions within the market, traders can make informed decisions on when to buy and sell a particular currency pair to capture potential profits. 3. Cryptocurrency Trading: Similar to stock and forex trading, the Kairi Relative Index can be used in analyzing the movement of cryptocurrencies such as Bitcoin and Ethereum. Crypto traders can use the indicator to identify momentum shifts, price trends, and overbought or oversold conditions within the market. By utilizing the Kairi Relative Index, cryptocurrency traders can make more informed entry and exit decisions while trading digital currencies.

Frequently Asked Questions(FAQ)

What is the Kairi Relative Index?
The Kairi Relative Index (KRI) is a technical analysis tool used to identify and measure the deviation of a financial instrument’s current price from its simple moving average (SMA) in order to help investors interpret market trends and make informed trading decisions.
How is the Kairi Relative Index calculated?
The KRI is calculated using the following formula:KRI = [(Current Price – SMA) / SMA] x 100SMA refers to the Simple Moving Average, which is calculated by taking the average of an asset’s closing prices over a certain number of periods.
What does a positive Kairi Relative Index value signify?
A positive KRI value indicates that the current price of the financial instrument is above its simple moving average, signaling a potential upward trend or overbought market condition.
What does a negative Kairi Relative Index value signify?
A negative KRI value indicates that the current price of the financial instrument is below its simple moving average, suggesting a potential downward trend or oversold market condition.
How can investors use the Kairi Relative Index in trading decisions?
Investors can use the KRI to help identify potential entry and exit points by observing deviations from the Simple Moving Average. A significantly high positive KRI might suggest an overbought market and a potential sell signal, while a significantly low negative KRI might indicate an oversold market and a potential buy signal.
Can the Kairi Relative Index be used as a standalone indicator?
While the KRI can provide useful insights into market trends and conditions, it is generally recommended to use it in conjunction with other technical indicators for a more accurate and comprehensive analysis of market movements.
In which markets can the Kairi Relative Index be applied?
The Kairi Relative Index can be utilized across various markets, such as stocks, forex, commodities, and cryptocurrencies, as it helps to gauge price trends and identify potential trading opportunities.

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