i am brand new to this forum ... and my mind is already spinning! i have a simple request for someone to create the following indicator. i would likea large red arrow to appear when sell is confirmed and a large lime arrow to appear when buy is confirmed.
RSI 6 periods 0 minimum 100 maximum
Buy = When 5EMA crosses up and over 12EMA and RSI greater than 50
Sell = When 5EMA crosses down and over 12EMA and RSI less than 50
I modified some indicator.
I don't know which timeframe you are using because there are a lot of false signals.
awesome! that was quick ...much appreciated. i am using 4 hour time frame.
It never occurred to me to modify the WMA Cross indicator. Been searching too much, I lose all sense of direction
yeah i see there is alot of "noise" whenever price moves sideways. any suggestions on how to improve this?
I modified it. Now you can select the levels of RSI indicator.
Modify Signal Based On Price Bar "Length"?
is it possible to limit the signals (green arrow / red arrow) to only appear if prior price bar had a pip range (high minus low = pip range) of 100 or less?
if so what is the code snippet i could copy and paste into my existing indicator code? i adjusted some other rsi parameters so i don't want to fully replace. just supplement with new price bar "length" parameters.
or if it is just easier ... replace the code provided above and i can adjust my rsi parameters again.
thanks in advance,
I would move the timeframe upto daily and drop the rsi, the rsi brings nothing to the table in my opinion. Just concentraite on using the MA for trend direction and learn to indentify support & resistance. Learn to draw trend lines and horozontal support lines, this should allow you to get into trades without anything going drastically wrong. Trying to enter on any timeframe using MA crosses will just get you whipsawed to death, rsi or no rsi.
I've always wondered why people don't just let the trades run in choppy markets. Meaning, say you get a buy signal. You enter the trade. Immediately it sends you a whipsaw signal. You have two options.
A - You reverse your position immediately as most people here seem to be wondering how to avoid.
B - Have a TP/SL that has nothing to do with the crossing of MA's and RSI. The MA and RSI would only be used as entry signals and not exit signals. Let the play run till either your TP or SL is hit. In the meantime don't take any signals from the MA and RSI.
I haven't tried using a system like that since I'm doing trendline trading, but I think it makes sense. In a trending market you get many good signals. Then in a ranging market you get bad signals, yes, but you get fewer of them as you wait for trades to complete before entering another trade. Who knows, maybe you'll get a balance of trades ending in TP and SL since the market can range for or against you.
Thoughts everyone? Matt
A & B both could have positives and negatives, I know for a fact A is bad, but doing B may mean you sit out a big move until it hits your SL. I think the trick is not using MA cross entries because it really has nothing to do with market structure, one arbitrary average equaling another arbitrary average tells you nothing of support and resistance, all it means is that the price has changed per a certain amount in a certain direction, it has no predicitve power, hence the whipsaw effect.
That's why I'm trading trendlines, S/R, channels, etc..
I think if you're going to trade a an MA crossover system you're better off abandoning it and using MACD crossovers instead. It doesn't follow price discretely and sometimes can be a leading indicator when looking for divergences. The crossovers on MACD do also carry a little more weight since there is a standard MACD. There is no standard MA pairing that people watch although 10/20/50/100/200 are the usual numbers.
Kinda interesting what can be done when using the MACD histogram with trendlines as well. It's not so much the entry that makes a trade good, but the exit.
Again, you'll go crazy trying to make an MA xover system. I say start over and find something new. Matt