MACDouble + RSI (rec. 15min-2hr intrv)

The MACDouble + RSI (rec. 15min-2hr intrv) indicator is a multi-layered momentum tool that combines two sets of Moving Average Convergence Divergence (MACD) calculations with a Relative Strength Index (RSI) to identify high-probability trend entries. By requiring all three components to align simultaneously, the script aims to filter out market noise and provide more reliable long and short signals.

Usage

The script is designed for traders who prefer confluence-based entries. A trade trigger occurs only when the conditions for MACD 1, MACD 2, and the RSI are met at the same time:

• Long Entry: Occurs when the histogram of the first MACD is positive, the histogram of the second MACD is positive, and the RSI is below the Overbought threshold.
• Short Entry: Occurs when the histogram of the first MACD is negative, the histogram of the second MACD is negative, and the RSI is above the Oversold threshold.

For optimal performance, users should adjust the MACD inputs based on their chart timeframe. For lower timeframes (1m-5m), higher MACD values such as 21/44/20 and 32/66/29 are often preferred. For higher timeframes (2h-4h), standard or slightly adjusted values like 9/19/9 and 21/44/20 may be more effective.

Details

The script utilizes two distinct MACD calculations to capture momentum across different cycles. A common strategy involves setting the second MACD inputs to roughly 1.5x to 3x the values of the first MACD. This creates a "dual-confirmation" system where a short-term momentum shift must be supported by a secondary, slightly slower momentum trend. The inclusion of the RSI ensures that entries are not taken at extreme overextended levels, acting as an additional volatility and trend filter.

Settings

• Fast Length 1/2: The period for the shorter Exponential Moving Average used in the respective MACD calculation.
• Slow Length 1/2: The period for the longer Exponential Moving Average used in the respective MACD calculation.
• MACD Length 1/2: The smoothing period for the signal line (SMA) used to calculate the MACD histogram (delta).
• RSI Length: The lookback period for the Relative Strength Index calculation.
• Oversold: The threshold for the RSI below which short signals are permitted.
• Overbought: The threshold for the RSI above which long signals are permitted.

FAQ

How do I adjust the sensitivity of the signals? You can increase the MACD signal line lengths or use larger fast/slow EMA periods to reduce the frequency of signals and focus on major trend shifts. Conversely, lowering these values will produce more frequent, faster entries.

What is the recommended timeframe for this script? While it can be adapted to any timeframe, it is particularly recommended for the 15-minute to 2-hour intervals.

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