Ultimate RSI With Some Spices

The Ultimate RSI With Some Spices indicator is a comprehensive oscillator tool that combines RSI-based candlesticks, a trend-following EMA, and specialized Fibonacci levels to provide a multidimensional view of market momentum.

Usage

The indicator can be used to identify trend direction, overbought/oversold conditions, and potential reversal points through several visual components:

• RSI EMA Line: This is the primary trend filter. When the line is green, it indicates upward momentum, while red indicates downward momentum. Traders often look for green segments to maintain long positions and red segments for shorts.
• RSI Candlesticks: The indicator plots RSI values as candlesticks (optionally using Heikin Ashi calculations). This helps visualize the internal momentum strength of price action.
• The Cycler: A trend state indicator located at the mid-level (default 50). It changes color based on RSI extremes:
  • Green: Bullish cycle confirmed.
  • Red: Bearish cycle confirmed.
  • White/Gray: Neutral or fluctuating state without a clear trend.
• Fibonacci Levels: The indicator includes horizontal levels at 20, 30, 50, 61.8, and 80.
  • Oversold (20/30): Reaching these levels, specifically the 20 level, suggests a potential upward reversal.
  • Golden Ratio (61.8): A crossover of this level by the RSI EMA indicates strong bullish momentum, while a crossunder suggests a potential drop.

Details

The indicator leverages multiple RSI calculations and Volatility Weighted Moving Averages (VWMA) to smooth out noise. It features an optional Heikin Ashi transformation for the RSI candles, which provides a smoother visualization of momentum trends. The "Cycler" logic is based on a separate RSI period (AxRs) to define market phases, using thresholds (69 and 31) to trigger state changes that only reset when momentum crosses back through a neutral zone.

Settings

General Settings

• RSI Length: Determines the lookback period for the main RSI calculations.
• Use Heikin Ashi: Toggles between standard RSI candles and smoothed Heikin Ashi RSI candles.
• RSI EMA Length: Sets the smoothing period for the primary RSI EMA line.
• Length: The lookback period used for the internal Stochastic/VWMA Fibonacci calculations.
• VWMA calculation source: The price source used for the Fibonacci level calculations.
• AxRs: The RSI period used specifically for the Cycler logic.
• Source V: The price source used for the Cycler calculation.

Visual Settings

• Show cycler?: Toggles the visibility of the central Cycler trend line.
• Cycler level on plot: Adjusts the vertical position of the Cycler line on the oscillator pane.

FAQ

How do I use the Cycler for entries?

The Cycler acts as a trend filter. A change to green suggests a bullish phase is beginning, while a change to red suggests a bearish phase. It is best used in conjunction with the RSI EMA line color for confirmation.

What is the significance of the 61.8 level?

The 61.8 level represents the Fibonacci golden ratio. In this indicator, it serves as a critical momentum threshold; holding above this level often indicates a strong trending market.

How can I access Ultimate RSI With Some Spices?

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