Stoch-RSI 4h/1h/15min

The Stoch-RSI 4h/1h/15min indicator is a multi-timeframe analysis tool designed to identify momentum confluence across different time resolutions for more reliable entry and exit signals. By combining Stochastic and RSI data from various timeframes, it aims to capture trend alignment and filter out market noise.

Usage

The script is optimized for the 15-minute timeframe (particularly for BTC/USDT) and functions by analyzing momentum on both local and higher timeframes.

• Long Entries: Occur when the lower timeframe Stochastic/RSI is trending upwards in confluence with the longer timeframe trend.
• Filtering: Use the buy/sell thresholds to avoid entering trades when the RSI or Stochastic is already overextended (e.g., above 65%), which often precedes a downswing.
• Exits: Positions are closed when the momentum trend on either the short or long timeframe shifts, or when the user-defined Take Profit percentage is reached.
• Trailing Stop: The indicator includes a trailing stop mechanism and a "Ramp Stop Loss" that adjusts dynamically with each candle to protect capital.

Details

The script executes a confluence strategy using Stochastic oscillators and RSI. It evaluates a "Fast" Stochastic (current timeframe) and a "Slow" Stochastic (higher timeframe, typically 4x the current resolution). Additionally, it incorporates optional MACD and RVSI (Relative Volatility Suffix Index) filters to ensure that momentum and volatility are both supporting the trade direction. The background color shifts based on MACD/RVSI confluence to provide a visual cue of the broader trend environment.

Settings

General & Confluence

• MACD/RVSI Confluence Resolution: Determines the timeframe used for calculating the MACD and RVSI trend filter.
• RSI Clause: Enables or disables the requirement for RSI direction to match the trade entry.
• Timeframe RSI: The specific timeframe used for calculating the RSI filter.

Stochastic

• Slow Stoch Timeframe: Sets the higher timeframe for Stochastic confluence (default is 60 minutes for a 15-minute chart).
• Stochastic Length/K/D: Standard parameters for calculating the Stochastic oscillator.

Stochastic Buy/Sell

• Stoch Buy/Open Threshold: The level below which the Stochastic must be to consider a long entry.
• Stoch Sell/Close Threshold: The level at which a trend-based exit is triggered if the Stochastic crosses it.

Trade Settings

• Ramp Stop Loss Line %: The percentage by which the stop loss moves per candle.
• Trailing Stop Percent: The distance from the recent high/low at which a trailing stop is set.
• Take Profit: The fixed percentage target for exiting trades in profit.

FAQ

How do I use the Stoch-RSI 4h/1h/15min on different assets?

While default settings are tuned for BTC/USDT, you can adapt the tool for other pairs by adjusting the Stochastic timeframes and threshold variables to match the volatility of the selected asset.

Why is the 15-minute timeframe recommended?

The 15-minute timeframe provides the ideal balance for the multi-timeframe logic to detect intra-day trends while using 1-hour and 4-hour data for high-level confluence.

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.