MTF RSI

The MTF RSI indicator provides a multi-timeframe perspective of the Relative Strength Index (RSI) by plotting three different timeframes simultaneously on a single chart to help traders identify trend confluence and momentum patterns.

Usage

The Usage of the MTF RSI involves monitoring the interaction between the three RSI lines derived from different timeframes. When all three RSI values align—such as all three crossing above the overbought level or below the oversold level—it signals strong momentum confluence.

Traders can use this tool to:

• Identify broader trend direction without switching chart tabs.
• Spot potential reversals when higher timeframe RSI values reach extremes while lower timeframes show divergences.
• Confirm entries by waiting for multiple resolutions to agree on a specific market condition.

Details

This script calculates the standard RSI based on a user-defined length and then uses the request.security() function to fetch that calculation from three distinct resolutions. To address the inherent nature of multi-timeframe data, the indicator includes a "Allow Repainting?" toggle.

• If enabled, the indicator uses the most recent (and potentially developing) data from the higher timeframe.
• If disabled, it uses the confirmed values from the previous bar (rsiValue[1]) with lookahead = barmerge.lookahead_on to ensure the data is historical and non-repainting, which is essential for backtesting accuracy.

Settings

• Length: Determines the number of bars used to calculate the RSI (default is 14).
• Overbought: Sets the upper threshold level, typically 70.
• Oversold: Sets the lower threshold level, typically 30.
• Resolution 1: The first timeframe to be displayed (e.g., 60 minutes).
• Resolution 2: The second timeframe to be displayed (e.g., 120 minutes).
• Resolution 3: The third timeframe to be displayed (e.g., 240 minutes).
• Allow Repainting?: A toggle to choose between real-time data (which may repaint) or confirmed historical data for the MTF calculations.

FAQ

How do I use the MTF RSI to find confluence?

You look for moments where the RSI lines from different timeframes move in the same direction or hit extreme levels simultaneously, suggesting a higher probability move.

What is the difference between repainting and non-repainting mode?

Repainting mode shows the current live value of the higher timeframe, while non-repainting mode only shows values that have already closed on that higher timeframe to prevent the lines from changing after the fact.

How can I access MTF RSI?

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