Chau RSI+MA for DH

Chau RSI+MA for DH – Indicator Description & Usage
Overview:
The Chau RSI+MA for DH indicator is a custom RSI-based analysis tool designed to provide a deeper and more dynamic view of market momentum. It plots three configurable RSI lines along with three moving averages (MA) of the main RSI, helping traders identify overbought/oversold zones, trend strength, and potential reversal points.

🔧 Inputs & Configuration:
Three RSI Lines:

RSI 1 (default: 7)

RSI 2 (default: 14) → used as the base for MA calculations

RSI 3 (default: 21)
These allow multi-timeframe or multi-speed momentum analysis in a single panel.

Three MAs of RSI 2:

MA 1, MA 2, MA 3 – customizable lengths, defaulting to 5, 10, and 20
These help smooth out RSI 2 to detect trend direction or divergence.

Overbought/Oversold Levels:

Customizable dual thresholds (Level 1 & Level 2), offering flexible signal filtering.

🎯 Core Features & Strengths:
Multi-RSI Display:
Combines short, mid, and long RSI to give a layered view of market strength and potential turning points.

RSI MA Tracking:
Smoothing RSI 2 with three MAs helps visualize momentum trends and potential trend-following signals.

Dynamic Signal Zones:

Overbought and Oversold regions are highlighted with background colors.

Dual level alert system (e.g., 70/80 and 30/20) increases precision and adaptability for different strategies.

Highly Customizable Visualization:

Fully adjustable color schemes for all RSI and MA lines.

Easily identify confluences or divergences at a glance.

✅ Best Use Cases:
Trend Confirmation:
Use RSI 2 crossing above/below its MAs as a momentum confirmation signal.

Reversal Detection:
Identify overbought or oversold conditions combined with RSI-MA divergence.

Filtering Entries/Exits:
Combine with price action or other indicators to filter out low-probability trades.

Scalping & Swing Trading:
Adaptable to multiple timeframes and styles due to customizable RSI/MA settings.