OPEN-SOURCE SCRIPT
RSI Buy/Sell Signals
This is RSI based buy/sell indicator.
Why this indicator:
RSI above 70 or RSI below thirty doesnt mean underlying instrument can be a Buy/Sell. Rather it suggests momentum in that direction.
This indicator signals Buy when RSI comes down from overbought and crossed below 50 and vice versa for Sell signal.
Limitation:
This indicator gives frequent buy/sell signals when RSI oscillates between 40 and 60. One can Ignore those buy/sell signals.
However when RSI falls recently from 70 towards 50 crossing it for the first time, it suggests potential downtrend and vice versa.
Due to the above limitation, this indicator is in WIP.
Note : Do your own due diligence and use this indicator with other signals to confirm your trade.
Why this indicator:
RSI above 70 or RSI below thirty doesnt mean underlying instrument can be a Buy/Sell. Rather it suggests momentum in that direction.
This indicator signals Buy when RSI comes down from overbought and crossed below 50 and vice versa for Sell signal.
Limitation:
This indicator gives frequent buy/sell signals when RSI oscillates between 40 and 60. One can Ignore those buy/sell signals.
However when RSI falls recently from 70 towards 50 crossing it for the first time, it suggests potential downtrend and vice versa.
Due to the above limitation, this indicator is in WIP.
Note : Do your own due diligence and use this indicator with other signals to confirm your trade.
Open-source script
In true TradingView spirit, the author of this script has published it open-source, so traders can understand and verify it. Cheers to the author! You may use it for free, but reuse of this code in publication is governed by House rules. You can favorite it to use it on a chart.
Disclaimer
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