Advanced Dynamic Threshold RSI [PineScript, OpenSource]

[ElysianSignals]

I don't know - you can't see how scrunched up bars are at the top unneccesarily and all that empty wasted space in the middle? I'm constantly adjusting my charts to best see what I need to see.

Yes, I know what you mean. Dead space can appear. I had that on my mind when I showed this other view without extra space. The answer to why it's in the thread is that I had that space filled with indicators. I had to turn off all indicators except the introduced one and forgot to resize the remaining charts.

Anyway the one indicator I prioritize with price (along with time, pattern and momentum) is Rate of Change unfiltered. Just price divided by price x number of bars ago X 100. Below one minute ES chart from Friday ROC set to length of 60 representing price change over an hour.

I've examined your Rate of Change indicator. In my analytics, I agree with everything you wrote except for maybe the "unfiltered" keyword. The ROC indicator can be combined with a moving average to filter out noise and identify more reliable trend signals.

How could an unfiltered indicator be better than the same with filtering algorithms?

 

[SunTrader]

Yes, I know what you mean. Dead space can appear. I had that on my mind when I showed this other view without extra space. The answer to why it's in the thread is that I had that space filled with indicators. I had to turn off all indicators except the introduced one and forgot to resize the remaining charts.



I've examined your Rate of Change indicator. In my analytics, I agree with everything you wrote except for maybe the "unfiltered" keyword. The ROC indicator can be combined with a moving average to filter out noise and identify more reliable trend signals.

How could an unfiltered indicator be better than the same with filtering algorithms?

The ROC I posted had a MA as well (same length), but that is very secondary to ROC itself.

I want to see how price is trading to itself in the past, then maybe a MA of that. Not the other way around. Never.

+ + +

Dead space - noted.

 

[ElysianSignals]

The ROC I posted had a MA as well (same length), but that is very secondary to ROC itself.

I want to see how price is trading to itself in the past, then maybe a MA of that. Not the other way around. Never.

+ + +

Dead space - noted.

Yes, I noted your usage of MA, which I do so myself. I usually use Supertrend as well. I believe MA for trading is surprisingly profitable compared to its simplicity, but Supertrend even more. Have you considered that?

This thread's indicator, Advanced Dynamic Threshold RSI, dynamically adapts its parameters to the market following volatility and price changes. You emphasized length in your setup. Have you considered updating the length parameter runtime?

As we navigate through multiple timeframes, we might want to use different lengths.

 

[SunTrader]

Yes, I noted your usage of MA, which I do so myself. I usually use Supertrend as well. I believe MA for trading is surprisingly profitable compared to its simplicity, but Supertrend even more. Have you considered that?

This thread's indicator, Advanced Dynamic Threshold RSI, dynamically adapts its parameters to the market following volatility and price changes. You emphasized length in your setup. Have you considered updating the length parameter runtime?

As we navigate through multiple timeframes, we might want to use different lengths.

No. One lookback (which is the same for MA) appropriate to the timeframe.

I trade using 1 and 5 minute charts as well as watch 1 hour for "bigger picture".

So 60 for a one minute chart and 12 for 5 minute chart and 24 for 1 hour chart.

That is it.

Pure price change and as I said previously secondarily its respective MA.

Nothing that adjusts, recalculates, modifies ... price in any way.

 

[ElysianSignals]

No. One lookback (which is the same for MA) appropriate to the timeframe.

I trade using 1 and 5 minute charts as well as watch 1 hour for "bigger picture".

So 60 for a one minute chart and 12 for 5 minute chart and 24 for 1 hour chart.

That is it.

Pure price change and as I said previously secondarily its respective MA.

Nothing that adjusts, recalculates, modifies ... price in any way.

Thank you for sharing your experiences. Although I experienced slightly better results with dynamic adjustments, I know it's profitable without adaptive parameters.

In the discussions I have with people, I usually prefer candles of at least 4 hours because I prefer to give ourselves a time window to conclude probabilities of different scenarios.

But I write these indicators because people, like me, know the thrill of trading on seconds. When you operate with fast candles, you don't always have the time to share your ideas in natural language. These are situations when dynamic recalculation is more than a slight edge. Sometimes, you don't have the time to manually evaluate your parameters. I know you can have experience when you feel the right parameters and don't have to brainstorm much, but most people haven't developed that experience.