OPEN-SOURCE SCRIPT
Quotum - The Crypto Fear & Greed Index with RSI Trend
This script combines two tools that help us understand what's happening in the market:
The Fear and Greed Index (FGI): This is like the market's mood indicator. It shows us whether investors are feeling fearful (bearish) or greedy (bullish). If the index is high, people might be too optimistic and a correction could be coming. If it's low, people might be too pessimistic and prices might go up soon.
The Relative Strength Index (RSI): This is a bit like a market speedometer. It tells us whether the price of an asset is moving too fast, which might mean it's about to slow down or reverse. If the RSI is high, the asset might be overbought and its price might fall. If it's low, the asset might be oversold and its price might rise.
By putting these two tools together, we get a better picture of the market. For example, if people are very fearful (low FGI) and an asset is oversold (low RSI), it might be a good time to buy. But remember, these are just tools and should be used as part of a larger trading strategy. Always consider other factors and manage your risks wisely.
The Fear and Greed Index (FGI): This is like the market's mood indicator. It shows us whether investors are feeling fearful (bearish) or greedy (bullish). If the index is high, people might be too optimistic and a correction could be coming. If it's low, people might be too pessimistic and prices might go up soon.
The Relative Strength Index (RSI): This is a bit like a market speedometer. It tells us whether the price of an asset is moving too fast, which might mean it's about to slow down or reverse. If the RSI is high, the asset might be overbought and its price might fall. If it's low, the asset might be oversold and its price might rise.
By putting these two tools together, we get a better picture of the market. For example, if people are very fearful (low FGI) and an asset is oversold (low RSI), it might be a good time to buy. But remember, these are just tools and should be used as part of a larger trading strategy. Always consider other factors and manage your risks wisely.
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.
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