The Reverse Double Smoothed Relative Strength Index Bands is a custom script of mine that is another part of my RSI indicator series, which I will be publishing over the next week or so. This takes my Double Smoothed Relative Strength Index script and applies the Reverse RSI formula to create a new Bollinger Bands type indicator. This concept can work for almost any oscillator with some slight tweaking. I have a reverse RSI being calculated for each major RSI level to give you an approximation of what the price would look like if that RSI level was hit. Feel free to tweak the RSI levels of course. I will publish more Reverse indicators since that doesn't seem to be a topic that is touched on very frequently. I have color coded the indicator to show darker colors when it is a strong signal and lighter colors for normal signals. Buy when the lines turn green and sell when they turn red.
This was a custom request from @kerpiciwuasile so let me know if you want to see me publish another custom script!
i will use this indicator to get an approximation of the targets for my trades because it shows where the price will be if it were to get oversold/overbought I also noticed that sometimes only the wick of the candle touches the oversold/overbought zones and there are no candle closes in those zones before the reversal occurs . it is useful to visualize a divergence forming in the overbought/oversold zones and as well the price action occuring near the midline
cheatcountry
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@kerpiciwuasile, That sounds great! Let me know how this works out for you and if it helps to increase your profits
I also noticed that sometimes only the wick of the candle touches the oversold/overbought zones and there are no candle closes in those zones before the reversal occurs .
it is useful to visualize a divergence forming in the overbought/oversold zones and as well the price action occuring near the midline