Ultimate RSI

The Ultimate RSI indicator is a comprehensive momentum tool that enhances the standard Relative Strength Index by integrating volume weighting, divergence analysis, a secondary slow RSI, and optional pivot point levels. It aims to provide a "Swiss Army Knife" approach to RSI, allowing users to identify trend exhaustion and confirmation through multiple analytical lenses simultaneously.

Usage

The indicator can be used as a standalone oscillator or as a multi-layered momentum analysis tool. Users can monitor the primary RSI line for standard overbought/oversold conditions or enable the Slow RSI to identify trend shifts through line crossovers. The Divergence Weight feature allows for a more sensitive RSI plot that accounts for price and momentum discrepancies.

If Pivot Points are enabled, the script calculates support and resistance levels directly on the RSI scale, offering unique technical targets within the oscillator window. Background colors provide an immediate visual cue for the current trend state:

• Bright Green/Red: Strong trend momentum.
• Dull Green/Red: Weakening or retracing trend.
• Blue: Neutral or transitioning state.

Details

The script introduces a Divergence/Volume Weighted (DVW) calculation. This method expands the standard RSI formula by factoring in the ratio between RSI change and price change. Furthermore, it incorporates Relative Volume to amplify RSI movements during high-volume confirmation and dampen them during low-volume periods.

The tool also includes an automated fractal-based divergence detector, which identifies both regular and hidden divergences. For visual clarity, users can toggle Fibonacci levels (0.146 to 0.886) instead of the traditional 30-50-70 markers.

Settings

RSI Configuration

• RSI Source: Determines the price input (Close, Open, etc.) for the calculation.
• RSI Length: The lookback period for the primary RSI.
• Relative Volume Length: The period used to calculate volume spikes for the DVW formula.
• RV x Divergence / RV x RS: Toggles which parts of the internal formula are influenced by volume.
• Divergence Weight: Adjusts the influence of the divergence ratio (0 to 2, where 0 is a standard RSI).
• SMA Divergence: Switches between SMA and RMA smoothing for divergence calculations.

Display & Overlays

• Slow RSI: Enables a secondary, longer-period RSI line.
• Slow RSI Length: The lookback period for the secondary RSI.
• Pivot Points: Activates the calculation of pivot levels (P, S1-S5, R1-R5).
• Fibonacci Levels: Replaces standard levels with Fibonacci ratios.
• Background Colors: Selects between different color themes and dark mode optimizations.

FAQ

How do I interpret the background colors? The colors represent the relationship between two moving averages of the RSI, indicating the underlying trend direction and strength.

What does the Divergence Weight setting do? A setting of 0 results in a standard RSI. Increasing this value incorporates price/RSI divergence ratios into the line's movement, making it more responsive to momentum shifts.

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