It is an RSI indicator with 3 lines (or 4 if you enable the original RSI in settings):
The lime is calculated from high
The fuchsia is calculated from low
The orange one is calcuated form both high and low, by calculating RSI's up from high and down from low
You can also select different moving averages for RSI calculation. (The default is the original RMA)
This indicator is useful for e.g. to filter out original RSI's false signals by waiting both low and high lines to confirm. Or you can use it as an earlier exit indicator. Please write a comment if you find another usage of it.
Could you include possible buy sell signals please
TheBacktestGuy
⋅
@AlwyNjOshy, No, because it is not a complete trading system, just a "simple" indicator, which is much better than the original RSI though. But you can use it with a lot of different ways and with other indicators.
E.g. I use it to check the order of the lines, and it gives me much better results than simple overbought oversold. And/or you can check if 2 or more lines are above/below a certain level. But if you use other moving averages, it can show you other information. So there are a lot of possibilities...
vikithekingbros
⋅
How to trigger this alert ? what are the alert condition for buy and sell?
TheBacktestGuy
⋅
@vikithekingbros, It is an indicator, you can use if you found it useful. You can set alerts on the top right of your screen by clicking the clock icon if it was your question...
vikithekingbros
⋅
@wallneradam, Thanks for your response, i knew the option to create alert in trading view but based on your indictor what will be the buy signal or sell signal ?, when i create alert with this indicator i can see option as "plot plot plot " so no idea what will be buy signal or sell signal? i am confused