RSI Multi Length [LuxAlgo]

The following indicator aims to return information over RSIs using multiple periods, including the percentage of RSIs of different periods being overbought/oversold, as well as the average between these multiple RSIs.

The percentage of RSIs of different periods being overbought/oversold is additionally used to return adaptive overbought/oversold levels.

Settings

• Maximum Length: Maximum period of the RSI used for the indicator calculation
  
• Minimum Length: Minimum period value of the RSI used for the indicator calculation
  
• Overbought: Value of the overbought level
  
• Oversold: Value of the oversold level
  
• Src: Input source of the indicator
  

Usage

The main element of the indicator is given by the multi-length RSI average, returning an oscillator similar to a fixed-length RSI. Because of its multiple length nature, the indicator can reflect shorter to longer-term price variations depending on the Maximum/Minimum length range defined by the user.

The green area indicates the percentage of RSIs over the user-defined overbought level. The red area indicates the percentage of RSIs under the user-defined oversold level, this percentage is inverted for ease of visualization. Additionally, a dashboard at the top right of the indicator pane indicates these percentages for the most recent bar.

A lower percentage of overbought/oversold RSIs can indicate a potential shorter-term retracement.

These percentages are used to construct adaptive overbought/oversold levels for the average multi-length RSI. The overbought level will be easier to reach if the percentage of overbought RSI's is high, the same logic applies to the adaptive oversold level.

Versionsinformation:

Minor changes.