OPEN-SOURCE SCRIPT
True Strength Index
The True Strength Index (TSI) is a technical momentum oscillator that can help identify trends and spot reversals. This indicator was developed with about an hour of research, based on the original True Strength Index formula by William Blau. The research material used to create this indicator can be found in the script (released publicly).
Author Notes:
- The zero line is included in this script, since it's a standard feature of the True Strength Index momentum oscillator.
- I did not include support and resistance levels, as I'm still researching the best way to incorporate this, rather than using a simple horizontal line for each.
- The original True Strength Index momentum oscillator utilizes the Exponential Moving Average, but with this release, you have the option to use the Hull Moving Average (as an alternative). Feel free to experiment and adjust the settings to whatever suits your trading style.
- I plan on improving/updating this indicator, but for now, releasing this early version.
* This is being provided as is and the information provided by this script is meant for informational/entertainment purposes only.
Author Notes:
- The zero line is included in this script, since it's a standard feature of the True Strength Index momentum oscillator.
- I did not include support and resistance levels, as I'm still researching the best way to incorporate this, rather than using a simple horizontal line for each.
- The original True Strength Index momentum oscillator utilizes the Exponential Moving Average, but with this release, you have the option to use the Hull Moving Average (as an alternative). Feel free to experiment and adjust the settings to whatever suits your trading style.
- I plan on improving/updating this indicator, but for now, releasing this early version.
* This is being provided as is and the information provided by this script is meant for informational/entertainment purposes only.
Release Notes
This might the final iteration of this True Strength Index indicator. The prior public released version omitted the oversold and overbought levels. I was in disagreement with the concept of how the oversold and overbought lines were used with the original specifications of how these lines are just set at -30 and + 30. To put it bluntly, it's like plopping 2 additional lines fixed at -30 and +30 and calling it oversold and overbought.After several hours of brainstorming and experimentation, I think I came up with a better solution to the oversold and overbought levels. You can read the description comment area of the source code (released publicly) for more information on how to use the oversold and overbought lines. The oversold and overbought lines aren't enabled by default, so if you want it, ensure you manually enable it.
Also, after a while, my source code started getting a bit sloppy as I kept getting frustrated with wanting to terminate each line of code with a semicolon, etc... since I've come from a C++, Javascript/NodeJS background. In any case, this version also comes with a couple of minor changes. You can check it for yourself through the indicator settings and each setting has a detailed tooltip to assist you.
Release Notes
Minor update that includes a trend direction helper. The True Strength Index can generate false signals. By utilizing the trend direction helper, this can better help you visualize the general direction. The important thing to note here is the color of the trend direction helper. Details of it's usage can be found in the description area of the source code.Please note that the trend direction helper isn't enabled by default. You have to manually activate it, if you want it through the indicator settings.
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.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.