OPEN-SOURCE SCRIPT
smoothed_rsi
Updated
Description:
A well-known and vastly used momentum indicator, a Relative Strength Index (RSI) by J. Welles Wilder Jr., aims to evaluate the current price to its oversold/overbought area while giving an overview of bearish/bullish momentum. In this indicator, simply adding the super-smoother function (John F. Ehlers) was applied to the RSI line to create a more smoothed line and reduce its noise.
RSI:
RSI = 100 - 100/(1+RS)
RS = AvgUp/AvgDown
super_smoother(rsi)
Notes:
- RSI > 70 indicates overbought
- RSI < 30 indicates oversold
- direction of the RSI line
Release Notes
adding trendline options to identify e.g. divergence occurrenceOpen-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
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