RSI Bar charts

Here is a method that is amazingly profitable but I have not been able to get on the meta trader 4 as a program.

I saw it on the omega software for trading. See the picture!

To pin point (and I mean to the exact price) a reversal ie top or bottom, there is a method called RSI charting.

If we can chart the RSI (ie as bars NOT lines) just like the price chart and draw our support and resistance lines on the RSI chart we can very accurately predict the exact reversal point by matching the RSI level to a price that would occur on the RSI chart.

I know that this is being done and I ve seen it my self and it is bloody amazing. But there is no coding for it on MT.

Can any one code this. What we want is to see under the price chart the RSI as a chart just like the price and be able to see the RSI levels that correspond to the high low and close of the price bar so we can chart the RSI chart instead of the price chart.

This allows you to place very tight stops with great accuracy. If any one can program this on the MT we might be able to do very powerful analysis based on support and resistance.

thanks

http://www.forexfactory.com/images/misc/progress.gif

To understand your request better, let me ask how you want to draw the RSI in bars. The RSI formula from MT4 help is as follows:

RSI = 100-(100/(1+U/D))

Where:
U — is the average number of positive price changes;
D — is the average number of negative price changes.

What I understand is, RSI doesn't pay attention to open, high, low. It only takes the amount of positive or negative closes into consideration, so I guess it takes the close prices, compares them to previous close, then counts how many end up being positive or negative with respect to previous close.

How will we turn this into a bar chart? Will we take the price opens, closes, highs and lows in a similar way and use them to compose our RSI bars' opens, closes, highs and lows? Or am I totally out of the point here?

To be honest with you I have no idea.

The only thing I know about this is thats how it looks and if you do your technical analysis on there instead of the price chart and then match the RSI value to the corresponding price then you have a gold mine.

Thats what I saw being done on the omega research pro suite with amazin results ...

I am not exactly sure how to draw bars instead of lines in custom indicators. I will look into this and see if I can code something for this purpose.

thanks it will be interesting believe me!! I've seen this baby in action and she dont miss a beat.

This is very close to your request........

Thanks for sharing it!

Thanks forex flash, its close but I cant do technical analysis actually on the RSI chart because its still a line.

What we actually need are bars like price bars under neath the prices so we can actually draw the lines on the RSI bars then find waht value they correspond to and then convert that to the price accordingly and then sell at resistance and buy on support.

Thanks alot for your efforts, much appreciated.

Ohhhhh you can do rsi with only a line... try ~40Period with 50/50.
Do you know the timeperiod 14day? & TP 60/40? of the first chart posted?

And, i think you could use the post in nixor's formula for ticks.

Done, PM or send me an email, if you're interested.

Is this a joke? you can do this with candlesticks.........