RSI buy sell force

The RSI buy sell force indicator is a momentum-based tool designed to visualize the directional pressure of price movements by decomposing the Relative Strength Index (RSI) into bullish and bearish components.

Usage

The RSI buy sell force indicator provides a visual representation of market momentum through three primary lines:

• Buy Force (CC): Represented by the green line, this signifies upward momentum.
• Sell Force (BB): Represented by the red line, this signifies downward momentum.
• Average: Represented by the blue line, this provides a baseline of the two forces.

Traders typically look for crossovers between the Buy Force (CC) and Sell Force (BB) lines to identify potential trend shifts:

• Bullish Signal: A buy signal is generated when the CC line crosses above the BB line.
• Bearish Signal: A sell signal is generated when the CC line crosses below the BB line.

Details

The indicator calculates the standard RSI and compares it against an Exponential Moving Average (EMA) of that RSI. The period of the EMA is dynamically adjusted based on the current chart timeframe to maintain consistent distance and sensitivity.

The "force" components are derived by calculating the deviation between the RSI and its EMA. This deviation is then used to split the RSI value into two distinct paths (CC and BB), effectively creating a "spread" that widens during volatile directional moves and narrows during consolidation.

Settings

• RSI Length: Determines the period used for the standard RSI calculation.
• Source: Selects the price data (e.g., Close, Open, High, Low) used for the calculation.
• Length Time Distance: A multiplier used to adjust the dynamic EMA length across different timeframes to ensure calculation stability.

FAQ

How do I interpret the crossover of the lines?

When the green CC line is above the red BB line, it indicates that the buying force is currently stronger than the selling force. Conversely, when the red line is on top, selling pressure is dominant.

Can this indicator be used on any timeframe?

Yes, the script includes logic to automatically adjust its internal smoothing lengths based on the timeframe you are viewing, making it suitable for both intraday and daily charts.

How can I access RSI buy sell force?

You can get access on the LuxAlgo Library for charting platforms like TradingView, MetaTrader (MT4/MT5), and NinjaTrader for free.