William Blau developed the True Strength Index (TSI) as a momentum oscillator. At the time, he covered it in a prominent magazine called Stocks & Commodities. As with other oscillators, the TSI can be used to identify trade signals. Traders use it to determine possible overbought and oversold levels. Still, others use it to find bullish and bearish divergences, while still others use it to find centerline crosses.

The True Strength Index (TSI) is a momentum oscillator used in technical analysis to measure the strength and direction of a trend. Developed by William Blau, it calculates the difference between two exponential moving averages of price changes, then smooths the result with another moving average. The TSI oscillates around a zero line, with positive values indicating bullish momentum and negative values indicating bearish momentum. Traders often use the TSI to identify overbought or oversold conditions, as well as potential trend reversals. It's particularly valued for its ability to filter out market noise, providing a clearer picture of price momentum. Crossovers above or below the zero line can also signal buy or sell opportunities.