RSI on MA Indicator for MT4

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RSI on MA Indicator for MT4

Introduction to the RSI on MA Indicator

One of the most popular ways traders identify trends and trend reversals is with the use of moving average crossovers. It is a simple yet effective method which new traders can easily identify.

The RSI on MA Indicator is a simple oscillator which identifies trend reversals based on moving average crossovers.

What is the RSI on MA Indicator?

The RSI on MA Indicator is a custom technical indicator which combines two widely used indicators, the Relative Strength Index (RSI) and the Moving Average (MA).

This indicator is an oscillator type of technical indicator which plots two lines that oscillate within the range of zero to 100. Trend or momentum direction can be identified based on how the two lines interact. The momentum is bullish whenever the crimson line is above the lime green line and bearish whenever the crimson line is below the lime green line.

RSI on MA Indicator for MT4

How the RSI on MA Indicator Works?

The RSI on MA Indicator works just as its name suggests. It is basically an RSI of two moving average lines. The crimson line represents the RSI of a faster moving average line, while the lime green line represents the RSI of a slower moving average line.

How to use the RSI on MA Indicator for MT4

This indicator has several options which can be modified within its indicator settings.

“RSIPeriod” refers to the number of periods used to compute for the RSI of the moving average lines.

“MA1” refers to the number of bars used to compute for the faster moving average line.

“MA2” refers to the number of bars used to compute for the slower moving average line.

“MAMode” allows users to change the type of moving average lines used, while “MAPrice” allows users to choose which price point on a candle will be used to compute for the moving average lines.

How the RSI on MA Indicator Works

This indicator can be used as a trend or momentum direction indicator. This will be based on how the two lines stack up as mentioned above.

In effect, it can also be used as a trend or momentum reversal indicator which would be based on the crossing over of the two lines. However, this is best done in confluence with other technical indications.

Buy Trade Setup

When to Enter?

Open a buy trade as soon as the faster oscillator line crosses above the slower line. Set the stop loss on the support below the entry candle.

When to Exit?

Close the trade as soon as the faster oscillator line crosses below the slower line.

How to use the RSI on MA Indicator for MT4 - Buy Trade

Sell Trade Setup

When to Enter?

Open a sell trade as soon as the faster oscillator line crosses below the slower line. Set the stop loss on the resistance above the entry candle.

When to Exit?

Close the trade as soon as the faster oscillator line crosses above the slower line.

How to use the RSI on MA Indicator for MT4 - Sell Trade

Conclusion

The crossover of the two oscillator lines of this indicator is a viable way to identify trend or momentum reversals. However, it is not that accurate due to lag. This is because in a way, this indicator is based on the concept of moving average crossovers, which in itself often has lag. This indicator adds another layer of technical indicator to the moving averages using the RSI, which also adds lag.

Although this indicator does have lag, traders can still modify its variables to make it more responsive and useable for identifying trends and trend reversals.

MT4 Indicators – Download Instructions

RSI on MA Indicator for MT4 is a Metatrader 4 (MT4) indicator and the essence of this technical indicator is to transform the accumulated history data.

RSI on MA Indicator for MT4 provides for an opportunity to detect various peculiarities and patterns in price dynamics which are invisible to the naked eye.

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How to install RSI on MA Indicator for MT4.mq4?

  • Download RSI on MA Indicator for MT4.mq4
  • Copy RSI on MA Indicator for MT4.mq4 to your Metatrader Directory / experts / indicators /
  • Start or restart your Metatrader 4 Client
  • Select Chart and Timeframe where you want to test your MT4 indicators
  • Search “Custom Indicators” in your Navigator mostly left in your Metatrader 4 Client
  • Right click on RSI on MA Indicator for MT4.mq4
  • Attach to a chart
  • Modify settings or press ok
  • Indicator RSI on MA Indicator for MT4.mq4 is available on your Chart

How to remove RSI on MA Indicator for MT4.mq4 from your Metatrader Chart?

  • Select the Chart where is the Indicator running in your Metatrader 4 Client
  • Right click into the Chart
  • “Indicators list”
  • Select the Indicator and delete

RSI on MA Indicator for MT4 (Free Download)

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