The RSI 3TF Alert MT4 indicator provides buy and sell forex trading signals based on the RSI – Relative Strength Index values of three time frames. Traders can choose any three time frames. Or the indicator automatically chooses the next two higher time frames of the current chart. Furthermore, forex technical traders can customize the input settings to add multiple time frames and periods.
In effect, traders can see the current, medium and long term RSI values in the same indicator window. The trading signals are generated based on the crossover of these RSI values. Additionally, it alerts once a trading signal is triggered. However, traders can enable an additional filter that alerts only at high probability trading signals.
Features of RSI 3TF Alert MT4 Indicator
The indicator plots Red, Aqua and Majenta lines and adds 7, 50 and 93 levels to the indicator window. It plots big dots at the top of the indicator and helps identify any up or down trading signals.
The trading strategy of this indicator differs from the classic RSI indicator. It does not use the overbought and oversold conditions or the divergence and convergence between price and RSI.
If the red and aqua lines move above the 50 level and the indicator provides and up arrow signal. Traders should consider entering the market with a buy trade with a stop loss below the previous swing low. However, if there is an up arrow and the red and aqua line are still below the 50 level it is considered as a weak signal. Traders should consider this signal very carefully or ignore them.
Similarly, if the red and aqua lines are below the 50 level and the indicator provides a down arrow signal traders can enter a sell position.
Benefits of RSI 3TF Alert MT4 Indicator
Instead of using three different RSI indicators and charts, traders can see them in a single indicator window. This enables the traders to keep track RSI values of all three time frames and adjust their trading strategy accordingly.
The indicator works on all chart time frames and helps all types of forex traders. For instance, a M15 chart will have the M30 and H1 charts chosen by the indicator for next 2 higher time frames automatically. As a result, the trading signals align and suits intraday forex traders.
However, traders can adjust the TF1, TF2 and TF3 in the input settings for long-term trading strategies. The built-in trading signal filter further enhances the quality of the trading performance.
Indicator Settings Description
RSI_Period_1:, RSI_Period_2:, RSI_Period_3: Period for RSI 1,2 and 3.
RSI_Period_B1:, RSI_Period_B2:, RSI_Period_B3: Period for the RSI B1,B2 and B3.
TF1: =0, next higher time frame of the current chart time frame.
TF2: =0, two times higher than the current time frame.
TF3: =0, three times higher than the current time frame.
LineSize1: , LineSize2:, LineSize3:, LineSize4: Line size settings.
DotSizeRSI:, DotSizeARROW:, DotSizeZERO:, DotSizeRSI5: Size of dots.
NumberOfBars: Number of history bars for indicator display.
AlertOn: Enables trading alerts.
AlertHighProbabilityOnly: Displays only high probability trading signals.