This is a new trend following indicator from the FTrend series based on oscillators and displaying a trend and its power on different timeframes.
FTrendRSI is based on RSI and displays both trend itself as color histograms at the bottom of the chart and its power. Also, the indicator shows trend directions on different timeframes allowing to receive an accurate entry signal by analyzing the price movement on different timeframes.
After switching the terminal interface language, FTrendRSI displays trends on other timeframes in the data window in English and Russian.
The indicator has four buffers showing a trend power on an active timeframe:
- Strong Up means that a strong uptrend is developing at the current timeframe confirmed by RSI lines.
- Weak Up means an uptrend is coming to an end and it is time to consider closing Buy positions.
- Strong Down means that a strong downtrend is developing at the current timeframe confirmed by RSI lines.
- Weak Down means a downtrend is coming to an end and it is time to consider closing Sell positions. RSI lines allow you to see overbought and oversold states where a trend reversal may occur.
Trading plan for buying: when D1, H1, M15 trends show Strong Up, find a suitable point to buy.
Trading plan for selling: when D1, H1, M15 trends show Strong Down, find a suitable point to sell.
When Weak Up and Weak Down signals appear, we should think about exiting open positions.
- RSIPerF - fast RSI period.
- RSIPerS - fast RSI period.
- RSIPrise - applied price for the indicator calculation.
- RSI_StTf - RSI indicator higher timeframe.
- corn - trend display corner: 0 - upper left, 1 - upper right, 2 - lower left, 3 - lower right chart corner
- Wind - trend readings window: 0 - main chart window, 1 - indicator window.
- SUP - Strong Up text and arrow color.
- WUP - Weak Up text and arrow color.
- SDN - Strong Down text and arrow color.
- WDN - Weak Down text and arrow color.
It is recommended to use the indicator on M15 considering readings on H1 and D1 together with other indicators confirming the entry signal.
Example: FTrendRSI on М15 shows RSI upward reversal from the oversold zone. Н1 and D1 readings show Strong Up. The price has crossed SMA7 upwards. Open Buy. FTrendRSI on Н1 shows Weak Up and the price is approaching SMA7 - close Buy position.
Example: FTrendRSI on М15 shows RSI downward reversal from the overbought zone. Н1 and D1 readings show Strong Down. The price has crossed SMA7 downwards. Open Sell. FTrendRSI on Н1 shows Weak Down and the price is approaching SMA7 - close Sell position.