Good Strategy... Sounds like
you use another program other than MS Pro... What do you use?
--- In equismetastock@ yahoogroups. com, Mr Distinque
<distinque@x ..> wrote:
>
> My approach with the RSI is to view it as a oscillating leading
indicator, but only on a non-trending security. I couple it with a
trending indicator (ADX) and when the trending indicator say we are in a
trend, I ignore the RSI until the trending indicator starts to indicate a
weakening in the trend.
> Â
> I also have my RSI colored to indicate a minimum amount of what I call
thrust. If the RSI does not move at least the minimum about, I ignore
the RSI indication. For me this works great on a 15min chart to slow
the fake moves.
>
> I primarily look for a fast cross of the slow from above/below 80/20
lines. Check the thrust level (color), check the momentum indicator
and nearest S/R & support levels to see if there is enough room to move
or if it is a bounce/rejection.
> Â
> In the middle of a trend I also use the RSI to add/remove positions
using the same logic.
> D
> EGO Sum Qua EGO Sum
> Sempre Avanti
> Â
> He Who Sits In A Well To Look At The Sky Can See But Little
>
> --- On Tue, 3/2/10, pumrysh <no_reply@xxxxxxxxxx s.com> wrote:
>
>
> From: pumrysh <no_reply@xxxxxxxxxx s.com>
> Subject: [EquisMetaStock Group] Re: Re-Thinking The Basics
> To: equismetastock@ yahoogroups. com
> Date: Tuesday, March 2, 2010, 10:02 PM
>
>
> Â
>
>
>
> Kev,
>
> You are on the right track but the scaling on the RSI is not always
constant. Walter Baeyans in his book titled RSI...Logic, Signals & Time
Frame Correlation discusses this. Basically the RSI does not always move in a
directly proportional manner. Page 22 of his book explains this. There is
only one neutral point which is 50.
>
> Preston
>
> --- In equismetastock@ yahoogroups. com, "formulaprimer"
<formulaprimer@ ...> wrote:
> >
> > The way the RSI is calculated leads to the rethinking of the indicator
itself that what the original designer intended it for.
> > It is a momentum indicator but actually with the way it is
constructed it is a TREND Indicator like ADX... Here is why
> >
> > RSI = 100 - [100/(1+(U/D) )]
> >
> > Where:
> >
> > U = An average of upward price change.
> > D = An average of downward price change.
> >
> > This means that 66.67 horizontal line and 33.33 horizontal lines
are percentage indicators.. . If in a bull market 66.67 should be touched at
least once and in a down bear trend 33.33 should be touched at least once.
This is the reason why the default setting of 14 days is statistically
relevant by the creator Wilder. Too sum it up in a bull market once the 66.67
level has been touched by the RSI it is statically a bull market until the
33.33 level is touched to signal a bear market... See if this analysis is
correct?
> >
>