[PS] Mini-Meter psRSI
This single oscillator, the cyclic RSI, is being measured for weakness in the underlying trend over a period of time and will identify divergences in price and the oscillator.
Two lines are drawn on the oscillator when a potential correction is detected.
Crossing the red line signifies invalidation of the potential correction and trend continuation.
Crossing the green line signals the potential counter-trend move.
Three symbols also appear on the oscillator.
Dots indicate the beginning of the diverging period.
X's indicate invalidation and trend continuation.
Triangles indicate the confirmation of the counter-trend move.
Alerts are integrated for each condition and are available to select individually as needed.
I will typically use alerts on a Bullish Setup to notify me of a chart preparing for a bullish correction.
I'll look at the chart and identify relevant support and resistance levels.
Upon a Bullish Trigger alert I'll return to the chart and evaluate my risk according to the current price level in relation to support/resistance.
I'll also look for a confirming price action signal for entry into a bullish trade.
Sometimes Bullish Triggers at support and Bearish Triggers at resistance can show those price levels potentially holding up.
In open positions triggers can be used as market-dictated take profit points as they are showing weakness in the directionality of price.
This script does not make use of the pivot function to identify lower/higher lows/highs, but there IS a 5 bar buffer in pivot points. Backtesting of methods show this has more statistical validity in the signal.
@theprivacysmurf
*The MM psRSI is a constituent of the PrivacySmurf Correction Strength Meter*
Two lines are drawn on the oscillator when a potential correction is detected.
Crossing the red line signifies invalidation of the potential correction and trend continuation.
Crossing the green line signals the potential counter-trend move.
Three symbols also appear on the oscillator.
Dots indicate the beginning of the diverging period.
X's indicate invalidation and trend continuation.
Triangles indicate the confirmation of the counter-trend move.
Alerts are integrated for each condition and are available to select individually as needed.
I will typically use alerts on a Bullish Setup to notify me of a chart preparing for a bullish correction.
I'll look at the chart and identify relevant support and resistance levels.
Upon a Bullish Trigger alert I'll return to the chart and evaluate my risk according to the current price level in relation to support/resistance.
I'll also look for a confirming price action signal for entry into a bullish trade.
Sometimes Bullish Triggers at support and Bearish Triggers at resistance can show those price levels potentially holding up.
In open positions triggers can be used as market-dictated take profit points as they are showing weakness in the directionality of price.
This script does not make use of the pivot function to identify lower/higher lows/highs, but there IS a 5 bar buffer in pivot points. Backtesting of methods show this has more statistical validity in the signal.
@theprivacysmurf
*The MM psRSI is a constituent of the PrivacySmurf Correction Strength Meter*