T3 RSI Indicator
Platform: MT4 Type: Oscillator Last update: September 26, 2024The T3 RSI Indicator for MT4 provides crossover trend signals based on the intersection of T3 and the Relative Strength Index. Free download.
Many forex traders find it a perfect technical analysis tool as it uses a smoothed moving average (T3) for trend direction and an oscillator (RSI) to recognize oversold and overbought price states. A combination of these gauges gives a full picture of the market.
Due to the nature of the indicator, it is rather suitable for short-term forex strategies like scalping.
Closer look at the T3 RSI Indicator
The T3 RSI Indicator consists of two lines. The red line is the T3 moving average, and the white one is the RSI oscillator line.
When the white line is aligned above the red one, it means a trend is considered bullish.
On the other hand, the white line below the red one suggests a bearish trend.
If you pay attention to the above example chart, you will notice it generates quite a lot of signals.
Some of the gives a really nice profit, but some of them require a quick reaction from a trader. It all depends on market conditions.
Let’s take a look at the more detailed explanations of the trading rules.
Buy signal
- Bullish intersection of T3 and RSI takes place
- White line is located above the red line
- Price forms a bullish pattern
- Set stop loss below the recent swing low of the market
- Take profit whenever the T3 RSI indicator plots the bearish crossover
Sell signal
- Bearish intersection of T3 and RSI takes place
- White line is located below the red line
- Price forms a bearish pattern
- Set stop loss above the recent swing high of the market
- Take profit whenever the T3 RSI indicator plots the bullish crossover
Settings
These are available settings.
